Chief Executive Officer, ZCCM Investments Holdings Dr. Pius Kasolo addressing the Zambia Mining Investment conference 2018
Chief Executive Officer, ZCCM Investments Holdings Dr. Pius Kasolo addressing the Zambia Mining Investment conference 2018

Minister of Mines Richard Musukwa says the board of directors for ZCCM-IH has fired the company’s Chief Executive Officer Dr Pius Kasolo.

Mr Musukwa announced the dismissal of Dr. Kasolo during a media briefing at State House this morning.

Mr Musukwa said Dr Kasolo was dismissed for failing to follow presidential instructions over the new mine tax regime.

This week, Dr Kasolo told a news briefing that ZCCM-IH is opposed to the new Mine tax regime as it will cripple the mining industry.

Yesterday, The Economics Association of Zambia Copperbelt Province Chapter has described as unfortunate and ill timed, the sentiments attributed to ZCCM IH Chief Executive Officer Dr. Pius Kasolo regarding the new mining tax regime.

ZCCM-Investment Holdings (ZCCM-IH) Chief Executive Officer Dr. Pius Kasolo reportedly said during a press briefing that the 2019 planned mining taxes would impact negatively on ZCCM-IH which holds shares on behalf of the Government in the mining companies.

But EAZ Copperbelt Chapter Mathews Muyembe said the motivation behind Dr Kasolo’s remarks begs an answer as government was already engaging the respective foreign mines and positive strides were being made to achieve a mutually beneficial consensus.

“While we appreciate that every company’s objective is to increase its top line and maximise the bottom line, the mandate of this holding is to represent and reflect governments will which is to improve the welfare of its people through provision of employment and social services,” Mr Muyembe said.

“In the recent past we have seen the mining sector drop in GDP contribution as well as
tax avoidance schemes through transfer pricing and continuous declaration of losses. Even with the incentives such as electricity subsidies and tax windows the mining industry participation in economic growth has been declining over the years, he said.

“In October last year government did indicate that no mining operations will be affected by the new taxes, and the fear that job losses would be precipitated by the new taxes was later allayed as mines agreed to meet government and amicably resolve any apprehension around the new tax regime.”

Mr Muyembe said ZCCM should know that government desires more return beyond dividends as the trickle down effect and multiplier effect of job losses, social benefits and opportunity costs of forgoing mining returns is huge.

“We would have expected ZCCM IH to advocate for more returns from the mining industry than issuing statements that are not aiding dialogue between government and the mining stakeholders,” he said.

He said the statement by ZCCM-IH is very unfortunate because most mines like Mopani, FQM, KCM and Luanshya mine among others have indicated that they will not retrench or downscale their activities.

“We advise ZCCM-IH to prioritize the resuscitation of Ndola Lime which falls under its portfolio instead of contradicting government’s position.”

He added, “We expect ZCCM-IH to be in the forefront of giving answers to the many questions Zambians have regarding the mines such as the cost of producing a tonne of copper, how much cobalt is being mined?, where is the gold mined going to? among others.

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54 COMMENTS

  1. So it is… we have been saying this!!

    Well done. Let’s uproot all white puppets. We need a Zambia leadership that makes a difference to an ordinary Zambian in the streets.

    Even if we say we have bad leadership, let bad leadership do what they have just done firing Kasolo to the benefit of an ordinary Zambian for an ordinary Zambian.

    Well done. Let’s go

    Thank you

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    • Hope people like Kambwili won’t start saying that PF are eliminating Mr Sata Michael’s relatives.

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    • this kasolo guy was almost becoming another mujajati, he behaves like he lives in a first world country forgetting that pf is a pro poor party and not a caitalist part like upnd

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    • And yet criminals like Kaiser Zulu, Amos Chanda, and thieves like Chitotela, Kampyongo etc don’t get fired.
      Yes he was unwise to make the statement, but his crime is nothing compared to the above chaps.

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    • PF does not have the expertise to engage meaningfully the mine. As we speak, the mines have done projections , modeling and permutations for next 50 years. Edgar Lungu can not match the brain power at the mines and whether we like it or not, the mines will always win. Our approach should be mature, professional and political

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    • Ba Lsk Times but why haven’t you covered the story concerning the K1million which has somehow disappeared from the tollgate collections for the Road Development Fund? Those are serious issues that should cover!

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    • Can minds like Kasolos ever run mines again. He is behaving like a corrupt Union leader who eats with corrupt management at the expense of the workers he represents.

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    • Too early to cerebrate, the decision could have been politically motivated. The government is too broke and is looking for short term fixes to cover the national economical mess for at least up to after 2021 General election . It is desperate to find a message for the campaign. Much of the money is going for debt servicing and IMF is not coming on board hence the government find itself in self inflicted financial mess to adequately support the 2019 budget . Wait and see the repercussion of this decision starting now and more especially after 2021. I believe the Chinese have assured the government that they will takeover once the current investors decide to raise the white flag.

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    • Kasolo was the wrong person to hire in the first place. A man with two sets of families is a mess, period!

      No job now he can take his time eating buffet and Pamodzi Hotel

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    • So now we should expect Habaazoka to run ZCCM IH. He has already travelled to the mining indaba in SA

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    • PF started fighting Pius in 2018, when they accused him of interest as Presidential Candidate. They were waiting for a minor error to get ride of him.
      Who is next?

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  2. This is what the majority poor Zambians expect Government to do , .Fire selfish traitor economic sabotuers .clean up other traitors from ZCCM.

    Well done Boma.
    Zambians want to rightfuly own their mineral wealth through increased shareholding to at least 51%.
    With increased shareholding and effective management and controls , we do not need to borrow money from IMF and other money lenders.

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    • Stop lying to yourselves you will never own wealth from Minerals until you possess the technology and Markets to add value and consume your commodities in Africa. The story will remain the same

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  3. This dismissal is very suspect and smacks of victimisation. Kasolo could have been a pin in the side of King Rat. You will remember, Kasolo strongly opposed King Rat’s quashing of court case against a mine that was growing business overseas using monies from a local mine without the approval of local shareholder who is government. I smell a big rat in this one, the tax matter is just a scapegoat.

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  4. But was just telling the truth. Mines are partners in development.that’s how mmd used to say. But once crippled, we are doomed

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  5. After those losses I mean losses where a zero is removed from a figure but knowing PF its not about management….I can bet you all those court cases will disappear this is a firm with that crook Eric the crooked lawyer as Chairman.

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  6. “Mr Musukwa announced the dismissal of Dr. Kasolo during a media briefing at State House this morning.”

    So Dr Kasolo was fired on the instructions of the big man, who himself was instructed by the trib.al EAZ? Shame, the ending is not good for all people who do wrong, no matter the power God always wields more! Ask FJT!!

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  7. Hey Kasolo Kasolo Boma is proposing to increase mine taxes and you, you are opposing? Who opposes Boma? It is only opposition political parties

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    • As much as I do not like the current leading opposition, Opposition MPs are also part of government.
      If only the UPND would get rid of HH.

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    • @Nzelu how do kill the goose that lays the golden egg. All Upnd members are broke or don’t want to risk their money. It’s ok as long as HH is financing their party until he goes broke. Part of his desparation stems from his wanting to recoup the money he’s spent on politics since 2006.

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  8. I think chizungu ci nabapita ba appointing authority. Dr Kasolo simply stated the fact that the mines paying more tax means less dividends to ZCCM IH but more money to GRZ. Is there any miracle to that? I think the appointing authorities (I mean the Board..kikikikikiki) are becoming trib.als too, the new term for people who don’t reason or think.
    Don’t misunderstand me, you know my stance since the new mining taxes were introduced: that government must not back down.

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    • @upnd cadre
      Even yowaself have admitted that chizungu cha kupita …Go back for night school and learn chizungu so that you start looking at things critically

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  9. Is it a coincidence that Francis Kaunda and co have just been advising Lungu on the mines, and next this chap is fired? I don’t think so…

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  10. Out of the $1.0BN the mines have paid to the Treasury, they’re claiming back $750M in tax refunds. They buy electricity at 6 cents per kilowatt when it costs Zesco double the amount to produce. Mines want to survive on our shoulders. Whoever opposes the new taxes is an enemy of the people, just like Hichilema

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    • That’s not how its works. There are not “tax refunds” related the the tax you speak of. “VAT refunds” are the issue and a large portion is as a result Double payment of VAT on same item to ZRA, one by you and the other your customer (you pay VAt to ZRA on your sales invoice to your customer and when paying you , your customer withholds the VAT component and sends you the net amount of your invoice. Your customer then pays the VAT withheld to ZRA. VAT rate effectively 32% ). You chase ZRA endlessly for refund. The proposed Goods & Services Tax (which I support) eliminates this problem especially when Treasury is struggling. What must be agreed and balanced out though, is the GST Tax Rate applicable, rebates , waivers etc

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    • Ayatollah – that’s not how VAT works…please go and do some research not everyone is a kaponya you can cheat with numbers and letters

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  11. What exactly it is it about failing to tax investors pa Zed kansi? Why is it that it is the actual custodians at the gate who want to help investors evade and avoid paying taxes? Ni cyani cimene mu bisa ama mambala?? Get rid of anyone who is acting as gatekeeper for exploiters. Talema nazo – sha!!!

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  12. The thing is while most of us agree in maximizing cash benefits to the country from our natural resources , we disagree on the other hand because these benefits only go to plug lungus mis use of GRZ monies ……like Mrs lungu chattering a jet for 25 for 2 weeks to the USA to collect certificates of recognition which have absolutely no benefit to poor Zambians or diverting cash for lungu to buy lauxuary jets for his aimless globetrotting…..so even if you get max money from the mines, lungu and his gang only sees more to spend….

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  13. Sometimes there is a parting of ways among friends when Philosophy once shared deviates to another strand.

    Sorry Pius old chap, but you should be of cheer because you spoke your mind and therefore are free. What I discern for you is new openings among your powerful mining friends, if you are wise, abroad. It’s no use doing something you oppose so nothing much has been lost here. Don’t entertain bitterness, it’s a load off your shoulders.

    All in all you are at odds with the mood surrounding mines so………no loss.

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  14. RICHARD YOU CAN DO BETTER BE SMART PLEASE! WHY THE ENTIRE YOU ANNOUNCING THE DISMISSAL DONE BY YOUR APPOINTEES?WHERE IS THE BOARD CHAIRMAN? INDEED GOD CONFUSES THOSE HE WANT TO DESTROY.

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  15. I don’t get the great leader sometimes he leaves criminal and thieves around him such as Kaiser Zulu, Amos Chanda, Chitotela, Kampyongo, J Kapata and Dora to continue working.

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  16. It’s about time, he was supposed to have been fired years ago! How can a company like ZCCM-IH be making losses year in year out!?
    The entire management team ought to be fired

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  17. This should have been done years ago. Now we need to set up a commission to examine all crooks that were involved in Privatization. No one should be sacred president Lungu, HH, Francis Kaunda, Sakala, former ZCCM directors and everyday managers should all be questioned. The devalued Zambia with first crook Chiluba.

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  18. Can ZCCM – IH give us the figures that show to what extent the proposed tax regime would be adverse? Such pronouncements must be corroborated with data. The government must enlist loyal Zambians that can objectively challenge seemingly suspect assertions.

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  19. He was fired for stating the obvious. That’s why the government is full of bootlickers who will never say the truth lest they go the kasolo way.

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  20. He only made the statement the other day. Today you fire him. At what point did you engage with him to ascertain what he meant? This smacks of political knee-jerk reactions to anyone not seeming to ‘be in line’. Surely, is that a reason to fire some one immediately for? So everyone left has no economic opinion of their own? This is not a ‘gross misconduct’ issue.

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  21. We the Zambians have already FIRED HH in 2021 over the same sentiments of siding and supporting the mining companies who were refusing to adhere and contribute to the country’s GDP through the newly introduced taxes. All miners on the Copperbelt are armed to bury HH and UPND in 2021 for further wanting to have them lose employment and send them to early graves as he did on privatisation. Its on our campaign agenda, HH is a traitor and deserves no vote from normal Zambian.

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  22. I hate people who always favor white supremacy like KASOLO.Good that is fired . No need to keep corrupt man like him.

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  23. @ Digga
    A VAT refund arises when a business pays more on expenditure (input VAT), not double payment, than the VAT it has collected on sales (Out VAT). The VAT on sales is tax due to ZRA and the VAT on expenditure is tax due to the business from ZRA. Therefore, where out VAT exceeds input VAT the tax is payable to ZRA and when the input VAT exceeds the out VAT then a business is due a refund on expenditure that is exclusively for business purposes.

    So, it is unthinkable to introduce a new tax system targeted at the mines only and with a view to pay debts that had been stolen by individuals.

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  24. I have respect for Dr. Kasolo. Not even this so called president can match his intelligence. It’s good 2021 is coming will vote him out. We need sanity in Zambia, not cipantepante.

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  25. #28 imprezza, so you are saying that Dr Kasolo was fired for saying things that the know it all boss had not DIRECTED? I see, makes sense, too many trib.als masquerading as intelligent persons.
    Or they apply their intelligence to crooked acts.

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  26. Breaking Fake News: the new CEO of ZCCM IH Mr Habansoka thanked the President for showing confidence in him. Apparently he does not know that he was appointed by the Board!

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  27. You will remember Kasolo soon. He said the truth, just like Matt Pascal. We can leave in a nation where speaking the truth attracts such reprimand.

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  28. Kasolo along with his chief investment officer has been cutting a lot of deals by investing in questionable private sector ventures.

    President Lungu shall set up a task force to ween out corrupt Kasolo, IDC Chief and Napsa chief.

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