By Anthony Bwalya, UPND Presidential Spokesperson
We are concerned with the culture of deliberate economic sabotage being peddled by the Patriotic Front (PF) regime against Zambia’s mainstream economy.
While the UPND and President Hakainde Hichilema have consistently called for a reduction, suspension or removal of some controllable cost components around the pump price of fuel in order to help the mainstream economy, the PF have gone ahead to scrap VAT on petrol and diesel in order to mask their inability to manage the fuel supply in Zambia, whilst offering no benefit to the ordinary Zambian through a reduction in the pump price.
We are aware that the PF government has accumulated $727m (as at 30 June 2020) in unpaid invoices to International Oil Suppliers for the supply of fuel, the equivalent of the first Eurobond, or almost a whole year’s worth of fuel imports. Despite ERB insisting that it applies cost plus pricing, and consumers paying for fuel in cash, we wonder where this money received by the government has gone to.
Now that the Oil Suppliers are no longer willing to supply the government, Oil Marketing Companies (OMCs) have been requested to take on the outstanding contracts and directly import fuel.
However due to PF aligned middlemen and ministers who have hijacked the fuel procurement and supply chain, resulting in inflated oil supply contracts, OMCs have been unable to fulfil the supply contracts at current pump prices.
The offer of VAT relief to OMCs in order to convince them to import fuel and forestall an impending fuel crisis, without a required increase in the fuel price, is only a short-term remedy.
The VAT relief which should have been passed on to consumers through a reduction in the pump price, is instead going to increase the cost of doing business as ordinary businesses will no longer be able claim Input VAT, effectively increasing their fuel bill by 16%, with a downstream impact on consumer prices.
We note that this move, which offers no benefit to the public, whilst reducing VAT revenues for the government, is a further nail in the coffin for the 2021 budget.
The UPND takes the view, that SI No.125 of 2020 will harm the Zambian people, in that it not only fails to address the biting pump price of fuel for consumers, but it also directly diverts public money away from critical services such as education, healthcare and support for agriculture and instead channels it towards the consolidation of political power by the PF.
President Hakainde Hichilema reiterates his commitment to reforming domestic taxes and levies on the pump price of fuel, as well as cleaning out excessive middlemen activities in the procurement, supply and distribution of fuel in order to deliver maximum benefits for consumers.
Mr Jacket man
Look we cannot get things right all the time. As humans we as a government may get things wrong once in a while
However, it is quite boring and depressing to constantly receive criticism from upnd. Why not engage us maturely than politicise everything. No one is perfect not even your leader hh no matter how hard you try to build a cult of personality around him. Simply grow up.
You, “Kaizar Zulu” and PF, should be the first one to engage in constructive conversation. You are criticising anyone with a different view and you are all over the social media platforms. Even your comments above shows that you don’t take criticism well, criticising and attacking anyone who has a different view. 90% of your comments are either blaming or criticising upnd and those in diaspora, every Zambian including those in diaspora have the right to discuss what is affecting them. This is 2021 show us that you can discuss issues with levelheadedness.
Kaizar ZuluÂ
January 4, 2021 At 5:02 pm
“…Look we cannot get things right all the time. As humans we as a government may get things wrong once in a while…..”
Wrong once in a while ????
Tell us of any economic milestone as proven by one economic indicator that PF have ever got right ???
Boyi Anthony, may you please send condolences message to Andrew Kamanga for the passing of elder brother? Andrew deserves praises, he has done great job at FAZ way better than all PF ministers.
The reason is simple economics Sir, the mines are the biggest consumer of fuel in Zambia and end up claiming this VAT from government as we all know. By removing it the government can charge un-refundable tax to the mines and make more revenue instead of owing more to the mines. It makes sense to scrap it. Next should be electricity tariffs. The mines pay less for electricity than an ordinary Zambian. Why on earth should we subsidize the mines they never even pay tax all they do is take our precious resources and leave us with holes in the ground.
Akaps grow up. Have you noticed how you continue losing elections no matter how much you criticize us? Even zambians know how childish you are
When you read what lungu right hand man blogs then you will understand why Zambia is here today.
These are people we meet in bars at ohagans and chicagos . zero intellectual capacity.
And while LT blocks us the goon freely blogs with no censorship
Twalikwata ifipub@ mu ka stup1d govt ka kwa uyu Chi colour Lungu
Energy sector is full of middlemen, since the Mwanawasa days or maybe that’s when such dealings where brought to light. Same if UPND wins next year, it will be UPND middlemen. Anthony will be like a Lusambo……kikiki
I attempted to watch the usual boring ZNBC TV news this evening, and just saw the usual stage managed UPND defections to PF. Can’t the danda heads running ZNBC see that it can’t be normal that defections on ZNBC are just from one party to PF. People are now sharp and can see what makes sense and what does not
Kaizar Zulu
 January 4, 2021 At 6:13 pm
“…Akaps grow up. Have you noticed how you continue losing elections no matter how much you criticize us? Even zambians know how childish you are…”
Just answer the question badala and stop waffelling on and on about elections …….no one is talking about elections..
I am not surprised at your responses akaps. You are in diaspora so how can you even know what is pertaining here. Some of you left Zambia in the days of Kaunda and have never returned and yet you think you know better than zambians what is happening here. You have lost your citizenship and your loyalty is not to this country. So even where we have seen rapid development in sectors such has infrastructure, education and health, you will continue saying things are bad. Your relatives are selling you the story that things are bad so that you can f00loshly send all the little coins you sweat for there abroad wiping backsides and you are here ati ny0
Lusakatimes your moderation is f00lish. Can you sort this f00lish website before I block it in Zambia
Kaizar ZuluÂ
January 4, 2021 At 7:55 pm
“…Lusakatimes your moderation is f00lish. Can you sort this f00lish website before I block it in Zambia…”
Hehehehehe
KZ ……blaming the moderator because he can’t find any positive economic milestone or indicator under lungu to show they are not wrong 100% of the time…..
..
Kaizar Zulu January 4, 2021 At 7:55 pm
Lusakatimes your moderation is f00lish. Can you sort this f00lish website before I block it in Zambia
Stop talking politic i know you Pf ngacamishinina mwalikwata ifitala echo tamubobela try to understand and get same point if u heard thing like this dont waima walaasamuna akanwa
I don’t see any relationship between the money owed to fuel suppliers and the zero rating of VAT on fuel. I think govt doesn’t want to collect a tax that will be claimed back. It’s a waste of time and effort. So it has reduced the burden of refunds. What’s wrong with that? Get some tax education before you issue such statements; but then the levels of idyocy in the UPND is insurmountable. Ask Situmbeko Musokotwane for guidance useful idyot
Your comment is awaiting moderation
I am not surprised at your responses akaps. You are in diaspora so how can you even know what is happening here. Some of you left Zambia in the days of Kaunda and have never returned and yet you think you know better than zambians what is happening here. You have lost your citizenship and your loyalty is not to this country. So even where we have seen rapid development in sectors such has infrastructure, education and health, you will continue saying things are bad. Your relatives are selling you the story that things are bad so that you can f00loshly send all the little coins you sweat for there abroad wiping backsides. You are not a voter akaps so whatever you say don’t matter
Ichalo ubusuma tawshila ba pompwe
Watch “Happy New Year; Follow-Up; Zambia Won’t Allow a dictatorship; KCM” on YouTube
THE MAN WIH HH OOKS LIKE GREAT KALU?
PF’s dubious economic record has been long multilayered downhill slides. Not even one indicator has ever been up .