The next investor in KCM must sign a social contract with the local people

CARITAS Zambia and a think tank called Sustainable Natural Resource Empowerment Initiative Limited (SuNREI) has said that the next investor in Konkola Copper Mines (KCM) must sign a social contract with the local people to ensure that communities in Chingola and Chililabombwe fully benefit from the mine operations.

In a joint statement issued by CARITAS Zambia Chingola/Chililabombwe Coordinator Eugene Mulenga, the two organisations charged that the local people on the Copperbelt have not fully benefited from KCM operations owing to satellite decisions made by Government officials who do not understand the impact of mining on local communities.

Mr. Mulenga said the proposed social contract between the local people and the investor in KCM is aimed at ensuring that local communities are substantially part of the decisions made regarding the new investor in the mine.

He revealed that Caritas Chingola/Chililabombwe and other NGOs on the Copperbelt will soon start collecting community views on matters concerning mining investments in KCM and lessons from recent past experiences.

Mr. Mulenga said the civil society want views and submissions from the local business communities and people about how they would like the future investors in KCM to operate in relation to supporting local businesses, the environment and social corporate investments.

He added the two organisations further want to see the dispute surrounding the KCM ownership resolved as soon as possible.

Mr. Mulenga said KCM in its current state is losing millions of dollars because of lack of capital injection in operations and recent alleged mismanagement of the mine.

KCM was liquidated by the previous PF regime but Indian investors Vedanta Mineral Resources contested the decision in court.

“It is without doubt that challenges faced in most mining towns are as a result of Lusaka ‘interfering’ on matters facing the mining communities without credible local involvement in decisions made. A case in point is KCM, where a Lusaka lawyer was appointed Provisional Liquidator for the mining asset with primary operations in Chingola and Chililabombwe. After the Liquidators appointment most business with the mine went to Lusaka business men and women disadvantaging local business but a few politically connected and exposed locals,” Mr. Mulenga stated.

“There are strong allegations from the local community that most high ranking officials from Lusaka solicited for handouts and business at the expense of the mine and local businesses. Caritas Zambia – Chingola and SuNREI jointly mention that, as a local community we are very much aware that even under the New Dawn government there are some emerging camps seeking to take the same trajectory as their predecessors and our message to them is Hands Off. We need the mines to benefit both the local communities and the nation and not selfish individuals.”

“It is for this reason that Sustainable Natural Resource Empowerment Initiative (SuNREI) working together with the Catholic Commission For Justice and Peace (CCJDP Caritas Chingola and Chililabombwe) and other well meaning NGOs on the Copperbelt will undertake community interface activities so as to collect community views on matters concerning mining investments drawing lessons from our recent past experiences.

We are going to get views and submissions from the local business communities and people about how they would like the future investors to operate in relation to supporting local businesses, the environment and social corporate investments. The aim is to work on the principle of subsidiarity whereby the local communities are substantially part of the decisions made regarding the new investor,” he said.

Mr. Mulenga added:”The essence is to come up with content for the Social Economic Contract that the future investor should subscribe to once they commit to invest in our historical asset which is in dire need of investment. As it is, the nation and KCM are losing millions of dollars because of lack of capital injection in operations and recent mismanagement of the mine. Enough is enough, they say “umulembwe wachipuba wapwilile muli tumfwe” it’s time that local people and businesses felt the impact of having important assets in their communities. But for some reasons, local people have been left out when they should be part of the decisions being made about what would affect them in future, after all we are decentralizing.”