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Government justifies its controversial decision to procure 156 Landcruisers vehicles at the cost of K136 million

Headlines Government justifies its controversial decision to procure 156 Landcruisers vehicles at the...

The Minister of Local Government and Rural Development has justified its controversial decision to procure 156 Landcruisers vehicles for each constituency using Constituency Development Fund(CDF).

Social media reports have been circulating that Minister of Local Government and Rural Development Gary Nkombo is involved in corruption in the purchase of 156 Toyota Landcruisers Hardbody motor vehicles for Constituencies using the Constituency Development Fund (CDF).

PF official and former Ambassador to Ethiopia Emmanuel Mwamba alleged that Nkombo will spend $8.3million (K136million) to purchase 156 Landcruisers for each constituency using Constituency Development Fund(CDF).

Ambassador Mwamba said the 156 Landcruisers were not budgeted for or planned for in the 2021/2022 Budget adding that the procurement was a wasteful expenditure.

“This has nothing to do with the needs of the people but a central decision made by Lusaka to make the bulk purchase, usually motivated by financial kickbacks.
So all the hullabaloo by President Hakainde Hichilema that Ward Development Committees based in Constituencies will identify needs and projects and forward their preferred recommendations for approval, is but a smokescreen. There is what is called “Absorption Capacity”. Municipalities and Constituencies have not built the capacity to utilize the K25.7million. They had issues with spending the K1.7million and we still have many Constituencies that have not utilized the 2019 and 2020 CDF! This money has to be spent in a financial year or Controlling Officers have to apply for approval for its retention. There are not enough qualified procurement and other experts at the local level to implement the guidelines. Even when the Zambia Public Procurement Authority lifted the expenditure limit from K2 million for municipalities and councils, and upgraded it to the unlimited threshold, the capacity of officers is yet to be built in the Councils to spend these monies. So to avoid the return of such monies to the Treasury as the new Budget is due next month, Ministries, Provinces and other spending agencies apply to various vaults and race to make bulk purchases just to utilize the money. This is what is happening. Let’s treat this occurrence of 156 purchase of vehicles at a callosal cost of $8.3m (K136million) by Ministry of Local Government and Rural Development, as a Corruption Alert,” Ambassador Mwamba stated.

But the Ministry of Local Government on Tuesday issued a statement saying the purchase of 156 vehicles amounting to US$8, 313, 084.00 million is in accordance with the Guidelines of the Constituency Development Fund (CDF).

Ministry of Local Government and Rural Development Permanent Secretary, (Administration) Maambo Haamaundu said the CDF Guidelines Part 2 section 2.2.3 on motor purchase provides for the procurement of vehicles aimed at facilitating the monitoring of CDF utilization.

“There have been social media reports circulating that the Honorable Minister of Local Government and Rural Development Mr. Gary Nkombo is involved in corruption in the purchase of 156 Toyota Landcruisers Hardbody motor vehicles for Constituencies using the Constituency Development Fund (CDF). Ministry of Local Government and Rural Development, therefore, wishes to clarify that the purchase of 156 Toyota Landcruisers amounting to US$8, 313, 084.00 million is in accordance with the Guidelines of the Constituency Development Fund (CDF). The CDF Guidelines Part 2 section 2.2.3 on motor purchase provides that “The Constituency Development Fund Committee shall procure a brand new 4×4 motor vehicle from the allocation for Community Projects to be strictly used for CDF activities. The cost of the vehicles shall be amortized over a period of five (5) years. A driver for the vehicle shall be provided by the Local Authority. The vehicle shall be maintained from the funds under the Community Projects Component”. In order to ensure efficiency in the procurement and delivery of these motor vehicles, it was decided that the purchase should be done centrally,” Mr. Haamaundu said

“However, to ensure accountability, each local authority included a budget line for a CDF project vehicle in their respective CDF community project budgets.”

Mr. Haamaundu stated that the Ministry opted to direct bid Toyota Zambia Limited in line with the Public Procurement Act No. 8 of 2022 section 34 (a) because of the selected model of the Vehicle.

He said the selection of the vehicles, whose unit price amounts to US$53,289.10 each, was arrived at because of their versatility and durability.

“These vehicles will be used for purposes of monitoring and evaluation of the CDF projects in all the 156 Constituencies, he stated. The Ministry was guided by and fully followed the provisions of the relevant laws governing public procurement in all these processes,” Mr. Haamaundu said.

21 COMMENTS

  1. One day Nkombo and Hamaundu will be arraigned before courts for this transaction. It’ll be time for Tongas to face the music just the Bembas and Easterners are doing.

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    • “…..The CDF Guidelines Part 2 section 2.2.3 on motor purchase provides that “The Constituency Development Fund Committee shall procure a brand new 4×4 motor vehicle from the allocation for Community Projects to be strictly used for CDF activities….”

      Maybe this needs a bemba translation for you ???

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    • “…..The CDF Guidelines Part 2 section 2.2.3 on motor purchase provides that “The Constituency Development Fund Committee shall procure a brand new 4×4 motor vehicle from the allocation for Community Projects to be strictly used for CDF activities….”

      Maybe this needs a bemba or nyanja translation for you ???

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    • We do not steal, At the end of the first 5 years, you will all see improvement. We will not be able to dig out hole you criminals created by borrowing US $30 billion, investing a little bit in your provinces, and then pocketing the rest. Everything we do will be in accordance with the law and transparent

  2. Mwamba and the PF are salivating at the thought of controlling CDF funds……….

    They are not sleeping……thinking about that money………

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  3. I like the response by local Government – concise and directly addressing the allegations. Bravo. I am certain Emmanuel Mwamba is very familiar with the relevant sections of the CDF Guideline but he was banking on the poor reading culture of Zambians and the reluctance of government spokespersons to respond in a timely manner. This one didn’t work. Lets wait for their next try! Infact the Local govt guys should have gone further to compare these vehicle prices with the prices at which PF bought similar vehicles. Now that would’ve made them think twice before spreading baseless accusations.

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  4. I totally support this action by the Ministry’s PS to explain in simple terms what has brought about this decision.
    The price of the motor vehicles sounds very normal to me compared to the PF’s scandalous purchase of fire tenders at an eye watering price of USD 1 Million each.Ba PF can we allow the New Dawn Govt to do some work please…..this matter is now closed,Thank you !!

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  5. The new dawn government is a government of laws. They are simply following what is clearly stated in the CDF guidelines. They are not so foolish as to involve themselves in illegal activities

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  6. What if this money was to be used to set up boreholes ? The buy or not buy decion should have factored in the following:
    1) Running Cost – Maintenace related cost, insurace, driver, taxes etc
    2) Usage of these vehicles –
    3) other transport options e.g. bikes

  7. I don’t see why people are surprised at this…. people go into government to get rich. One constituency chairman who used to look dry now looks fresh and well rounded and executively dressed…. he’s unemployed but he’s transformed positively.

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  8. Why do governments always buy new vehicles? Why dont they budget for maintainance of already acquired vehicles? Or factor in their auction prices for acquiring new ones? Why do we behave like a G7 economy when we are Third World?
    ” Social media reports have been circulating that Minister of Local Government and Rural Development Gary Nkombo is involved in corruption in the purchase of 156 Toyota Landcruisers Hardbody motor vehicles for Constituencies using the Constituency Development Fund (CDF).” Why are we surprised at this corruption? Thats what all politicians have gone into governance for.

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  9. At least they have been open about the price and supplier whereby anybody can check if that is the actual price of the said vehicle and verify that figures are not inflated timed 5 like fire tenders.

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