Tuesday, June 25, 2024

NGO calls for transparency in Konkola Copper Mines negotiations with Vedanta Mineral Resources.

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The Sustainable Natural Resource Empowerment Initiative (SuNREI) National Coordinator, Eugene Mulenga, has called for transparency in the negotiations between the Zambian government and Vedanta Mineral Resources, an Indian investor, regarding Konkola Copper Mines (KCM).

According to Mr. Mulenga, transparency in these negotiations is crucial for ensuring a fair deal for the people of Zambia, especially for miners, suppliers, contractors, and the community. The unresolved situation of KCM has increased social ills in the mining community, such as a notable increase in incidents of crime, poverty, closure of local companies, job losses, and limited job opportunities for graduates and artisans.

Additionally, the situation has led to an increase in debt exposure to NAPSA, ZRA, and other entities by local businesses. As a solution to this issue, Mr. Mulenga has proposed a roadmap that includes publishing the economic, technical, and equipment status of KCM, inviting bidders to publicly disclose their investment bids and plans within 30 days, and shortlisting bidders based on five key pillars.

Furthermore, SuNREI proposes signing a socio-economic contract with the local community, the government, and the investor to ensure that the investor meets Zambia’s expectations and aspirations. SuNREI is a Copperbelt based NGO that advocates for policy change and community approach towards sustainable use of natural resources.

Meanwhile, Minister of Finance, Dr. Situmbeko Musokotwane, announced that the Zambian government will soon make pronouncements on both KCM and Mopani Copper Mines, aiming to get both mines into production. The groundwork for more production in mining was laid out following the re-alignment of the tax regime in mineral royalty tax and the establishment of a more stable investment climate for the sector. The government expects the mining sector, along with supportive sectors, to perform better this year.

7 COMMENTS

  1. I’m worried about what late Ronald Penza told us was the Zambian government’s golden share in mining companies. Do rights associated with this so-called special share ever get exercised in Zambia? Unfortunately, we do not have a press capable of asking this question. The Indian tycoon who controls KCM should know that the patience of Zambians with his Vedanta Resources is wearing thin.

  2. The government is in sleep mode. Otherwise, the “soon” that we are continually told about will only awaken when Paris Club registers a win on the Zambia’s debt readjustment meetings.

    • Because ZCCM-IH is allows it to happen. How was Eric Silwamba allowed to render legal advice to a mining company in which ZCCM-IH had an interest but was still chairing the ZCCM-IH board of directors? Edgar Lungu saw nothing wrong.

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    • #Gunner … please stop the blame and get on with your job. If the predecessor didn’t do a good job it doesn’t mean you can’t correct it. That’s why when you fail an exam you are allowed to resit. Stop whining about the previous administration.

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