The 300 MW coal-fired power plant of Maamba Collieries Limited has resumed full capacity operations and is supplying the full contracted power to ZESCO.

The country’s largest independent power producer is now supplying almost 25 percent of the nation’s power, based on the estimated 1,080 MW of power currently being distributed in Zambia.

“We are happy to inform that both 150 MW power units at Maamba Collieries are now running at their full capacity thanks to sustained efforts by the management with the equipment suppliers, despite being hampered by lack of funds”, said Chief Executive Officer Rear Admiral Venkat Shankar.

While referring to the recent shutdowns reported in the media, he added that the modern, eco-friendly coal-fired power plant – the only one of its kind in Zambia – is complex, and due to the nature of its operations, needs periodic robust maintenance and specialised technical support, which comes at high costs and cannot be ignored if production is to be assured. He added that MCL has been facing challenges on this account due to shortfall of funds.

In this context, the CEO said the recent tariff revision augurs well for the energy industry in Zambia as it should allow ZESCO to make timely payments to its power suppliers like Maamba Collieries, which would ensure proactive maintenance of the power plant and improve availability of power.

The present shortage of rainfall in the country has reduced the power generation capacity from ZESCO hydro plants drastically, and energy producers like Maamba Collieries, which are not dependent on rainfall, play a key role in the managing energy deficit using resources available in Zambia without recourse to imports.

Meanwhile, Maamba Collieries will be working with ZESCO to ensure schedules for mandatory major overhauls are adjusted as far as possible to accommodate ZESCO’s requirement of power and to minimise disruption of the nation’s energy supply, the company added.

Rear Admiral Shankar said: “While the last few months have been very challenging for Maamba Collieries due to shortfall in funds, we will strive to provide uninterrupted power to ZESCO, which will reduce the effects of the current electricity deficit. MCL supplying full output capacity, barring scheduled maintenance breaks, can be a reality in the coming months with ZESCO meeting its payment obligations to MCL in full on the back of additional revenue from the tariff revision and the continued support of Government.”.

Finance Minister Dr Bwalya Ng’andu and Energy Minister Matthew Nkhuwa inspected the Maamba Collieries plant on November 2, 2019, to obtain a better understanding of the operations of the thermal power plant and the challenges faced.

The Clergy Consultative Forum has expressed concern over some sections of society allegedly spreading falsehood regarding Constitution Amendment Bill number 10.

Team Leader of the Forum, Elvin Nasilele, says many people who are opposed to the Bill 10 are merely being deceptive, as they were part of the National Dialogue Forum (NDF) that produced the document that contains Bill 10.

Pastor Nasilele, says he wonders why political party representatives, who appended their signatures to the Siavonga Resolutions that were tabled at the NDF, are distancing themselves from Bill 10.

He called on the Church to speak out and correct the falsehoods because it has the duty to ensure that the will of the Zambian people is upheld.

And a member of the Clergy Consultative Forum, Antoinette Phiri, said the Church needs to ensure that the declaration of Zambia as a Christian Nation does NOT just reflect in the preamble but needs to sit in the articles.

Doctor Phiri said the clergy must start engaging Members of Parliament on issues such as Bill 10.

And Bishop Raphael Silwamba, another member of the Forum, has assured Zambians that the contentious clauses that were part of Bill 10, have been addressed in the Parliamentary Select Committee Report.

Bishop Silwamba said contentious clauses that sought to re-introduce positions of deputy ministers and others such as the removal of retirees from the payroll before they are fully paid their benefits and the coalition government, have been removed from what will be tabled in Parliament.

The three were speaking in Livingstone at a sensitisation meeting, with the clergy, on Bill 10, the Parliamentary Select Committee Report on Bill 10 and the constitution making process.

During the question and answer session, some clergymen expressed fear that parliament may ignore the report of the select committee and table the contentious Bill 10.

United Party for National Development (UPND) leader Hakainde Hichilema has called for drastic reforms at the Development Bank of Zambia (DBZ) and the Citizens Economic Empowerment Commission (CEEC), and the pension funds that have money sitting idle.

Taunting a report that showed that Zambia and Nigeria are the two leading African countries in terms of entrepreneurial appetite, Mr. Hichilema said that many entrepreneurs lack in Zambia lack a package for their businesses to grow and offered a practical advise on how the PF Government can implement the ideas he is suggesting.

Below is his full post

It does not come as a surprise that Zambia and Nigeria are the two leading African countries in terms of entrepreneurial appetite.

We know that Zambians are very enterprising. What many entrepreneurs lack, is a package for their businesses to grow. It is a known fact that over 50% of formal employment in the world is created by SMEs. These are major contributors to GDP and taxes that run most economies. In Zambia over 88% of all formal jobs are in SMEs, they also contribute 70% to GDP. Making this a huge sector and engine of the economy.

Our plan for this sector is very simple. Firstly, the major problem with SMEs is access to financing. This is the reason if the current Government is serious about unlocking the sector, they should reform DBZ and CEEC into venture capital institutions (I will explain this further below). Secondly, the Government must not just sign MOUs with foreign Governments like the much talked about Israel and India MOUs, but should actually sign contracts for the supply of goods and services. This is called market linkage which an SME cannot do on its own. The third dimension is what we call contract discrimination, here is an example, a road contract has various components, technical and material supplies. We have been told that 20% contract value of any project must be given to the local contractors. I disagree and suggest an alternative; what if we exclude certain elements like the supply of cement, the supply of stones, the supply of steel for instance during road construction to be exclusive for Zambians, that would have more impact than an arbitrary figure.

Let me talk about financing again. I am suggesting to PF to carry out drastic reforms at DBZ and CEEC and the pension funds that have money sitting idle sometimes. DBZ and CEEC must take the form of venture capitalists, where they finance Zambian start-ups and SMEs and they own shares in those companies and appoint management to those companies. This way they will ensure that they are part of the day-to-day decision-making process. While ZDA can be transformed into a proper Business Development Service outfit that could be the institution that looks for business opportunities for start-ups and SMEs to give them the necessary boost.

Lets talk fellow countrymen, these are ideas anyone can pick, irrespective of who is in Government.

The Zambia Association of Manufacturers has raised concerns with regards to the implementation of the proposed solution Digital Tax Stamp Solution to enhance tax compliance on all excisable products.

The Zambia Revenue Authority has announced its intention to start implementing a Digital Tax Stamp Solution to enhance tax compliance on all excisable products, thereby joining countries such as Uganda and Mozambique in pursuing this option to curb illicit trade and enhance revenue collection.

Whereas the Zambia Association of Manufacturers remains supportive of measures to enhance tax revenue collection and revenue assurance by the ZRA, the Association says it is worth noting that the DTS solution is most effective where smuggling, counterfeit products, tax leakages and under declaration of production or sales volume is rife by registered industry players.

ZAM Vice President South Chipego Zulu says for this reason, it is imperative to note that it may not be ideal to treat all companies producing excisable products the same in view of variability in tax compliance and the nature of illicit trade in their respective sectors.

Ms Zulu says the Authority should channel resources towards promoting Voluntary Compliance, instituting cheaper effective enforcement controls and targeting specific sectors within the economy, where there is proven evidence that smuggling, counterfeit products, tax leakages and under-declaration of operational volumes exist.

She said viewing the Digital Tax Stamp Solution solely as a tax revenue growth initiative therefore is erroneous, as a poorly designed solution would likely result in increased costs of doing business/production for legitimate manufacturers in excisable sectors.

Ms Zulu said higher costs will in the medium to long-term translate into reduced revenue collection for ZRA as a result of products in these sectors becoming uncompetitive on the market.

She has since recommended that a comprehensive consultative process be undertaken with the affected private sector companies to determine the manner in which the DTS solution will be implemented and ensure that adequate sector specific input is gathered and considered in the design and execution of the same.

Ms Zulu said it is imperative that the ZRA undertake an independent due diligence assessment of the DTS solution in those countries in which it has been implemented such as Mozambique, South Africa, Kenya, Tanzania, Uganda and Ghana who are in the process of implementing similar solutions, albeit amidst high operational and cost challenges to both the Revenue Authorities and Industry.

Further, Ms Zulu has observed that the reported Track and Trace system that forms the crux of the proposed DTS solution does not currently exist anywhere in the rest of Africa and it is therefore imperative that international best practices and more cost-effective alternatives be considered before the ZRA proceeds with the DTS proposal.

“Cheaper and more cost effective methods can be determined jointly with the private sector through dialogue under the recently launched multisectoral Anti-Illicit Trade Committee (AIT Committee) which seeks to draw on the dual strengths of Industry knowhow from the private sector and the enforcement capabilities and capacities of Law Enforcement Agencies such as the Zambia Revenue Authority, Drug Enforcement Commission, and Zambia Police amongst others to curb illicit trade across a broad spectrum of products including excisable products”, she added.

She said given the recent establishment of the AIT Committee in November 2019, the ZRA should leverage the strength that comes with working with all parties in the public and private sectors who are members to address challenges arising from illicit trade and its negative impact on revenue collection.

Ms Zulu says ZAM remains open to further engagements with the ZRA towards the development of a workable solution that meets the shared growth aspirations of the Authority and Industry in developing Zambia into a prosperous middle-income country through enhanced tax compliance anchored in the predictable and sustainable long-term growth and development of Industry.

She has urged the ZRA to continue to promote Voluntary Compliance for those organizations that are fully tax compliant and this will remove the uncertainty in the market and avoid unnecessary operational cost escalation at industry level.

Nominated Member of Parliament and former National Secretary of the Felix Mutati led MMD Raphael Nakachinda yesterday survived lynching from MMD Youths at Findeco House.

Mr Nakachinda who was a guest on Millennium Radio on a special paid for program said the MMD had no President and that he was the leader of the Party.

This did not go well with the MMD, and other youths who quickly mobilized and followed him to Findeco House

Unknown to Mr Nakachinda, the angry youths were preparing to teach him a lesson and as he was exiting the building after his interview, and walking towards his vehicle, the emotionally charged youths confronted him chanting “waya sana Nakachinda” .

When Mr Nakachinda and some of his security guys noticed the MMD youths, his guards were the first to run as he was almost left alone. As the youths asked him why he had continued selling and insulting the party leadership for cheap political survival, the clearly frightened and shaken nominated Member of Parliament U-turned and run back into Findeco House and hid in one of the toilets.

Some of the Youths was heard saying enough is enough and that the next time they caught up with him, they would lynch him

Raphael Nakachinda was on radio where he has continued disparaging High Court Judge Sharon Newa’s November 5th Court ruling which declared that Dr. Nevers Mumba the legitimate President of the MMD.