Cabinet this afternoon declined to approve a Ministry of Works and Supply memorandum proposing the construction of a new State House Main Administration Building for use by the Republican President and State House Staff and refurbishment and conversion of the old State House into a Museum.

This has come to light in the press statement released to the media by State house on the cabinet meeting held today, at Mulungushi International Conference Centre.

According to the statement, the Ministry of Works and Supply argued in the proposal that the current State House main administration building was built in the early 1930s and due to passage of time, the structure has continued to deteriorate posing potential health and safety risks. The Ministry further argued that the building has limited office space for State House staff.

Despite the advanced reasons, Cabinet decided not to approve the proposal in view of the limited resources and the prevailing economic situation in the country.

Below is the full statement on decisions made by cabinet in today’s meeting

PRESS STATEMENT ON THE DECISIONS MADE BY CABINET AT THE 27TH CABINET MEETING HELD AT MULUNGUSHI INTERNATIONAL CONFERENCE CENTRE ON MONDAY, 14TH DECEMBER, 2015

LUSAKA (Monday, December 14, 2015) — At the 27th Cabinet Meeting held today, 14th December, 2015 at Mulungushi International Conference Centre, Cabinet discussed nine (9) substantive Agenda Items and the following were the decisions made:

(a) Phase out of Incandescent (Ordinary) Bulbs in Zambia

Under this Item Cabinet approved phasing out of incandescent (ordinary) bulbs in Zambia by banning importation of ordinary bulbs by 1st January, 2016. Incandescent bulbs are very energy inefficient converting only 5% of electrical energy into visible light while the remaining 95% is wasted as heat energy. It is important for Government to find means and ways of saving the little electricity generated by using energy saving methods, in any way possible as Government looks at further investment in the energy sector to cushion the current energy challenges the country and the region is passing through. This measure will result in the power utility Zesco saving more than 200 megawatts of power.

(b) Appointment of Members of ZESCO Board of Directors

Under this item, Cabinet has approved appointment of nine (9) Members of the ZESCO Board of Directors. It is necessary to appoint the Board of Directors for ZESCO Limited in order to ensure that ZESCO Limited is guided in the provision of sound generation, transmission and distribution of electricity supply. This is in line with good corporate governance practices.

(c) Development of Kasomeno-Mwenda 182-km Toll Road Project to connect Katanga Province of the Democratic Republic of Congo to Luapula Province of the Republic of Zambia under the Public Private Partnership

Under this item, Cabinet approved a Public Private Partnership to Build, Operate and Transfer (BOT) 86Km of road from Chalwe to Mwenda between the Government of the Republic of Zambia and Groupe European de Development Congo (DRC) & Groupe European de Development Zambia (Zambia).
It is in the interest of Government to ensure that most future infrastructure projects should be undertaken through PPP mode, as this is a sure way of ensuring that the many planned infrastructure projects are implemented countrywide as has already been demonstrated by Government.
The project scope includes modernisation and expansion of 182 Km of road way; construction of two (2) one-stop border posts with parking and warehouse facilities; construction of a 345 metres cable-stayed bridge; construction of four (4) toll collection stations; and construction of an airstrip.

(d) Commitment of 15 Percent Advance Payment for Contracted and Negotiated Loans

Under this item, Cabinet approved that future project financing will be negotiated to cover 100 percent of the project cost and that the Ministry of Finance would be sourcing the 15 percent Advance Request on contracted and negotiated loans by way of bridge financing facilities. The decision has arisen because some loans contracted consist of concessional, non-concessional and bond financing. In particular, Concessional and non-concessional export credits from the Chinese Government typically finance only 85 percent of the total project cost with the remaining 15 percent to be funded by Government by means of an advance payment.

(e) Girls Education and Women’s Empowerment and Livelihood Project amounting to US$ 65,000,000

Under this Item, Cabinet approved contraction of a loan from the World Bank amounting to US$ 65,000,000 to support the implementation of girls’ education and women’s empowerment and livelihood project countrywide.
It is important for Government to stick to its promise of girls and women empowerment as stipulated in the National Gender Policy. The Government recognises the importance of girls and women’s empowerment in order to enable them to fully contribute to the development of this country. The loan is highly concessional and terms include 0 percent interest rate per annum and repayment period spread up to 32 years.

(f) Design and Construction of 2,350 Housing Units for the Security Wings Project Amounting to US$ 275 Million

Under this item Cabinet approved the contraction of a loan from the Industrial and Commercial Bank of China amounting to US$ 275 million to support the implementation of the Design and Construction of 2,350 housing units project for the security wings to be undertaken by the Ministry of Home Affairs.
The loan is intended to provide financial resources required for the full implementation of the project to ease and mitigate the housing shortage within the security wings. Improved housing conditions and general living conditions for security personnel will consequently lead to enhanced security and job opportunities for local residents during the construction period.

(g) Proposal to build new State House Main Administration Building

Under this Item, Cabinet declined to approve a Ministry of Works and Supply memorandum proposing the construction of a new State House Main Administration Building for use by the Republican President and State House Staff and refurbishment and conversion of the old State House into a Museum. The proposal stated that the current State House main administration building was built in the early 1930s and due to passage of time, the structure has continued to deteriorate posing potential health and safety risks. Further, the building has limited office space for State House staff. Despite this situation, Cabinet decided not to approve the proposal in view of the limited resources and the prevailing economic situation in the country.

(i) Calendar for Cabinet/Cabinet Committees for the Year 2016

Under this item, Cabinet took note of the Calendars for Cabinet and Cabinet Committee Meetings for the Year 2016. This is important, as Cabinet and Cabinet Committee Business should be conducted in a systematic manner.

(j) Migration of Immigration Department from Public Service Commission to Police and Prisons Service Commission

Under this item, Cabinet took note of the information that the Department of Immigration has been moved from Public Service Commission to the Police and Prisons Service Commission.
It was necessary to migrate the Department of Immigration from the Public Service Commission to the Police and Prisons Service Commission in order to enhance operational efficiency as matters relating to staff appointments, confirmations, promotions and retirements would be expedited.
______________________________________________________________

Issued by

Amos Chanda
SPECIAL ASSISTANT TO THE PRESIDENT
PRESS AND PUBLIC RELATIONS)
STATE HOUSE

A 24-YEAR-OLD man has told a Livingstone magistrate’s court that he defiled a 15-year-old because he thought she was 18 years old.
Kenneth Masheka, of unmarked house number in Dambwa North township is charged with defilement.
It is alleged that on unknown dates but in May this year in Livingstone, he had unlawful carnal knowledge of a girl under the age of 16.
When the matter came up for plea magistrate Michael Mulalelo explained to Masheka that if he reasonably believed that the girl was above 16 years he could use that as part of his defence in court.
Masheka told the court that it was true he had sex with the girl because he believed she was old.
“Your worship, I have understood the charge and I admit it, I had sex with her. There is no way I can deny this charge,” he said.
“I only had sex with the girl because she had told me that she was born in 1997, and when I calculated the age I found that she was 18 years old. I did not find anything wrong in having sex with her,” he said.
Mr Mulalelo said he would record a plea of not guilty to the charge and that the case would go into trial.
He adjourned the matter to Thursday next week for trial.

(DailyMail)

PATRIOTIC Front (PF) secretary general Davis Chama is on a marathon tour of Southern Province in a bid to cut the political dominance of the United Party for National Development (UPND) in the region ahead of the 2016 general elections.

He is also in Southern Province to mend his relationship with the people of the region following controversy earlier this year that he had insulted Tongas which compelled President Edgar Lungu to meet with the traditional leadership in the area.

Mr Chama told the Daily Nation in Sinazongwe that he had undertaken a tour of Southern Province to resuscitate the PF structures at all levels ahead of the 2016 general elections.

He said he had met with several chiefs in Southern Province and that it was pleasing that the messages from the chiefs were about forgiveness, reconciliation, tolerance and unity.

Mr Chama said he met Chiefs Chongo in Monze, Sinazongwe, Mweemba and other traditional leaders who have warned against the risk of changing Government next year because such an act would have serious economic and political ramifications.

He said the chiefs were aware that there was a particular media house in the country that was propagating hatred, tribalism and politics of malice and were concerned with the agenda of some politicians to divide the country on the basis of ethnicity.

“We have been on tour of Southern Province and have had encouraging meetings with our traditional leaders. We are receiving overwhelming reception from the people and the message from our chiefs is all about forgiveness, reconciliation, unity and development.

‘‘The traditional leaders are happy with the selfless leadership President Lungu is providing and have warned against the risk of changing government next year. They have cautioned against experimenting leadership because they understand the ramifications of such acts,” Mr Chama said.

Mr Chama explained that the chiefs in Southern Province did not want to dwell on the artificial differences which were negating development and that he was happy that Chief Sinazongwe candidly emphasized the need to support President Lungu.

He said the four years the PF was in Government was not enough to judge the leadership of President Lungu and it was only prudent that the Head of State should be given a new mandate to continue with his vision.

Mr Chama explained that the people of Southern Province supported UNIP for 27 years and gave the MMD 20 years and were now willing to ensure that the PF term should run the full course.

He stated that the PF Government was not going to be voted out next year and predicted that the ruling party was going to be in Government for a long time to come because Zambians had developed a lot of confidence in President Lungu.

“For the first time in history, all farmers have been paid all their money and they have received their seed and fertilizer. The farmers are only worried about the weather which we have no control over.

‘‘This Government is here to stay and it is amazing how much development has come to Southern Province despite the people not voting for the PF,” Mr Chama said.

UPND leader Hakainde Hichilema has revealed that the PF Government intends to issue a new statutory instrument that will introduce foreign exchange controls.

Mr. Hichilema said the PF government is planning to combine the revoked statutory instruments number 33 and 55 and issue a new statutory instrument number 77 that will restrict the flow of foreign exchange.

‘You know what they are planning to do now, they are planning to introduce exchange controls, going back to what damaged the Kwacha to bring Kwacha to the collapse that it is today, it was S1 33 and 55 and now they want to bring SI 77 or something like that,’ Mr Hichilema said.

He added, ‘This new SI will bring back exchange controls which mean cutting the supply side of dollars in an import dependent economy, it doesn’t support the local currency and it merely damages the local currency.’

‘This damages the local economy and that is why you are seeing the Kwacha has collapsed now because of those controls. So they haven’t stabilised the rate of the exchange unless people are not able to analyse. You will see more pressure as they introduce foreign exchange controls.’

Meanwhile, the Kwacha has slipped back to more than K11, 000 against a single USD.Commercial banks have stopped giving loans because of low cash levels and high interest rates prevailing on the market.

The Bankers Association of Zambia last week warned that key sectors of the country will start getting hurt if the current high interest rates and lack of liquidity in the market is allowed to hold for too long.

BAZ chairman Clergy Simatyaba explained that commercial banks in the country had stopped lending because they did not have cash to lend out.

“That is happening at the moment purely because in order to stabilise the local currency, monetary policy has been tightened and tightening of monetary policy means there is no liquidity in the market,” Simatyaba said. “So if there is no liquidity in the market, I will not just give out a loan. So banks are restructuring their balance sheets and not giving out loans because of the tightening of the monetary policy. Funds have been siphoned out to try and protect the local currency.”

He said surging interest rates in the country made it very difficult for banks to lend.

“The fact that general interest rates in the market have gone up and the Bank of Zambia overnight lending facility is now at 25.5 per cent means before I can consider any client right now for a loan, I must be pretty sure the client is going to pay,” Simatyaba said. “I am not just going to issue a loan because a client wants a loan.”

He said lack of liquidity in the market was likely to stifle growth the longer it was allowed to hold.

“The downside is that economic activity will slow down and that is what the policy is trying to achieve because when there is economic slowdown, then, there is not so much demand for foreign exchange and then it stabilises,” said Simatyaba. “We really wanted the currency to stabilise as a country, so it cannot go for too long because then other sectors start suffering but at least in the short term, you would have stabilised the currency… but banks are not issuing loans at the moment because of the tight liquidity conditions and the high interest rates now prevailing.”

By last month, the kwacha had dropped by 55 per cent this year against the dollar as falling metal prices, a power crisis and widening budget deficit affect the economy badly, resulting to rising inflation of up to 19.5 per cent this year.

In an attempt to contain the historic fall of the kwacha, the Bank of Zambia (BoZ) tightened the monetary policy environment in the country by increasing its benchmark lending policy rate to

15.5 per cent in November from 12.5 per cent, after raising the statutory reserve ratio to 18 per cent earlier in the year from 14 per cent.

The Central Bank wanted to make the kwacha difficult to access so that it stems demand for foreign currency in the domestic market.

But the scarcity of the kwacha at the disposal of the commercial banks to lend out has thrown out some local entrepreneurs and individual customers, who fear that their plans of expanding their businesses or just refinancing their loans has been hurt.

THE Kasama High Court has sentenced a 27-year-old prisoner of Milima State Prison to 25 years imprisonment with hard labour for sodomising a fellow inmate.
Ms Justice Yvonne Chembe sent John Mulenga to prison after finding him guilty of sodomy.
Particulars of the offence are that on May 22 this year Mulenga had carnal knowledge of a 20-year-old fellow inmate against the order of nature in Kasama.
Ms Justice Chembe noted that Mulenga had been charged with a serious offence which carried a minimum sentence of 25 years.
Defence counsel from the Legal Aid Board Keith Katazo begged the court to be lenient with Mulenga because he was youthful and capable of reforming if given a second chance.
“I have heard what counsel has pleaded on your behalf. But my hands are tied as this offence carries a minimum of 25 years. I accordingly sentence you to 25 years imprisonment with hard labour with effect from December 7, 2015,” Ms Justice Chembe said.
She granted Mulenga leave to appeal to the Supreme Court within 14 days if he did not agree with the sentence.
During trial, the victim told the court that he was sleeping in the same bed with Mulenga when around 01:00 hours, whilst in deep sleep, he felt Mulenga sexually assault him from behind.
Mazimba told the court that when he woke up from his sleep, he shoved Mulenga off and immediately reported the matter to the cell captain.
The court heard that the victim was taken to the prison clinic where he was examined and the report indicated that his anus had signs of having been sexually violated.
Mulenga was then arrested and charged with sodomy.
But Mulenga denied the charge alleging that he had been falsely accused.

(DailyMail)