The Government will slip into debt if the delayed off-loading of the recently bought 90,000 tonnes of crude oil persists, Energy and Water Development Permanent Secretary, Peter Mumba has said.

Mr Mumba also said the anticipated reduction of the pump price of fuel might not be done because the continued depreciation of the Kwacha had substantially moderated the benefits of the cheaper import of crude oil.

Mr Mumba said in an interview in Lusaka yesterday that the Government was supposed to refine the feedstock and sell the finished products so that it could pay the PTA Bank in the agreed three months but the off-loading had been delayed.

“The consequences of going into a huge debt are that the financiers may in future refuse to fund any shipment for the country,” he said.

He said Tazama finally started pumping the crude oil from the port of Dar-es-Salaam into Indeni Petroleum Refinery last week but the limited capacity of the plant made it impossible to pump all the cargo to Ndola.

“We should pay the financier within 90 days to avoid incurring a debt which will put the Government in unnecessary financial problems but because of the continued delay in the off-loading this may just happen.

“Looking at the prevailing situation where the Kwacha has continued to lose its strength, even the reduction of fuel pump prices may not be possible because it may plunge us into debt as it would require a Government subsidy,” Mr Mumba said.

He said the crude oil, which Tazama started pumping last week, arrived in Dar-es-Salaam on November 26 but could not be sent to Zambia because oil marketing companies (OMCs) had flooded the market with finished products.

He said the OMCs had assured the Government that their fuel stocks were supposed to finish by the end of December after which they were expected to start buying fuel from Tazama.
Mr Mumba said the depreciation of the Kwacha from around K3,500 to K5,000 to a United States (US) dollar had made it impossible for the Government to reduce the price of fuel.
The Government had asked the Energy Regulation Board to calculate and see if it would make any saving from the reduced price of oil after the Kwacha tumbled.
Mr Mumba said the next shipment of crude oil was expected in February next year and that arrangements had already been made.

Times of Zambia

Vice President George Kunda has arrived in Serenje District where he is expected to hold a series of meetings with MMD party officials and traditional chiefs.

Mr. Kunda is also scheduled to visit Nansanga Farming Block today morning. He is accompanied by Agriculture Minister Dr. Brian Chituwo, Education Minister Professor Geofrey Lungwangwa, Health Deputy Minister Mwendoi Akakandelwa and Local Government Deputy Minister Dr. Lwipa Puma.

He was received by Central Province Minister Ackmson Banda, Central Province Permanent Secretary Danny Lumbama, Gender Deputy Minister Lucy Changwe, Lands Deputy Minister Nasir Amir and other high ranking government officials.

The Vice President urged MMD party officials in Central Province to embark on early recruitment of new members, with a view to strengthen the party. Mr. Kunda said this is the only way of ensuring that the MMD scoops the 2011 Presidential and Parliamentary elections.

He said the opposition political parties were busy organizing themselves in an effort to challenge President Rupiah Banda in the 2011 polls.

Mr. Kunda further appealed to all MMD party officials and Heads of government departments to encourage people to grow more food, in order to address the various challenges that the country is facing. He cited the rising prices of mealie meal and other essential commodities as some of the major challenges that Zambia is facing.

The Vice President however assured the nation that government, under the leadership of President Rupiah Banda is committed to put in place measures aimed at alleviating poverty and hunger in Zambia. Mr. Kunda cited the Fertilizer Support Programme and the introduction and implementation of the Private/Public Partnership in the agricultural sector as some of the major programmes that the government was implementing, with a view of enhancing food security in the country.

He further said government has withdrawn from hosting the 2011 All Africa Games, in a bid to facilitate the construction and rehabilitation of more schools, roads, hospitals and other development infrastructure in the nation.

He said he had decided to visit Central Province in order to thank the people in the region for voting for the MMD and Mr. Rupiah Banda as Republican President.

After his three day visit in Serenje, the Vice President will have a night stop-over in Kabwe before returning to Lusaka on 21 December, 2008.

ENDS/TK/PK/ZANIS

Electoral Commission of Zambia (ECZ) chairperson Justice Florence Mumba has urged Japanese Investors to invest in Zambia by highlighting various opportunities in various sectors of the Zambian economy.

Justice Mumba urged Japanese companies to consider investing in the tourism, agriculture, and the manufacturing industry which have been identified as priority sectors by the Zambian government.

She said there was great potential for investments in the energy sector as Zambia was experiencing shortage of power.

Justice Mumba also urged Japanese companies to seriously consider investing in value addition and as Zambia’s copper production is focused to unprecedently rise by 2011.

She added that the current smelting capacity was small at 3,000 metric tonnes against production output of over 550,000 metric tonnes.

Speaking at the same seminar, Zambia’s Ambassador to Japan, Godfrey Simasiku, has urged that country’s public and private sector to explore investment opportunities in Zambia.

Mr. Simasiku says enormous investment potential exists in many sectors of the Zambian economy such as in mining and power generation.

Speaking today during a seminar for promoting investment in Zambia focusing on mining in Tokyo, Japan, Mr. Simasiku further pointed out that Zambia was politically stable hence a safe haven for investment.

He also explained that the cost of doing business in Zambia had been reduced by establishing the Zambia Development Agency (ZDA), which acts as one stop centre for investment.

And Director for Geological Survey Department, Kennedy Liyungu said with the progress made so far in the discovery of oil and gas in the country, 29 blocks have been demarcated for oil and gas prospecting.

He said tender bids for interested companies will be opened in 2009 and has since requested Japanese companies to consider participating in prospecting for gas and oil in Zambia.

Mr. Liyungu said iron, manganese and nickel deposits have been found adding that other rare earth metals, nickel deposits have been found in Southern and Uranium deposits in North Western Provinces.

On Wednesday, December 17, 2008 the Zambian Embassy in Tokyo co-organized a seminar for promoting investment in Zambia focusing on mining and was sponsored by the Japan International Cooperation (JICA), Japan Oil, Gas and Metals National Corporation (JOGMEC) and Mitsui Mineral Development Engineering Company, Limited (MINDECO).

ZANIS/AJN/AM/ENDS

President Rupiah Banda says government will not suspend the National Constitutional Conference (NCC).

Speaking on arrival from Chipata, Eastern Province at Lusaka International Airport, Mr. Banda said the NCC has been accepted and embraced by Zambians.

President Banda said the NCC will continue with its deliberations until its set mandate has been fulfilled.

Mr. Banda was responding to questions from journalists on calls by some opposition politicians that government should suspend the NCC and channel the money towards the hosting of the All Africa Games slated for 2011 and solve the financial problems being faced by the mines due to the economic meltdown.

On calls for dialogue among political leaders, President Banda said he had no problem to dialogue with opposition political leaders in a bid to find lasting solutions to the problems faced by the country brought about by the global financial crisis.

Mr. Banda said calls for political leaders to meet and dialogue are welcome as government has always been ready to dialogue with all stakeholders on national issues.

The president was in Chipata, Eastern Province for his first visit to the area following his election as republican president in the October presidential election.

ENDS/AH/AM/ZANIS

A 28-year-old man of Kashikishi in Nchelenge District is admitted to St. Pauls Mission Hospital after being bitten on the genitals by another man.

Sandys Chola of Daison village was severely bitten on his private parts after being found committing adultery with a married woman identified as Godfridah Lwimba.

Chola told ZANIS from his hospital bed that the assailant, Lewis Chola of Nkomba Village severely bit his private parts in the early hours of Sunday.

Chola, who regretted the adulterous affair, narrated that efforts to defend himself from the furious Lewis Chola failed because he was caught red handed in Godfridah’s matrimonial bedroom.

Chola said he is ashamed and regretted his actions and urged other men, who were in the habit of flirting with married women, to desist from such vices to avoid ending up in serious conflicts.

He complained that the injuries suffered in the fight could result in the possible loss of potence and affect his sexuality.

Chola, who was visibly in pain said because of the injuries, he is now unable to pass urine on his own and has to rely on a tube which has been inserted in the urinary tract at the hospital.

Godfridah defended her involvement in the adulterous affair saying it was because her marriage with Lewis was failing.

Meanwhile, Police in Nchelenge have picked up Lewis Chola for assaulting Chola and is expected to appear in court soon.

ENDS/ESM/ZANIS/SJK

Both the United Liberal Party (ULP) and the Federation of Free Trade Unions in Zambia (FFTUZ) have advised opposition Patriotic Front (PF) President Michael Sata to consider dialogue with government on the high mealie-meal prices in the country.

Speaking in separate interviews with ZANIS in Lusaka today, ULP President Sakwiba Sikota said dialogue was an amicable way of addressing and ironing out contentious issues facing the country.

Mr. Sikota further said dialogue with the government on national issues would help maintain peace and reduce tension in the country.

He noted that perceived tension impacted negatively on the country as it scared away investors.

And commenting on reports that Kitwe Patriotic Front (PF) women have threatened to undress during the demonstrations over the high mealie meal prices, Mr. Sikota said the women would only embarrass themselves.

He added that it does not make sense to undress during the demonstrations.

And FFTUZ President Joyce Nonde has encouraged the opposition leader Michael Sata to dialogue with the government.

Ms. Nonde, who noted that the problem was that the opposition has not accepted the outcome of the October 30, Presidential by- elections, advised Mr. Sata to discuss with government on finding solutions the problems in the country.

She however challenged government to comprehensively explain what has led to the high mealie-meal prices in the country.

Ms. Nonde charged that politicians both in the opposition and the government were to blame for some of the problems facing the country as their influence should be used to better the situation not seeking political mileage.

And Ms Nonde has since condemned the Kitwe PF women who want to undress during the food demonstrations.

She said Zambia is Christian Nation adding that God does not allow people to expose their nakedness to the public as the human body is his temple.

ZANIS/AJN/AM/ENDS

PRESIDENT Rupiah Banda has observed that countries that imported fertilizer early enough were able to procure it at a cheaper price. The president said the price of the commodity had risen by the time government had procured it.

He was speaking on a live radio program on radio Breeze FM in Chipata district.

Mr. Banda  stated that it was not possible for all farmers to benefit the commodity at a subsidized price saying the population of Zambia was too high.

Mr. Banda explained that people would be required to buy fertilizer at the common market if the subsidized fertilizer was not adequate because the population of the country was high.

He also appealed to farmers not to sell subsidized farming inputs for monetary gains. He stated that the program was intended to improve food security in the country by assisting farmers to produce more food.

President Banda also noted that there was no need to regulate the media if they could operate responsibly.

Speaking on radio Breeze FM in Chipata district, Mr Banda said the media did not need to be regulated if they could write and publish the truth all the time.

He expressed concern that some sectors of the media did not cover the October elections very well. President Banda stated that the media required to be factual and objective in their coverage, in a manner which he referred to as professional.

President Banda said the K10 Billion required for the completion of the Chipata/Mchinji railway line may be considered in next year’s budget.

Mr. Banda stated that it was the intention of government to see the completion of the rail line, which was intended to boost economic activities in the province.

He stated that he was aware that people in the province were anxious to see the project completed.

ENDS/HN/PK/ZANIS