By Miles Sampa, MP

The other day we heard the Mines Minister Hon Kabuswe turn himself into a complainant and not the solution provider to the KCM quandary. He has been doing that since 9 months ago. While he basks in champagne and caviar, KCM workers and Chingola residents are starving and desperately getting worse off.

I remember about 2013 when I felt so strong that our PF Government should not borrow any further external funds at that point. I thought the first $750M Eurobond should have just been the only one contracted until after some 5 year later when funds had been absorbed or simmered into the economy and produced tangible fruits or results.

When a vote was brought into Parliament to increase the burst threshold or ceiling of what the Country can borrow from the international lenders, I refused the collective responsibility government dictum and abstained the vote (records present in the Parliament hansard). Of course I got into trouble but my fears have come to pass some 10 years later and my conscience vindicated.

That’s how I feel now about the current status of our mining sector. My conscience tells me we are at crossroads and if certain shrewd decisions are taken or not taken, we can make or further sink the economy of the Country. At the heart of this argument is the Mopani and Konkola Copper Mines (KCM).

Unlike what most may be anticipating, the IMF deal or money is not available for any domestic projects and recurrent expenditures for the people. IMF funding is some book entry meant for balance of payment restructuring. All it does is give or enhance credibility and goodwill to the country for likes of World Bank, EU and others money institutions to ‘unlock’ grants and other concessional funding. It’s this consequent funding that Government would have the ability to spend on actual projects like water reticulation, housing, roads, rail lines and on some recurrent expenditure.

With all that may have gone wrong economically last year 10 years, the current and economic oxygen for the nation is from our Copper mines. Mopani mine is 100% under Government hands and they are at liberty to continue running it or invite international equity partners or investors.
As for KCM, it is a very hot potato and likely to explode in our faces some day if not handled well. My objective and non political view is that the mine is actually still in the hands of Vedanta who acquired it legally in 2004. The money they made in their 18 years at the mine was being retained or reinvested back underground including on the potential ‘jackpot’ Konkola deep.

While they could have been cashing out to shareholders via dividends, account books retained the money by investing and developing the mine. This means no major profits were recorded for income tax but mineral loyalty was being paid. The last government misconstrued this for tax invasion and moved in with receivership gloves.

Matter has been in various local and international courts thereafter but the reality is that Vedanta still legally owns the mine. We run a huge potential risk of compensating them bigly when judgement is made against us. This is because commercial agreements and transactions are made through signed contracts. Only what is in the signed agreements makes it inside the court rooms and not ‘he said , she said’ arguments.
Chingola is on ice and there is no money in circulation for the residents and entire country partly because KCM is non functioning. No one is there to dig the copper out which employs several bread winners. At the moment the so called care takers are importing copper ore from Congo for the KCM smelting plant at a minimal fee. A case of a maize farmer importing maize for their milling plant when they have a huge field full of maize.

KCM can only start contributing to the treasury when if it’s fully operational. The briefcase local and international ‘consultants’ posing as advisor to the Ministry of Mines and Ministry of Finance on KCM are just conmen looking for a quick stipend. Anglo American is such a big conglomerate with huge repution to protect and they would never risk stepping their feet on a mine that has unresolved ownership legal battles.

The Mines Minister and Mines PSs appointed by the President seem to have no say on Mines other than become complainants aswell. Some briefcase conmen are busy misleading ZCCM-IH so they indentify other briefcase unlisted conmen investors to pose as new buyers for KCM. Upon arrival all they will do is sale any bit of remaining assets they will find and then declare the mine ‘too flooded’ before bolting like Anglo did in 2003.
Maybe we should start ‘Naming and Shaming’ these conmen upto no good for the President and the Country.

Just like I did on over borrowing risks in 2013 (record mut be at Statehouse and MOF), I place on record that if KCM is not given back to Vedanta soonest, Chingola residents will become destitute and the Government will years from now have to compensate Vedanta with billions of dollars. This will be when and not if international commercial courts make judgements in favour of Vedanta against the Zambian Government.

The new investors we are keen to attract in the mining sectors have their eyes on events at KCM. It’s a sensitive sector wherein if you touch one investor unfairly, means you have touched and annoyed all. Get Vedanta to start operations at KCM today and if current government policy is to restructure ownership away from them, exit clauses inside signed contracts of 2004 should be evoked.

KCM is hostage to a political problem of a few years ago and can only be resolved by a today political solution.
Two wrongs don’t make a right.

Miles B. Sampa, MP
Former deputy Minster of Finance
Former deputy Minster of Commerce, Trade & Industry
Opposition PF Parliament Shadow Finance Minister.

Government has clarified that the ongoing recruitment of education and health workers will be funded by the treasury and not dependent on the outcome of the International Monetary Fund negotiations.

Southern Province Minister Cornelius Mweetwa says Government has committed itself to finance the recruitment of the new education and health staff pointing out that this will be implemented soon once the formalities are completed.

Mr. Mweetwa has assured the people that the government cannot renege on its promise to increase staffing levels in the education and health sectors contrary to speculations that the recruitment will only be done after the conclusion of IMF and government negotiations.

Mr. Mweetwa says the recruitment process has been budgeted for by the government and is not in any way influenced by the IMF negotiations.

He was speaking in Pemba District when he opened Kaseya Mini Hospital, constructed in partnership with the Catholic Church valued at 16 Million Kwacha.

And the Minister has also commended the Catholic Church for their continued dedication in promoting social economic development in the education and health sector.

Mr. Mweetwa says this is in line with governments endeavour to ensure quality health care services are made available to all especially to rural communities.

Minister of Health, Sylvia Masebo says there is a need for systems that place young girls and women’s rights and empowerment at its heart to enhance the country’s sustainable growth and development.

Ms. Masebo observed that gender disparity especially in the health sector continues to disadvantage women participation in decision making processes as they hold little or no high level positions.

The Minister was speaking at the launch of the Women in Global Health-Zambia (WGH-Z) Chapter and its strategic plan for 2022 to 2027 whose goal is to build momentum, create an enabling environment and promote meaningful change needed for gender transformative leadership within the health sector in Zambia and beyond.

The Minister explained that women, when in leadership positions apply transformative approaches that not only build their organization but also strengthen the realisation of population health benefits.

She therefore noted that the launch is timely as the efforts to promote inclusion of more women in leadership such as those proposed under the Women in Global Health Zambia strategic plan are necessary.

Ms Masebo explained that the measures are in line with her Ministry’s commitment to promote gender mainstreaming in the planning, designing, monitoring, and evaluation of the health programmes and policies.

“The current scenario on gender inequality creates a barrier to achieving sustainable development goals and the universal health coverage, this is unacceptable and it has to change,” Ms. Masebo stated.

The Minister said the inequalities are driven by social and cultural beliefs about the role women play in society and access to conducive structures that can enhance their growth into leaders.

She cited 25 percent of women globally hold senior jobs while they hold 70 percent of the total worker forces saying the imbalance weakens health systems as a result of lack of women talent, ideas and knowledge.

WGH Country Director, Jacobs Choolwe observed the high levels of poverty emanate from the gender inequalit

The ruling UPND has urged farmers to be patient as government is working at improving the maize purchase price.

UPND Spokesperson Cornelius Mweetwa explains that the K160, which is K10 above last year’s FRA purchase price, is a transitional price that will be improved in the next farming season.

He says government is currently limited by the current state of the economy.

Mr. Mweetwa says the UPND is aware of all concerns raised by farmers and is doing everything possible to address them.

Mr. Mweetwa said when he addressed the media today that  the UPND is committed to the diversification of the economy away from mining and that this will be achieved through the growth of agriculture.

The UPND Spokesperson has also described President Hakainde Hichilema ’s trips outside the country as necessary.

He said the trips are meant to link Zambia’s economy to international and regional markets.

Mr. Mweetwa said international engagements are a basis for the country’s economic progress and to also advance Zambia’s image on the international scene.

He also stated that remarks by UPND senior Member William Banda   against New Heritage Party President Chishala Kateka  do not represent the views of the UPND.

Mr. Mweetwa said the one person protest by Ms. Kateka demonstrates how the UPND is committed to upholding the freedoms of expression of citizens.

The Engineering Institution of Zambia (EIZ) has said that the recent change in the financing model for the Lusaka-Ndola dual carriageway from Engineering, Procurement and Construction (EPC) to Public-Private Partnership (PPP) will benefit Zambia with a quality road because the contractor has an interest in the outcome of the project.

EIZ Vice President, Engineer Diana Kangwa-Muya said that the public-private partnership model in road construction stands to benefit Zambia greatly with quality roads because it’s anchored on the contractor building, operating and later handing over the infrastructure to the state after the concession period.

When queried whether this will see better roads delivered compared to the already dilapidated Kitwe-Ndola dual carriageway among other roads that were recently constructed, engineer Kangwa-Muya feels the contractors will be compelled to deliver on quality because they will only recoup their investment once the project is delivered to standard.

She added that while the EIZ is not part of the procurement process, the new PPP model of contracting in the roads construction sector will still require engineers who must be affiliated to the institution and follow the set standards, failure to which they risk facing punitive measures as prescribed in the EIZ act.

Last week, Infrastructure and Urban Development Minister Charles Milupi attributed the poor state of some roads such as the Nakonde-Mbala road and some roads in Lusaka that have failed prematurely despite being recently worked on under the previous regime, to the model of contracts used that did not ensure quality works are delivered.