Zambia Weekly
... for busy people
Week 12 │ 20 March 2015 │ Issue 224 │ Volume 6 │ w w w.zambia-week ly.com │ FREE
DStv prices to increase
Multichoice has announced that prices of DStv
will increase (see table) – causing a public
outcry.
There were talks of boycotting the digital TV
provider, complete with an online petition
calling for rates to be Kwachanised in Zambia:
“The company needs to find a way to prepare
their books of accounts in Kwacha, and find
ways to hedge against foreign exchange
losses. There is a need for them to understand
the unstable environment and deal with it in a
proper manner,” the petition read.
Exactly, retorted Multichoice: “Every year in
April we revise our rates due to escalating cost
of doing business, the rising cost of purchasing new content and rental of channels. We
also have to pay for satellite space, and all our partners have increased the cost,” MultiChoice Zambia Spokesperson Mwika Malindima said.
Nevertheless, Information and Broadcasting Minister Chishimba Kambwili said government had summoned Multichoice “to address the complaints”. Multichoice General Manager Simon Bota was unfazed. He told ZNBC that the weakening Kwacha was to blame as
the company’s operating costs are largely in foreign denomination. When asked whether
Multichoice would reduce its prices in the event of an appreciation of the Kwacha, he
hesitated according to the Post.
Bota also dismissed an allegation that Zambia had the highest prices in the region, explaining that Multichoice has three markets, including South Africa, Nigeria and the general market into which Zambia falls. That prices are lower in South Africa is due to “issues
of taxation, law enforcement levels and piracy”. In the general market, however, Zambia is
fairly priced.
The Competition and Consumer Protection Commission pointed out the obvious: that
Multichoice is enjoying a near-monopoly in the digital TV market in Zambia.
This week in 10
1. U-turn on constitution?
Government is now planning to hold a referendum on the new constitution alongside
next year’s general elections
Page 5
2. Lungu undergoes medical procedure
President Lungu has returned to office after
undergoing an unspecified “medical procedure in theatre” for his Achalasia
Page 3
3. Fuel shortage: Who’s to blame?
President Lungu is considering a criminal
inquiry into the current fuel shortage
Page 5
4. ZAWA is no more
The Zambia Wildlife Authority (ZAWA) will
be turned into the Department of National
Parks and Wildlife
Page 8
5. Nchito tribunal to go ahead
Judge Mwila Chitabo has lifted his own stay
on the tribunal set to investigate Director of
Public Prosecutions Mutembo Nchito
Page 9
6. DStv prices to increase
Petition: https://www.change.org/p/multichoice-zambia-standardise-subscription-ratesin-zambia - 2,600 signatures
Multichoice has announced that prices of
DStv will increase – causing a public outcry
Page 1
Facebook page: https://www.facebook.com/pages/Zambians-Against-high-DSTVrates/423448054487441 - 10,500 likes
7. The media’s political allegiances
Subscription price
April April April July 2014* April Latest increase Latest increase in
2012 2013 2014
2015 in Kwacha
USD (@ K7.6 / USD)
Premium
$77
$79
$82 K521 ($82)
K631
21%
1%
Compact Plus
$50
$50
$53 K337 ($53)
K413
23%
2%
Compact
$30
$30
$32 K203 ($32)
K248
22%
3%
Family
$20
$20
$20 K127 ($20) K158
24%
5%
Access
$10
$10
$10 K64 ($10)
K83
30%
10%
PVR/ Xtra view Access fee
$10
$10
$10 K64 ($10)
K79
21%
0%
*
In July 2014, Multichoice changed from quoting its prices in USD to Kwacha, using an exchange rate at the time of K6.35 per USD
Mealie meal prices drop again
Government has announced a further reduction in the maximum wholesale price for
mealie meal from K61 to K56 per 25 kg bag of breakfast meal, and from K44 to K37 for
roller meal. Last month, government reduced the prices by about K4 per bag. Agriculture
and Livestock Minister Given Lubinda told parliament that the latest reduction has been
made possible by the Food Reserve Agency offloading maize to millers at a subsidised
price of K65 per 50 kg bag (FRA bought the maize at K70 per bag). He also appealed to
retailers across the country to stick to the recommended retail margin of K3 per 25 kg bag
to ensure that retail prices will stay below K59 for breakfast meal and K40 for roller meal.
An overview of the current positions of the
political stand of the main players in the
press (printed and online)
Page 8
8. Fitch revises outlook to stable
The international rating agency has downgraded its economic outlook for Zambia
from ‘positive’ to ‘stable’
Page 2
9. Zambians to run Collum?
A Zambian consortium is planning to put in
a bid for the mothballed Collum Coal Mine
in Sinazongwe
Page 6
10. Mulungushi Rock is not in Kabwe
Authorities have pointed out that the
famous Mulungushi Rock of Authority is
placed in Kapiri Mposhi
Page 10
2 │ News
Editor’s note
Fitch revises outlook from positive to stable
It says something about our dependency
on TV that one of this week’s main stories
was that Multichoice is hiking its prices (see
front page). I am still to make up my mind
on whether to laugh or cry in response to
the strong reactions. Even government
felt the need to threaten to intervene.
Honestly! We are talking TV subscriptions.
Not mealie meal. Not electricity. Satellite
TV is not a necessity. It is a luxury beyond
the means of most people. If the price is
too high, don’t pay. Perhaps it will even
make us happier? I have just read about an
American study which showed that teenagers are two-and-a-half times more likely
to experience elevated enjoyment when
engaged in a hobby than when watching
TV, and three times more likely when playing a sport. Yet, these teenagers spend four
times as many hours watching TV as they
do engaging in sports or hobbies. Maybe
Multichoice is doing us a favour by giving
us an excuse to spend less time slouching
on the sofa watching TV?
The international rating agency, Fitch Ratings, has
affirmed its sovereign credit rating for Zambia,
maintaining a ‘B’ for the country’s long-term foreign
and local currency Issuer Default Ratings (IDR) – but
has downgraded its economic outlook from ‘positive’
to ‘stable’. The agency noted that “policy coherence
and credibility are weak”, referring to changes to the
VAT regime and mining taxes in particular. “Although
the government has committed to negotiate with
mining companies, changing the tax regime without
adequate consultation has resulted in significant uncertainty in the sector and contributed towards a delay in foreign investment”. Fitch also
pointed out that “Zambia’s vulnerability to external shocks has increased” due to falling
copper prices and declining foreign exchange reserves. “With the current account recording a deficit for the second consecutive year in 2015, Fitch expects the authorities to seek
between $600 million and $1 billion in external concessional funding”. Yet, the agency
pointed out that government debt is low at 30.5% of GDP, against 46.8% of its B-rated
peers. Zambia is also rated by Standard and Poor’s (B+ negative) and Moody’s (B1 stable).
MMD MP duly elected
The Supreme Court has declared MMD
Chitambo MP Mushili Malama duly elected
in the 2011 general elections. PF’s losing
candidate Chanda Mutale had petitioned
the election.
MMD to renew its policies
The MMD has held a Policy Conference
aimed at renewing the party’s policies in
line with changing times to culminate in
the 2016 MMD Manifesto. Allegedly the
conference had 300 participants, which
submitted its resolutions to the party’s National Executive Committee for approval.
No more RB T-shirts!
The Kwacha continues to slide
The Kwacha has continued to set new records for how low it can go. Currently, it is trading
above K7.6 per US dollar, and some commentators predicted that the Kwacha will drop to
K8 per US dollar, while others said it will strengthen towards the end of the month on the
back of dollar inflow. President Lungu swore in new Bank of Zambia Governor Denny Kalyalya, directing him to stabilise the depreciating Kwacha.
Lavish birthday present for GBM
PF Kasama MP and former Defence Minister Geoffrey
Bwalya Mwamba (GBM) has been given a $260,000
Mercedes Benz for his 56th birthday by his wife and
children. The car will be based in South Africa, as GBM
(picture) has allegedly moved his major businesses to
that country. Last week, the ruling PF expelled GBM for
refusing to campaign for President Lungu ahead of the
presidential by-election in January. GBM has gone to
court to block his expulsion. Last year, GBM bought his
wife a $200,000 Range Rover for Valentine’s Day. GBM is a successful businessman running
local companies such as Germins Motorways (buses), GBM Milling (milling) and Arizona
Marketing and Distribution (transport).
The MMD has allegedly banned its members from wearing T-shirts, chitenge and
other party materials bearing the portrait
of former Rupiah Banda in an attempt at
consolidating the power of party president
Nevers Mumba. Expelled MMD Lusaka
Province Chairman Watson Mtonga warned
Mumba that the MMD would perish under
his leadership, reported the Daily Nation.
The party is gripped by an internal power
struggle since before the presidential byelection in January.
No food security in Zambia
Zambia has recorded a slight improvement of 1.7 points on the 2014 Global Food
Security Index to 32.6 points out of 100,
but maintained its 98th position out of
109 countries. The index is released by the
Economist Intelligence Unit.
.
Where one smile starts another
3 │ L u n g u ’s h e a l t h
Lungu undergoes medical procedure
President Lungu upon arrival from South Africa. He told the
media that he was “very fit” and/or “much better now”, depending on reports
!
Quotes
President Lungu has returned to office after
undergoing an unspecified “medical procedure
in theatre” for his Achalasia (see Fact Box) at an
unspecified hospital in Pretoria, South Africa. The
procedure was carried out on 13 March, and Lungu was discharged the following day, suggesting
that it was a simple procedure. The reoccurrence
of the condition resulted in Lungu collapsing on
Women’s Day on 8 March, leading to all sorts of
speculations about his health. Government has
however been proactive in providing regular
updates on his condition. Lungu is supposed to
return for a medical review in a few weeks’ time.
“
Zambia does not have a problem with
voter apathy; it has a challenge with voter
fatigue. Show me a country that has over
32 by-elections in 3 years and I will show
you a fatigued electorate.
UPND Deputy Secretary General for Politics Kuchunga
Simusamba on the ongoing debate about holding a referendum on the constitution (statement).
Achalasia
Achalasia is a rare disease in which the muscles of the lower oesophagus (food pipe) are unable to open. As a result,
patients find it difficult to swallow food, drinks and even saliva. Complications include lung infections and weight loss.
Treatments include oral medications (short-term relief), forceful dilation or tearing of the oesophagus by suddenly
inflating a balloon placed in the throat (quick but less successful than surgery), surgery to cut the muscles (more successful than dilation, but still risk of recurrence – and risk of subsequent acid reflux) and injection of muscle-relaxing
medicines such as Botox into the oesophagus (quick and non-surgical but effects last only for months).
$8,000 bounty on robber caught on camera
South Africa is still to capture the last of the four men involved in the mugging of South
African Broadcasting Corporation (SABC) contributing editor Vuyo Mvoko – recorded on
live camera (https://www.youtube.com/watch?v=WDCrp5wjr1s). Mvoko’s news team was
waiting for President Lungu outside Milpark Hospital in Johannesburg, when the assailants struck. Three of the robbers have been arrested, while police have issued a R100,000
(about $8,000) reward for information leading to the capture of the fourth.
HO M E I S W H E R E T H E I R H E A RT S A R E
The president did not collapse. It was the
narrowing of the food pipe that led to a
low sugar condition that made him feel
sick, he didn’t faint, he felt sick. The sugar
level was so low, and he was unable to
proceed with the procession, and he felt
dizzy and weak.
President Lungu’s spokesman Amos Chanda telling the BBC
that Lungu did not collapse on Women’s Day
(Lusaka Times 13).
Until our economy improves significantly,
it will remain a huge challenge for government to provide free education up to
tertiary levels.
Education Minister Michael Kaingu calling off any plans for
provision of free higher education (Lusaka Times 14).
Africa is a piece of art pinned on the minds
and consciences of art lovers. Those with
money and capacity to buy the paint and
pay the painters are the ones who have
presented today’s image of Africa to the
world. Whoever writes your introduction
defines you and limits you according to the
introduction; Africa has been introduced
by others. It is time that Africa printed her
own business cards. It is time Africa wrote
her own books. It is time for Africa to sing
her own songs and paint her own picture.
Opposition MMD President Nevers Mumba speaking at Global
Business Roundtable annual conference in Johannesburg
(Lusaka Times 14).
Thousands of skilled Africans living overseas want to return home. Hundreds of businesses in Africa have vacancies and
opportunities. By bridging the gap, Homecoming Revolution plays a major role in the Africa success story. In fact,
in South Africa alone, for every skilled person that returns home, 9 new jobs are created.
That’s something worth supporting, don’t you think?
Pam Golding Properties proudly announces our exclusive real estate partnership with Homecoming Revolution.
We will accordingly be presenting our Zambian and African Property Portfolios at Speed Meet Africa, taking place in London on
Friday 20th andSaturday 21st March 2015 at Olympia. This interactive two-day event will facilitate the introduction of ourselves to
over 1000 attendees, many of them UK-based Africans, and will include presentations and workshops on
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Please contact us on 0211 253 420 for more details on this prestigious event.
RICA
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ia Confer n C n r | 20 21
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you hear or see the name #Team7500?
o Is it a rugby team?
o Or is it a political party?
o Why are youths so excited
about #Team7500.
o
o
o
o
Who is behind it ?
And who runs it ?
Too many unanswered questions.
Someone has to explain !
Well here are the ANSWERS!
#Team7500 is A NON GOVERNMENTAL ORGANISATION AND Charity Registered in Zambia.
#Team7500’s main agenda is to spearhead development in Zambia; led by the youths but our benefits are for all age groups.
Currently we are involved in the following developmental projects county-wide
o
o
o
o
o
o
o
o
o
o
The Clean Zambia 150 Campaign, where we sweep clean all the 150 constituencies.
The Educate Zambia 150 Free Tuition Programme, where we provide free tuitions to selected grades.
The Empowerment Fund, where we provide loans to our members.
The Computerise Zambia 150 Fund, tizens where we give computer literacy to our citizens.
The Reforestation Programme, where we plant trees to bring back our forests.
The Economic Redirection Programme to boost Agriculture and Tourism.
The Elevation of the Female Gender Campaign.
The Diaspora Remember Mother Zambia 150 Campaign, where we call for all Zambians living abroad to bring back their skill.
The anti-Voter Apathy Campaign: to educate all Zambians on the importance of voting.
The Fight against Tribalism and Regionalism: The One Zambia, One Nation campaign.
MEMBERSHIP TO #Team7500
We have two types of membership; Paid and Non Paid. All our leaders must be paid-up members and leaders’ subscriptions differ
depending on the level of leadership that one is at.
General and ordinary membership is standard at K100 per person per annum (year).
#Team7500 is a charity headed by a NATIONAL Directorate. The most senior leader of #Team7500 is the National Director who is also
the International President of #Team7500 International. We have global offices in USA, UK, Australia, Botswana, South Africa, Canada,
China, Thailand, DR Congo and Namibia. In Zambia we have representation in all the 10 Provinces headed by Provincial Directors who
are paired into two and they fall under Regional Directors. Then we have District and Constituency Directorates, all headed by a Director
with 65 management members. #Team7500 is everywhere, growing FAST and FURIOUS !
#Team7500 is the world’s fastest growing Youth Led charity and development organization set to change and impact lifestyle in ZAMBIA
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Cell: 0966 969 851 | Email: [email protected]
Web: www.team7500.com
5 │ News
Fuel shortage: Who’s to blame?
Image: Zambia Voice
President Lungu has “taken charge” of the
current fuel shortage, ordering “a short-term
intervention to secure immediate supply”, while
he examines other options, “including a criminal
inquiry” , read an overview of resolutions from a
cabinet meeting.
The short-term intervention allegedly referred to
Lungu ordering the Finance and Energy Ministries to devise a financing plan to allow a ship in
Dar es Salaam to immediately off-load its crude
oil. Last week, Indeni Petroleum Refinery shut
down due to lack of feedstock, as Finance Minister Alexander Chikwanda had not authorised a letter of credit to be issued to the supplier.
Meanwhile Energy Minister Christopher Yaluma reiterated that there was enough fuel in
Zambia, accusing some oil marketing companies of hoarding fuel. The Energy Regulation
Board (ERB) was therefore ordered to assess the quantity of fuel available at oil marketing
companies and filling stations to flush out any suspected hoarders. In addition, the Energy
Ministry was ordered to examine the current fuel supply contract, and ensure that it is terminated if breaches are discovered. The fuel supply contracts (see Fact Box) are shrouded
in secrecy, as pointed out by the Daily Nation, which keeps on being sent back and forth
between the Energy Ministry and the ERB in its attempts at getting some answers.
The story got more muddled when it came to the criminal inquiry. According to the resolutions, Lungu had expressed dissatisfaction with the explanations given by a “range of stakeholders” in the fuel supply chain. He had noted that some individuals “have deliberately
worked to sabotage fuel supply for purposes of financial and political gain”, but would “involve all the necessary government departments and agencies to bring about a definitive
end to the recurrent fuel shortage”. Lungu also regretted that “some individuals conspired”
to fix the price of fuel at excessive levels after the death of President Sata, but ensured the
public that “criminal and administrative proceedings will take effect accordingly”. In addition, he warned that he had taken note of “schemes by some people to disrupt the supply
chain of essential commodities so that they can profit from the ensuing crisis”.
Government did not specify the “range of stakeholders”, the “some individuals” or the
“some people”, but opposition Rainbow party president Wynter Kabimba accused the PF
of being as corrupt as the MMD when buying oil (see Fact Box). Government shot back: “If
Mr Kabimba has information and knows the people who are corrupt, the best he can do is
to report them to the police or come to us. Maybe he is talking from experience? I remember very well that he was mentioned in some oil deal when he was a minister. It seems he
has a lot of experience in that area of corruption,” stated Chief Government Spokesman
Chishimba Kambwili.
The fuel shortage first spread from Lusaka to other parts of the country, resulting in the
brief upsurge of a lucrative black market, before the shortage started easing off.
!
Fuel supply contracts
One of the first things President Sata did in office was to set up a commission of inquiry to look into fuel supply in
Zambia. The commission found that the previous MMD government had lost K2 billion to “malpractices” in petroleum
supply contracts from 2007 and 2011, reportedly caused by middlemen. The MMD had single-sourced several companies, including Dalbit Petroleum of Kenya, Addax Energy of Switzerland and Independent Petroleum Group of Kuwait.
Yet, the PF government soon got bogged down in its own malpractices. In 2012, it awarded a one-year contract for
supply of crude oil to Gunvor of Singapore and another for supply of petrol and diesel to Trafigura of South Africa.
Several of the losing bidders complained, pointing out that Trafigura was not the cheapest bidder.
Rumours had it that then PF Secretary General and Justice Minister Wynter Kabimba’s company, Midlands Oil Marketing Company, had benefitted, which led to the Anti-Corruption Commission considering – but dropping – investigating Kabimba: “The position really is that the allegations did not establish... were not substantiated, and as such the
inquiries were discontinued. The issue is closed,” stated ACC spokesman Timothy Moono in April 2013.
In 2013, government awarded the supply of diesel to Dalbit, despite having blacklisted Dalbit upon the recommendation of the commission of inquiry. Under Dalbit’s last contract with MMD, a 2-year contract signed in April 2009, and
brokered by former President Banda’s son Henry, the company was contracted to supply 84,000 cubic metres of diesel
annually, despite being more expensive than the lowest bidder, but later the volume increased to 155,000 cubic metres
without lawful justification, and Dalbit was overpaid $101.4 million. In addition, Kabimba claimed that Dalbit had tried
to bribe him when awarding contracts in 2012.
The Post suggested that “the short-term intervention” referred to by President Lungu is to give more contracts to Dalbit
to get rid of Trafigura.
Government u-turns on Constitution?
Government has seemingly u-turned on
the Constitution after cabinet decided to
amend Section 3 (1) of the Referendum
Act of 1967 to align it with Article 79 (3) of
the Constitution. “The inconsistency is that
the Constitution requires 50% of persons
entitled to be registered as voters to vote
in a referendum, while the Referendum Act
provides for all persons registered as voters
in a Referendum to vote,” stated acting
Government Spokesman Vincent Mwale.
The aim is to pave the way for holding a
referendum alongside next year’s general
elections, Chief Government Spokesman
Chishimba Kambwili stated. Despite promising a new constitution within 90 days of
assuming office in 2011, the PF government has been dilly-dallying ever since,
including claims to not have money for a
promised referendum on the new Constitution. The opposition UPND party warned
people not to get excited, pointing out that
the PF has broken many of its promises
when it comes to the Constitution.
Section 3 (1) of the Referendum Act: All
persons who at the time of a referendum
are registered as voters and entitled to vote
at elections to the National Assembly shall
be entitled to vote in the referendum.
Article 79 (3) of the Constitution: A bill for
the alteration of Part III of this Constitution
or of this Article shall not be passed unless
before the first reading of the bill in the
National Assembly it has been put to a National referendum with or without amendment by not less than 50% of persons
entitled to be registered as voters for the
purposes of presidential and parliamentary
elections.
Police car stoned in Barotseland
A police car has been stoned after three
Barotse activists appeared in the High
Court in Mongu for publication of false
news with intent to cause fear or alarm to
the public. Western Province Chief Stanwell Lungu said the car was stoned by the
activists’ alleged supporters. In August
2014, the three activists (Nayoto Mwenda,
Boris Muziba and Sikwibele Wasilota) were
sentenced to three years’ imprisonment,
but appealed to the High Court. They were
advocating for secession of Barotseland.
The High Court in Lusaka recently declared
the ‘publication of false news’ charge unconstitutional.
17 PSs in 17 years
Luapula Province has had 17 Permanent
Secretaries (PSs) since 1998, when Senior
Chief Mwata Kazembe of the Lunda People
came to the province. He appealed to
government to allow the PSs to complete
their terms in order to foster meaningful
development in the impoverished province. Luapula Province is not unique. PSs,
ministers and their deputies are being
regularly re-shuffled in most portfolios.
6 │ Business
Zambians to run Collum?
Nakonde closed
Civilstrust Consortium Limited
has teamed up with 10 Zambian
experts to put in a bid for Nkandabwe Coal Mines (formerly
Collum Coal Mine) in Sinazongwe,
reported the Post. Government
closed down the mine in February
2013, after cancelling the former
owners’ three mining licences
due to “a poor safety, health and
environmental record”. The former owners, a group of Chinese investors, sued government, which in the meantime had handed over
the mine to ZCCM-IH. Last year, following a prolonged argument
over the value of the mine’s assets, the former owners were allowed
to remove core assets. Since the mine closed down, it has struggled
with flooding in some shafts and fires in others, while ZCCM-IH has
had to retain all workers on the payroll at a reported cost of K1 2 million per month. Civilstrust Chairman Peter Kapala explained that the
consortium is also partnering with Civilstrust Consulting Engineers
of Zambia, RSV Enco of South Africa and Tetra Tech of UK.
Sun International
disposes of African assets
Minor International of Thailand has bought key stakes in eight
properties owned by Sun International, including 80% of its interests in Botswana, Namibia, Lesotho and Swaziland (Gaborone Sun,
Kalahari Sands, Lesotho Sun, Maseru Sun, Royal Swazi and Ezulwini
Sun) and 50% of its Zambian interests (Royal Livingstone and
Zambezi Sun). The collective net purchase consideration amounts
to 664 million Rand (about $54 million), as well as the face value of
any shareholder loans. Sun International would like more room to
consider capital investment opportunities elsewhere. Minor International operates more than 110 hotels, resorts and serviced suites
in 19 countries, including Anantara, AVANI, Per AQUUM, Oaks,
Elewana, Four Seasons, Marriott, St. Regis and Minor International.
Dangote to start up this month
Dangote Industries will commission its $400 million cement plant
in Masaiti on the Copperbelt by the end of March. The start-up of
operations has been delayed by flooding and by an outstanding
permit from the Zambia Environmental Management Agency.
Meanwhile, Dangote is on track to commence the construction of
an identical plant in Chilanga on the outskirts of Lusaka.
Nakonde Border Post in Muchinga Province has been temporarily
closed following unrest in Tanzania, where supporters of the ruling
Chama Cha Mapinduzi party and the main opposition Chadema
party clashed over a piece of land in Tunduma. Tanzanian police
fought running battles with the warring factions for the best part
of a day before the unrest was under control. The closed border
resulted in a temporary halt in fuel supply, as all fuel tankers were
stopped about 10 kilometres before Tunduma to prevent them
from being gutted. According to the Times of Zambia, about 500
trucks and 100 cars were marooned in Tanzania, in a queue stretching for more than eight kilometres.
Zambia to become a major coffee producer again?
Northern Coffee Corporation Limited is slowly revamping one
of Zambia’s old coffee estates, Kasama Coffee. The company has
invested over $30 million in four coffee estates (Kateshi, Ngoli, Luombe and Insanya) in Northern Province, involving a total of 1,300
hectares of coffee, and is looking for more land to expand – and
a more stable ZESCO supply. This came to light during a visit by
government officials at the Kateshi Estate.
!
Kasama Coffee
Kasama Coffee was set up by the UNIP government in 1978 as a World Bank-funded
project. It was managed by the parastatal RUCOM (Rural Community) Industries until
1984, when another parastatal, Zambia Coffee Company Limited (ZCCL), took over.
Initially comprising Ngoli and Kateshi estates north of Kasama, ZCCL added Isanya in
Mbala. In 1997, ZCCL was privatised and became part of African Plantations Company
(APC). In 2002, APC was sold to Rift Valley Holdings, which changed the name to
Kasama Coffee Company. The company went into receivership in the aftermath of the
global recession in 2008. In 2013, Olam International Limited of Singapore bought
Kasama Coffee Company, changing its name to Northern Coffee Corporation Limited. At
its peak, in 2004, Kasama Coffee produced one-third of Zambia’s 6,000 tonnes of coffee. In 2010, Zambia produced 1,250 tonnes of coffee. Zambia is generally considered
to be one of the most overlooked countries in the specialty coffee industry.
No more compensation to pig farmers
Swine fever has re-emerged in Lusaka and Chilanga Districts,
but government will not compensate farmers whose pigs are
slaughtered as a result of being infected, stated the Ministry of
Agriculture and Livestock. The current outbreak of swine fever was
first detected in Lusaka Province in November 2013. Government
had to “depopulate” over 12,000 pigs and clamp down on the
slaughter and movement of pigs and pork products. Despite this,
the outbreak spread to Southern Province (contained) and later to
Northwestern Province (not contained). Initially, government went
to great lengths to compensate farmers affected by depopulation. This is the third major outbreak of swine fever in Zambia. The
disease also hit the country in 1994 and 2004.
tŚŽ ŝƐ ŚŝƌŝŶŐ ƚŚĞ ƉĞŽƉůĞ ƚŚĂƚ zKh ŶĞĞĚ͍
WƌĞĐŝƐŝŽŶ ZĞĐƌƵŝƚŵĞŶƚ /ŶƚĞƌŶĂƟŽŶĂů ;W͘Z͘/Ϳ ƉƌŝĚĞƐ ŝƚƐĞůĨ ŝŶ ŽīĞƌŝŶŐ Ă ƐƵƉĞƌŝŽƌ ƐĞƌǀŝĐĞ ĂŶĚ ĐŽŶŶĞĐƚƐ ƐƉĞĐŝĂůŝƐƚ ƚĂůĞŶƚ ǁŝƚŚ ůĞĂĚŝŶŐ ĞŵƉůŽǇĞƌƐ ĂĐƌŽƐƐ Ăůů ƐĞĐƚŽƌƐ͘ KƵƌ ƚĞĂŵ ƉŽƐƐĞƐƐĞƐ Ă ĚĞƚĞƌŵŝŶĂƟŽŶ ƚŽ ďĞ ƚŚĞ
ďĞƐƚ ĂŶĚ ĂďŽǀĞ Ăůů ƚŽ ŽďƚĂŝŶ Ă ƉƌŽǀĞŶ ƚƌĂĐŬ ƌĞĐŽƌĚ ŽĨ ƐƵĐĐĞƐƐ͘ KƵƌ ƌĞĐƌƵŝƚŵĞŶƚ ĞǆƉĞƌƟƐĞ ƐƉĂŶƐ ĂĐƌŽƐƐ Ăůů ŝŶĚƵƐƚƌŝĞƐ ĂŶĚ ǁĞ ƉƌŽǀŝĚĞ ĞǆĐĞƉƟŽŶĂů ŽƉƉŽƌƚƵŶŝƟĞƐ ĨŽƌ ĐĂƌĞĞƌ ĚĞǀĞůŽƉŵĞŶƚ ĂŶĚ ďƵƐŝŶĞƐƐ
ƉƌŽƐƉĞƌŝƚǇ͘ tĞ ŚĂǀĞ ĐŽŶƐŝƐƚĞŶƚ ĐŽŶƚĂĐƚ ǁŝƚŚ ŐƌŽǁŝŶŐ ŝŶĚƵƐƚƌŝĞƐ ŝŶ ĂŵďŝĂ ĂŶĚ ƚŚŝƐ ƉƵƚƐ W͘Z͘/ ŝŶ Ă ƉŽƐŝƟŽŶ ŽĨ ƐƚƌĞŶŐƚŚ ƚŽ ĂĚǀŝƐĞ͕ ĞŶĐŽƵƌĂŐĞ ĂŶĚ ĨĂĐŝůŝƚĂƚĞ ƚŚĞ ĞŵƉůŽǇŵĞŶƚ ƉƌŽĐĞƐƐ ĨŽƌ ĐĂŶĚŝĚĂƚĞƐ ĂŶĚ ĐůŝĞŶƚƐ
ĂůŝŬĞ͘ WĞŽƉůĞ ĂƌĞ Ă ĐŽŵƉĂŶǇ Ɛ ŵŽƐƚ ǀĂůƵĂďůĞ ĂƐƐĞƚ ƐŽ ůĞƚ ƵƐ ĞŶƐƵƌĞ ǇŽƵ ŚĂǀĞ ƚŚĞ ^d ƉĞŽƉůĞ ǁŽƌŬŝŶŐ ĨŽƌ ǇŽƵ͊
͙͘͘ůů ǇŽƵ ŶĞĞĚ ƚŽ ĚŽ ŝƐ ƚŚĞ ŝŶƚĞƌǀŝĞǁ͊
tĞď͗ ǁǁǁ͘ƉƌŝĐŽŶƐƵůƚĂŶƚƐ͘ĐŽŵ ൟ ŵĂŝů͗ ƌƚŚŽƌŶĞΛƉƌŝĐŽŶƐƵůƚĂŶƚƐ͘ĐŽŵ | DŽďŝůĞ͗ нϮϲϬ ϵϲϴ ϵϳϱ ϵϲϰ
Harare | Lusaka | Maputo
8 │ News
ZAWA is no more
The Zambia Wildlife Authority (ZAWA)
has been abolished in the face of operational challenges. ZAWA will instead
revert to becoming the Department
of National Parks and Wildlife under
the Ministry of Tourism and Arts, not
the Ministry of Lands, Natural Resources and Environmental Protection.
The transformation will be effected
through an Act of Parliament, with
the Zambia Wildlife (Amendment) Bill
2015 to be tabled in parliament in June
2015, according to a statement from
the Ministry of Tourism and Arts. In the
transitional period, ZAWA will remain
a body corporate with powers and functions under the Zambia
Wildlife Act of 1998. Minister of Tourism and Arts Jean Kapata told
parliament that the ZAWA’s operational challenges were driven by
lack of funds. Allegedly, ZAWA owes statutory institutions such as
the Zambia Revenue Authority and the National Pension Scheme
Authority K8.1 billion and has failed to pay salaries for months. “The
limited revenue generation capacity of the institution implies that
even if government was to assist ZAWA to pay off its statutory debt,
the institution would still fall back into a debt trap,” Kapata stated.
ZAWA has also failed to pay communities their share of wildlife revenue, meaning that it has lost the confidence of its key partners in
wildlife management, Kapata added. With the transformation into a
government department, government is supposed to assist funding
ZAWA, while a plan to dismantle ZAWA’s debt is being implemented.
!
ZAWA
The Zambia Wildlife Authority (ZAWA) was established in 1998 under the Zambia
Wildlife Act of 1998. It replaced the Department of National Parks and Wildlife Service
(NPWS) in the Ministry of Tourism. The NPWS had been in existence since 1970,
but was faced with the same financial and operational challenges as many other
government departments. Accordingly, the European Union (EU) pushed for the
establishment of ZAWA. It was believed that an autonomous body would be able to
efficiently, effectively and sustainably manage Zambia’s wildlife estate for the benefit
of communities in particular. The EU promised to provide 12 million Euros annually
until sustainability was achieved, but it pulled out after Zambia disagreed with some
aid conditions, and government failed to fill the void. As a result, ZAWA has been
crippled financially. Instead of improving wildlife management, stories of ineptitude,
nepotism and tender irregularities surfaced. ZAWA manages 20 national parks, 36
game management areas, 2 wildlife sanctuaries and 1 bird sanctuary. However, only
parks with some private involvement are seemingly functioning, and South Luangwa is
the only park which is self-sustaining – after more than 25 years of consistent funding
from cooperating partners. Most of the national parks are completely abandoned with
no wildlife or trees. Currently there are 1,250 wildlife scouts against a requirement of
3,500.
A lot of ivory!
The Zambia Wildlife Authority is sitting on “8,585 pieces of ivory
weighing 34.8 tonnes as of September 2009 to September 2010”,
and “11,220 pieces weighing 46.4 tonnes as of October 2010 to
December 2014”, according to Deputy Tourism Minister Patrick
Ngoma, quoted in the Times of Zambia.
Australia bans lion trophies
Australia has banned the import and export of lion trophies from
hunting in a protest against “canned” hunting mostly taking place
in South Africa, where “hunters” can shoot lions in enclosures,
reported the Livingstone bi-Weekly.
OVERVIEW:
The media’s political allegiances
The shifting political stand of the press can be confusing at the
best of times. Here is an overview of the current positions of the
main players (printed and online):
Daily Mail and Times of Zambia are as ever faithful to government, irrespective of whichever party is in power. Villains turn
to heroes, and vice versa, in these two newspapers whenever
Zambia elects a new government. Despite government again
and again ensuring that the public media is free to publish what
they want, the two government-owned newspapers find it safer
to tow the line most of the time.
The Post started out as an anti-government newspaper, which
initially meant anti-MMD. When its patron, PF’s Michael Sata,
assumed power in 2011, Zambia all of a sudden stood without
an opposition newspaper, as the Post joined the Daily Mail and
Times of Zambia in praise of government. Things began to sour
when then Justice and Defence Minister Wynter Kabimba was
fired in August 2014, and the Post stuck with Kabimba through
the power struggle in the PF, opposing Edgar Lungu, who won
the struggle and proceeded to become Zambia’s current president. The Post is therefore back where it begun: rabidly opposing government. It has been owned by Fred M’membe since its
beginning in 1991.
The Daily Nation was started in 2012 in the vacuum left by the
Post turning pro-government. Initially it was against the PF government, but a few law suits later, and the newspaper mellowed
into a relatively balanced source of news. Today its editorial content is mostly coloured by its stand against the Cartel (see Fact
Box), in effect making it pro-government in some aspects and
pro-UPND in others. It is owned by Richard Sakala with a political
background in MMD.
The online Zambian Watchdog is continuing its crusade to cause
as much damage to government as possible. Not stepping back
from using one-source rumours and hearsay, the online publication is sometimes publishing false allegations, sometimes the
first with the news such as when it kept us up to date on the ups
and mostly downs of the health of the late President Sata. It was
started in 2009 by Lloyd Himaambo, allegedly funded by UPND’s
Hakainde Hichilema, and remains staunchly anti-government,
which also gives the impression that it has taken a liking to at
least some members of the Cartel.
The Zambia Reports, which together with the Zambian Watchdog used to constitute two peas in a pod always criticising
government, has now divorced its former partner. The Zambia
Reports is now passionately against the UPND, and has in the
process become pro-government. In addition, it has maintained
a strong stand against the Cartel and Finance Bank Chairman
Rajan Mahtani in particular.
Lusaka Times is one of the most reliable online sources of news in
Zambia. It was started with donor money in 1999 in the form of
Lusaka Information Dispatch, but operations were suspended in
2002, only to restart as www.lusakatimes.com in 2007. It is run by
“a number of people distributed around the world”.
!
The Cartel
There is a lot of talk about a so-called Cartel these days. Politicians, political commentators and the media are all referring to it. The Cartel is allegedly in opposition to
PF President Edgar Lungu. The following people have all been accused of having connections to the Cartel, including former Vice-President Guy Scott, Former PF Defence/
Justice Minister and Secretary General and current opposition Rainbow Party President
Wynter Kabimba, owner of the Post Newspapers Fred M’membe, Director of Public
Prosecutions Mutembo Nchito, his brother State Counsel Nchima Nchito, and Finance
Bank Chairman Rajan Mahtani. We hasten to add that this does not mean that these
people belong to the Cartel, or that the Cartel actually exists.
9 │ Nchito
Nchito tribunal to go ahead
!
The tribunal appointed by
President Lungu to investigate
Director of Public Prosecutions
Mutembo Nchito has been sworn
in, after High Court Judge Mwila
Chitabo u-turned on his earlier
decision to stay the tribunal.
Last week, President Lungu
Chief Justice Irene Mambilima (centre) flanked by what she
suspended Nchito and appointed
deemed “the best and most experienced legal brains” in the form
a tribunal to inquire into his alof tribunal members Justices Enerst Sakala, Annel Silungwe,
Matthew Ngulube and Matthews Zulu
leged misconduct (see Fact Box).
However, Judge Chitabo stayed
both the suspension and the tribunal, granting Nchito leave to apply for
judicial review to determine the constitutionality of the tribunal. yet, he
changed his mind after hearing the State: “I wish to state that the ex-parte
order has been vacated as indicated above, not because of threats and intimidation by the PF Secretary General but on the binding doctrine of stare
decisis,” Judge Chitabo said, using the Latin term to refer to a precedent
set by the Supreme Court that judicial review cannot be used to curtail
proceedings of a tribunal because they are investigative in nature.
The tribunal was duly sworn in. It includes three former chief justices,
namely Annel Silungwe (chair), Mathew Ngulube and Ernest Sakala, and is
aided by Secretary Mathew Zulu. Lungu has appointed Lillian Shawa Siyuni
as acting Director of Public Prosecutions. UPND MP Cornelius Mweetwa
wondered whether Nchito would get a fair hearing, claiming that both
Matthews Ngulube and Ernest Sakala should have declared interest in the
matter due to “unfinished business” with Nchito.
Initially, government announced that the tribunal would be closed to the
media and members of the public, but later changed its mind. Hearings will
take place at Mulungushi International Conference Centre in Lusaka. They
will commence on 1 April.
Did she also steal the properties?
The Ministry of Foreign Affairs has apparently asked Tanzania to extradite
former Deputy High Commissioner to the UK Eva Fundafunda for alleged
theft of title deeds for three of Zambia’s properties in London. Fundafunda
had reportedly removed the title deeds from the safe at the high commission
and taken them home, but they were stolen when Fundafunda was recalled
in 2013 to be posted as ambassador to China. Instead, Fundafunda sought
asylum in Tanzania for fear of being prosecuted in Zambia over the lost title
deeds, stated Foreign Affairs Permanent Secretary George Zulu. It was unclear why government was making such a fuss about the title deeds, if they
had in fact been stolen, but further details were not provided. Fundafunda
was appointed by the late President Sata.
,
What will the tribunal investigate?
1. Investigate allegations that the Director of Public Prosecutions (DPP)
has repeatedly abused the authority of his office by indiscriminately
entering nolle prosequi in cases in which he is alleged to have an interest
of his own to serve, namely:
(a) The People versus Shubert Sinkala, despite not seeing the evidence
from the complainant;
(b) The People versus Hakainde Hichilema, despite knowing that the Attorney General had advised that the state had appealed (in a similar case
against the Daily Nation Newspaper) against the judgment of the High
Court that declared Section 67 of the Penal Code unconstitutional;
(c) The People versus Lameck Phiri;
(d) The People versus Rajan Mahtani and John Peter Sangwa (Mahtani’s
lawyer).
2. Investigate alleged misconduct or misbehaviour of the DPP whereby
on 20 February 2015 the DPP purportedly took over prosecution of a matter before Senior Resident Magistrate Lameck Mwale where the DPP was
personally an accused person and proceeded to enter a nolle prosequi in
his own case thereby defeating the ends of justice (the Ng’uni case – see
left column).
3. Investigate the DPP’s alleged uttering of a false document procured by
means of false and fraudulent representation to Supreme Court Judge
Gregory Phiri, under Case Number 1998/HP/2097, whereby he inserted
and sneaked in two extraneous paragraphs in an order of court, thereby
misleading the court.
4. Investigate the DPP’s act of intentional disrespect to judicial proceedings and to High Court Judge Nigel Kalonde Mutuna in particular,
between 1 January 2011 and 31 December 2012, by walking away from
the court.
5. Investigate the allegation that the DPP has taken over matters in
which he has a conflict of interest relating to his business partners (Fred
M’membe and the Post Newspaper) and Rajan Mahtani (creditor),
thereby going against his statement made before the Parliamentary
Select Committee of the National Assembly that he would not take over
such matters.
6. Investigate allegations that the DPP connived with the Drug Enforcement Commission (DEC) to plant illicit drugs on Brebner Changala and
Agness Kawandami, whereby the DEC swapped de-worming Vermox
tablets found in Agness Kawandami’s belongings at Changala’s residence
with what was said to be Ecstacy.
7. Investigate the alleged misbehaviour of the DPP whereby on or about
8 May 2013 he purportedly took over the prosecution of his known
business allies Fred M’membe and the Post Newspaper without declaring
conflict of interest in a matter where a complaint was laid by a private
citizen (former President Rupiah Banda) against the duo for contempt
of court.
8. Recommend to the president whether the DPP ought to be removed
from office for above allegations.
10 │ Background
HISTORY:
Mulungushi Rock is located in Kapiri Mposhi!
Local authorities have
pointed out that the
famous Mulungushi
Rock of Authority is
not located in Kabwe
District, as widely
believed, but in Kapiri
Mposhi District. District
Commissioner in Kapiri
Image: Lowdown Mposhi Beatrice Sikazwe told the Daily Mail
that the boundary between Kabwe and Kapiri Mposhi is defined by the Mulungushi River,
and Mulungushi Rock of Authority, Mulungushi University and King George VI National
College are, therefore, located in Kapiri Mposhi District, as they are north of the river. To be
exact, they are located in Mpunde Ward of Kapiri Mposhi. This was confirmed by Kabwe
District Commissioner Patrick Chishala, who speculated that the continued misplacement
is caused by the site’s political importance (see Fact Box). The general public is however
confused by the fact that the rock, university and college were located in Kabwe Rural until 1994, when Kapiri Mposhi District was created. In addition, the institutions are located
closer to Kabwe than Kapiri Mposhi, and Mulungushi University still uses a postal address
in Kabwe and has a campus in Highridge in Kabwe.
!
History
Mulungushi Rock of Authority invokes a lot of feelings, as many see it as the birthplace of Zambia. In 1960, the United
National Independence Party (UNIP) held its first party conference at Mulungushi Rock. The site north of Broken Hill
(today Kabwe) was chosen for its isolation (to avoid the colonial authorities), for its space (to accommodate temporary
shelters of about 2,000 participants) and for its closeness to Mulungushi River (to ensure water supply). The conference
was an important step towards Zambia attaining independence under the leadership of UNIP. Due to its significance,
UNIP continued to use the site for party activities, including significant policy speeches such as the Mulungushi Declaration in 1968. Later the site became known as Mulungushi Rock of Authority, and was used by other parties as well,
although most conferences these days take place indoors at the commercial centre of the nearby Mulungushi University.
FIGURES:
Water permits
The Water Resources Management Authority (WRMA) has
Province
Number of permits
publicised an overview of water permits (formerly water
Central
150
rights) in Zambia, in the process giving an insight into how
Copperbelt
29
development is distributed (see table). All persons who use
Eastern
0
water for agricultural purposes or for bulk supply in Zambia
0
require a water permit under the Water Resources Manage- Luapula
Lusaka
83
ment Act of 2011. Its predecessor, the Water Act of 1949,
Muchinga
0
did not apply to Western Province, Zambezi River, Luapula
River, and the part of Luangwa River which constitutes the
Northwestern
13
boundary between Zambia and Mozambique. In 2014, the Northern
13
WRMA asked to be notified by all holders of water rights
Southern
112
under the 1949 Act to allow the authority to convert them
Western
0
into water permits under the 2011 Act. The publicised
overview includes the notifications of water rights received
by the authority so far. The permits range in volume from 5 m3/day to 230,000 m3/day for
individuals, not including water utilities such as Lusaka Water and Sewerage (110,000 m3/
day), large corporations such as Zambia Sugar (888,000 m3/day) and hydropower schemes
such as Itezhi Tezhi Power Corporation (18.1 million m3/day).
Football in brief
Power thrashed in Gabon
Power Dynamos has lost 0-4 away to CF
Mounana of Gabon in the first leg, first
round match of the Confederation Cup,
and will have to score five unanswered
goals in the return leg in Zambia on 4
April to qualify to the second round.
Coach Tenant Chilumba remained confident: “This fixture is not yet over. I know
we can still score five goals at home, and
sometimes there is an element of luck in
football,” he said. To reach the first round,
Power eliminated AL Khartoum 2-1 on aggregate. Power won 2-0 in Kitwe but lost
0-1 in Sudan.
U20 thrashed in Senegal
The U20 Chipolopolo have been kicked
out of the 2015 African Youth Championship in Senegal after losing 0-1 to Mali, 1-2
to Ghana and 2-5 to South Africa in Group
B. The championship served as a qualifier
to the 2015 FIFA U20 World Cup in New
Zealand. Coach Hector Chilombo said
the team would now turn its attention to
the 2017 tournament, but commentators
were up in arms. They pointed out that the
U17 Chipolopolo last month were booted
out of the 2015 CAF U17 Cup, while the
senior Chipolopolo have been on a downhill slide ever since they won the 2012
Africa Cup of Nations.
General Kanene leaves jail to sing
Musician Clifford Dimba, known as General
Kanene, who is serving 18 years for defilement of a 14-year-old girl, performed at
this year’s Women’s Day celebrations on 8
March. The Non-Governmental Organisations’ Coordinating Council (NGOCC) was
insulted, pointing out that it went against
the day’s theme of ‘Gender is my Agenda;
Make it happen’. NGOCC Chairlady Sarak
Longwe said: “Instead they didn’t make it
happen, they just went the opposite”. The
Zambia Association of Musicians (ZAM)
saw it in another light: ZAM President
Njoya Tembo argued that Dimba had
reformed, and thanked government for
allowing the musician to conduct sensitisation programmes. Dimba was jailed
in April 2014. He has appealed to the
Supreme Court, but was denied bail.
Zambia Weekly
Editor-in-chief: Camilla Hebo Buus
[email protected]
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