Maravi

Minning companies should pay more, says Kaunda

Minning companies should pay more, says Kaunda
By Brighton Phiri
Wednesday February 20, 2008 [03:00]

Dr Kenneth Kaunda yesterday said he could have asked for more than what the MMD government is demanding from the mining companies if he was in President Levy Mwanawasa's shoes. Commenting on government and the mining companies' impasse over the newly introduced mineral taxes, Dr Kaunda said there was need for the mining companies to pay more than what government was demanding. He said there was no room for dialogue over the new mineral taxes.

"What do you dialogue about? This is a just what every government anywhere and everywhere does. Why can't they be reasonable and sensible? I think what government has asked is something that I could not have asked. I could have asked them to pay more," Dr Kaunda said. "What do you negotiate about? The government must just put its foot down and tell them that this is what we have decided and this is it... period."

Dr Kaunda said the mining companies had no option but to accept the government's demand for a fair share of its resources. He said Zambians were very right to get angry about their demand for a fair share of the country's mineral revenue.

"I do not understand how some people thought about Africa... because it is not just about Zambia. We welcome the investors in Africa and Zambia, but they must understand that this is the property through which we want to get funding for our education, health, rural development, agriculture, communications, roads rehabilitation and other social services," he said.

Dr Kaunda said it was difficult to understand why the mining companies were resisting Zambians' demand for a fair share when they had already taken away more of their interest.

"I only hope they will co-operate with government and give them what they are asking, otherwise I could have asked for much more. I am justified to do that and I support what the government is saying," he said.

Dr Kaunda reminded the mining companies that his government paid the British South African company (BSA) three million pounds to get back the mineral rights on behalf of Zambians.

He said it was justified for Zambians to claim for a fair share because they had to pay to regain their mineral rights that they lost to their colonial masters.

"Just on the eve of our independence, we paid BSA three million pounds to get back our mineral rights as they were still in the hands of the foreigners. And that was done for the good of both the foreign investors and Zambians. It is justice and fair play on both sides," he said.

Last week President Mwanawasa asked the mining companies to stop shouting against the new mineral taxes from an anthill. He said there was no justification for the mining companies to criticise government for asking for a fair share of its resources.

Labels: KENNETH KAUNDA, WINDFALL TAX

posted by MrK @ 7:53 AM