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Consult National Assembly before engaging mines, Scott tells govt

Consult National Assembly before engaging mines, Scott tells govt
Written by Chiwoyu Sinyangwe
Monday, January 26, 2009 5:35:07 AM

PATRIOTIC Front (PF) vice-president Dr Guy Scott has opposed the recent announcement by the government to engage mining companies over the problems in the sector without consulting the National Assembly.

President Rupiah Banda indicated during the official opening of Parliament that the government would engage the foreign mining companies with a view to reducing some of the taxes introduced in the 2008 mining fiscal regime.

Debating on the presidential speech in Parliament, Dr Scott said the government should not take a unilateral way when dealing with the mines as the issues of the mining sector affected all the people in the country.

“This is a little bit worrying to hear that the government is planning to engage mining companies as we expect on this side of the House to be in constant engagement with them. After all, we are shareholders in Zambia Plc. We were surprised, but maybe not so much, that is why the Ministry of Labour and Social Security and the Hon Minister of North Western Province were denied access to the mine by malonda (security guard) the other day,” Dr Scott said.

“Sir, in two swift pages, we have moved from engaging with the mining companies and discussing in a friendly manner to threats of unspecified action if mining companies dared to lay anyone off.”

Dr Scot also wondered what mechanism the government was going to use to compel the mines not to retrench workers as part of cost-cutting measures due to the plummeting copper prices.

“Sir, these again are threats without substance or specified sanctions and are difficult things to work with. There is no law that can force a mining company or any other company to continue to employ somebody. Where is the sanction? Are they going to have their licences revoked or what? This of course is not the end. From another source, ministry or department comes another policy,” wondered Dr Scot.

“Therefore, we have moved from talking to them, threatening and warning them, and now to bribing them with tax cuts, again unspecified, that with positive incentives they should not lay off workers.”

Dr Scot also said it was difficult to deduce the stimulus package the government would give to the mining sector as the presidential speech lacked clarity on the matter.

“Mr. Speaker, such inputs in documents like this, of course, we all know that His Excellency does not write it himself, need to be digested into policy. What is the policy? Are we going to chat with them? Are we going to punish them? Are we going to give them tax incentives or are we going to appoint a task force? There is nothing specific in here. They are a bunch of reproduced ideas produced by different individuals, which is why it resembles an opened bag of salaula (second hand clothes),” said Dr Scott.

Labels: GUY SCOTT, MINING, NATIONAL ASSEMBLY

posted by MrK @ 5:35 AM