Tuesday, February 16, 2010

Deal with corruption in road sector, expert advises govt

Deal with corruption in road sector, expert advises govt
By Kabanda Chulu in Kitwe
Tue 16 Feb. 2010, 04:00 CAT

THE government should address increasing corrupt activities in the road construction sector where consulting engineers and supervising contractors are certifying poorly constructed roads for payments, transport and logistics expert Henry Chipewo has observed.

And Chipewo has said it will not be prudent for Zambia to borrow money from the World Bank at higher interest rates to finance reconstruction of roads damaged by heavy rains leading to copper mining areas.

Rail infrastructure is the best mode of transporting inputs into the mining areas and also for transporting finished copper cathodes for export market.

But the current state of rail infrastructure makes moving goods by rail highly uneconomic resulting in the bulk of cargo being ferried by road, occasioning greater expense both in terms of cost of freight and the broader national cost of road maintenance and rehabilitation.

Despite being a cheaper mode of transport, the railway systems in the country is in a dilapidated state due to factors ranging from inadequate government transport policies on the transport sector resulting in inefficient operations as well under capitalisation.

This has led to an increase in the cost of doing business in the country.

Chipewo said last week that it would not be prudent for Zambia to borrow money from the World Bank at higher interest rates to finance the rehabilitation or reconstruction of roads damaged by heavy loads of copper in the Copperbelt mining towns.

“World Bank loans are known to be repaid over many years of up to 40 years and by the time they are repaid, the roads will have been damaged and repaired many times over rendering the investment a sheer waste of public funds and an imposition of a debt burden on the already impoverished Zambians and a complete misallocation of funds needed for meaningful development,” Chipewo said.

He said the British colonial government was wise when it realised right at the discovery of mineral resources in Northern Rhodesia that rail transport was better to carry the heavy metals from the mines to international markets.

“They also realised that to move the ore between mines for processing cost effectively, the best logistics and means of locomotion was rail transport,” he said. “This logic was and is still sustainable even today from the civil or highway engineering and transport economics point of view.”

He said from the engineering point of view, roads were constructed to a particular grade to carry a certain dynamic weight.

“The mixture of the elements must be in such a proportion that once constructed a road can easily sustain a particular weight exerted on it such as 20, 30, 40, 50, 60 tonnes and to design and build a road that will carry a load of 60 tonnes and last for 20 years or more without developing potholes goes at a premium and will cost not less than US $5 million or K23 billion per kilometer, a toll order for a country such as ours,” Chipewo said.

“Secondly, given the level of corruption in the road sector, there is just no way as a people we can responsibly spend such amounts of money on the roads to last 20 years save for Ndola-Kitwe dual carriage way, Kapiri-Ndola and Kapiri-Serenje roads which were built before we became hopelessly corrupt. What is happening now is that, roads fail and develop potholes within the liability defect period of one year and no eyebrows are raised by authorities responsible. In those instances, it means that, 30 or 50 per cent of elements have been reduced so that the money saved can go towards ‘oiling’ those who were awarding contracts, the so called consulting engineers, supervising contractors and a tandem of others who will certify poorly constructed roads for payment commissions.”

He said economically, the railway sector was the best means to carry heavy and bulk traffic in any economy.

“This infrastructure, fortunately already exists on the Copperbelt. There are branch lines linking all mining areas save for Ndola-Luanshya branch line which was recklessly allowed to be vandalised because of lacking knowledge and appreciation of the importance of a railway in developing an economy,” Chipewo said.

“Assuming that the total length of the branch railway lines on the Copperbelt up to Kapiri Mposhi to link to TAZARA Tanzania Zambia Railways Authority is 500 kilometres, the over estimated cost of routine and periodic maintenance of the track is around US $500,000 per annum a pittance compared with the road.”

Chipewo explained that over US $1 million is spent just to advertise a 500 kilometre-road contract, evaluation of tenders and for a contractor to mobilise and move on site.

“Then add the cost of setting up camp with such conveniences as DStv, chalets, generators for electricity, among other things, another US $1 million is spent and lastly add the US $ 1.5 million per kilometre which includes ‘graft’ cash, the total cost to the taxpayer is a whooping US $752,000,000 and in kwacha terms I do not know what it is! And within one year, the country will be crying for another disbursement to start the cycle of wastefulness as the roads will have developed potholes again! In terms of operations and cost reduction strategy, it is cheapest to use the railway,” said Chipewo who is also former TAZARA managing director.

He said one locomotive engine on inter-mine operations can haul up to 20 wagons or more in one operation carrying 50 tonnes each, an equivalent of pulling 36 truck and trailers.

“Hence, in terms of operations and maintenance costs, a railway enjoys unparalleled massive economies,” said Chipewo. “My advice in as far as this issue is concerned is that, let us concession the branch lines on the Copperbelt and give them to Zambians to run who will at the same time create employment and provide a service to the mines at a fee and save the country from contracting unnecessary loans that have brought so much misery, underdevelopment and poverty among our people.”


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