Maravi

Rupiah must swallow pride over windfall, says Ngoma

Rupiah must swallow pride over windfall, says Ngoma
By Kabanda Chulu in Kitwe
Thu 04 Feb. 2010, 04:01 CAT

SINDA FDD member of parliament Levy Ngoma yesterday challenged President Banda to swallow his pride and re-introduce the windfall taxes that can be used to repair damaged roads in mine areas.

And transport and logistics expert Henry Chipewo has said it will be better to invest the sought-after loans in the railway sector because the roads would still get damaged by the mines due to inadequacies in the transport policy.

Reacting to President Banda’s intention to acquire higher interest loans from the World Bank that would be used to finance the repair of roads damaged by mining activities in the country, Ngoma said it was unfortunate that the MMD government does not listen to the people.

“To them everything is politics but our advice is not, we are talking about the lifeblood of the Zambian economy and mining is one of the God given resources which Zambians should get maximum benefits from. So it does not make sense for government to borrow,” Ngoma said.

“The issue of windfall tax is still alive and President Banda and his government should swallow their pride and come to Parliament and re-introduce the windfall tax that can be applied to repair the damaged roads.”

He observed that the mines were the biggest contributor to degradation of roads and should be asked to pay more rather than borrowing at higher interest.

“The World Bank are laughing at us that we have gone back again to borrow and yet any responsible government should discuss with the mines and ask them to contribute more, as much as we want our roads to be repaired but not at our expense hence they should not borrow but get from the mines which contribute more to degradation of the roads,” said Ngoma.

And Roan PF member of parliament Chishimba Kambwili said it would be folly for the MMD government to tie people to a higher interest loan when Zambia was capable of making its own money.

“Maybe President Banda is misguided on this issue and it shows that the MMD government is not serious with what they are doing because we can get taxes to repair our roads unlike tying people to a loan when we are capable of making money through mining royalties and windfall taxes,” said Kambwili.

And Chipewo advised the government to immediately revise the transport policy to compel all carriers of bulk traffic to use the railway lines.

“It is better to get a loan and invest it in the railway sector since the roads would still get damaged by the mines due to policy inadequacy and this will be wasting money since government will just be patching up holes,” said Chipewo.

“And it is time to appreciate the role of railway transport in economic development hence government should revise the transport policy so that bulk traffic such as from the mines, is used on the railways and government must revive the railway line that linked all mining towns on the Copperbelt.”

Labels: HENRY CHIPEWO, INFRASTRUCTURE, LEVY NGOMA, MINING, RAIL, RUPIAH BANDA

posted by MrK @ 4:11 PM