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Sunday, November 27, 2011

(HERALD) Share ownership trusts: Empowerment in action

Share ownership trusts: Empowerment in action
Saturday, 26 November 2011 00:00

President Mugabe on Wednesday launched the Tongogara Community Share Ownership Trust in Shurugwi after a historic deal with Unki Platinum Mine. Our Features Editor Isdore Guvamombe (IG) talks to Shurugwi Development Association chairman Francis Nhema (FN) who is Minister of Environment and Natural Resources management

IG: How does it feel to be a diplomat who served the Ministry of Foreign Affairs for 7 years, a banker who provided 50 000 housing units within 10 years, a Government Minister, farmer, a legislator, a chairman of a community association and a family man?

FN: I just feel humbled. I have to work for the country, for the development of the community that I serve. I think everyone must work for the development of this country.

In fact, we should all commit ourselves to making this country great by dedicating most of our time to national development. It is us who should make these communities and our country great. No one else!

IG: For today, let us concentrate on the Unki Mine shareholding deal.

FN: We are ecstatic. We are only the second community after the Chegutu-Mhondoro-Ngezi Community Share Trust and we are proud that we have now been able to tap into the national economic empowerment and indigenisation programme. We feel great.

IG: I understand the deal was struck through the Shurugwi Development Association, which you chair. Can you explain?

FN: Yes sure! The Shurugwi Development Association was established in 1996 by the late Governor of the Midlands, Mr Herbert Malaba, but has since been chaired by me.
There were lengthy negotiations and I must say we need to thank the Minister of Indigenisation Cde Saviour Kasukuwere and his staff for their input. At times they really pushed hard and they did extremely well for us to secure the deal.

IG: Give an insight into the negotiations.

FN: In all the negotiations Shurugwi Development Association represented the Tongogara community under chief Nhema, Ndanga and Banga. As a community, we are now the proud joint-owners of a platinum mine called Unki with Anglo American Corporation in the Chironde area, named After Chironde Mountain Range.
The community now owns 10 percent shareholding. All negotiations were done through the guidance of Cde Kasukuwere's Ministry.
We give him his credit and we are also very grateful to the President for his stance on Indigenisation and empowerment.

IG: But there is some money involved too . . .

FN: We were also given US$10 million and the trust will soon transfer it into its account.

IG: Who will administer the money?

FN: A group of trustees lead by the local chiefs and supported by business people from the area, will administer the fund.

IG: What are you going to use the money for?

FN: The money will be used for community development in terms of infrastructure development, schools, clinics, irrigation schemes and several others, as dictated by the community' needs.
The money is going to be used for infrastructure development and we believe irrigation schemes are paramount if we are to have food security in Shurugwi since it lies mostly in agricultural region four and five.
As you know the rainfall pattern here is erratic and climate change has affected farmers.

IG: Is water readily available then?

FN: Yes, we have enough rivers to dam, harvest and improve our food security. So with this kind of money, Shurugwi will never be the same, again. We will make a difference.
We should be cropping year round, we should also be improving on our livestock and introducing new breeds.

IG: Which other sectors?

FN: It's a complete system that needs to be improved like in education, where we need to build real schools in resettlement areas, electrify schools, equip schools with books and computers improve our vocational training centre and facilities there.
We have close to 30 secondary schools and the training centre should feed on them.
The health delivery system is yet another area.
We need more equipment, more drugs and even new clinics so that those affected by HIV and Aids will not travel long distances and have easy access to drugs.

IG: Let us move to mining. Your area is notorious for illegal panners. What difference will this shareholding scheme make?

FN: You are right. Shurugwi in the past, lets say about five years ago, recorded the highest number of gold panners. At one stage we had 30 000 and they were known for bad social ways.
We have managed to clean them out and now we have 1 000 of them that have been turned into real miners. We need to continue equipping them mine gold, chrome and other mineral because we are on the Great Dyke Range.

IG: That should bring to the question of other mining companies in the area. Are we going to see another deal soon?

FN: After Unki, the Shurugwi Development Association has shifted focus to two other mining giants, Zimbabwe Iron and Steel Smelting Company (Zimasco) and Todal Mines for almost similar deals. If we agree with these two, which we should, we will get another 10 percent each and some millions of dollars.
That will be the greatest development for our people. That will be the fulfilment of the national economic empowerment and indigenisation vision.

IG: In short, what has the Shurugwi development Association achieved over the years?

FN: We have implemented an array of projects from schools to dip tank and clinics.
We have also leased out the Grand Hotel to small groups, we have built a complex at Tongogara Business Centre where every Government department is represented. The complex has a 2 000 people - seater hall, as well.
We engage stakeholders and every person from Shurugwi is a member of the association and is allowed to attend meetings held on Sundays.
We have electrified schools, we have built clinics, we bought three tractors that assist the elderly, the disadvantaged and child-headed families.
On the social scene, we have been able to assist three groups record their music.
We have held soccer tournaments and social gatherings. We are there and working with our community for effective development.

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