Implats may set up Zimbabwe refinery
10/04/2012 00:00:00
by Business Day
PLATINUM producer, Zimplats is reported to have agreed to set up a refinery in Zimbabwe as pressure mounts on platinum producers to beneficiate minerals inside the country.
Zimplats deputy chairman Muchadeyi Masunda said the company had committed to setting up a refinery in Zimbabwe.
"Despite all that has happened … the smelter and refinery project is on course." Current production levels are considered too low to sustain a refinery. The platinum output of the top platinum producers in Zimbabwe is below 500000oz.
However, Zimplats has revealed that it intends to ramp up its output to 270000oz from 180000oz after the successful implementation of its phase two expansion project.
Mimosa, jointly run by Implats and Aquarius Platinum, on the other hand, is planning to double its production to 200000oz a year from 100000oz.
Masunda said Zimplats "initially set aside $500m for the beneficiation project" and was assessing "the kind of infrastructure required" for the refinery.
He said it was necessary for Zimplats to "be assured of adequate stockfeed going forward".
Zimbabwe’s decision to push the beneficiation of raw materials is based on job preservation and creation.
However, Amplats CEO Neville Nicolau has previously said platinum miners could look at setting up an "industry refinery" in Zimbabwe in about five years.
Zimbabwean analysts emphasised that Zimplats would require about $2bn to set up the refinery, which "would be difficult under current conditions" that are fraught with legislative hurdles.
Others said, however, that Zimplats could agree to set up the refinery under phase three of its expansion project.
This comes as Zimbabwean officials said last week that the government was looking into complaints by the mining industry that ground rentals, fees and taxes would curtail production and drastically reduce profitability.
"The ministry is presently reviewing the impact of these fees on the mining sector," mines ministry permanent secretary Prince Mupazviriho was quoted saying.
Zimbabwe hiked pre-exploration fees for most minerals by as much as 8000% in January, while registration charges for platinum and diamond claims rose to $2,5m and $5m, respectively.
Labels: IMPALA PLATINUM, INDIGENOUS DIAMOND BENEFICIATION STRATEGY, MUCHADEYI MASUNDA, PLATINUM, ZIMPLATS
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Curbing Masunda’s corporate incest
By Tafadzwa MusararaCompanies, Politics Last updated on: February 3, 2012
BULAWAYO-BORN Harare mayor Muchadeyi Masunda is the chairman of nine private sector boards and director in three others. Masunda is the chairman of Old Mutual, a British-owned and controlled insurance firm which is the biggest resident in Harare. He is also the chairman of the Commercial Arbitration Centre housed at CABS Centre, a building owned by Old Mutual.
The mayor also chairs the John Sisk & Son board, a construction company that undertakes most of Old Mutual projects. He also chairs boards of directors of Siemens, Lafarge, Atlas Copco, Harare Innercity Partnership, Coates Bros and is a director for Meikles, Zimplats, Zimbabwe Alloys, HIB Holdings and Bindura Nickel Corporation. He also sits on the High Court and Supreme Court Rules Committee.
With all these appointments, one is persuaded to think that Masunda is the last born in this country.
What is most worrying is his continued presence in leadership in both private and public sectors concurrently. Such practice, in the main, yields a high fertile ground for corruption, nepotism and all other vices.
London mayor Boris Johnson, Washington DC mayor Vincent Gray and Los Angeles mayor Antonio Villaraigosa all resigned from private sector engagements when they took over their jobs. The reason is clear: to avoid overlaps and possible conflict of interest.
Here in Zimbabwe, Masunda is on absolute free reign. He continues to be chairman of Old Mutual and being Mayor of Harare. What happens when Old Mutual complains to the city of Harare over water rates? Will the City of Harare official apply their mind independently fully knowing that the boss has interests?
At the moment, Masunda is investigating businessman Phillip Chiyangwa’s acquisition of land owned by the City of Harare. Without trying to exonerate Chiyangwa on the matter, speculation is rife that the same land Chiyangwa took was also being eyed by Old Mutual, which is chaired by Masunda. Further, the appointed panel for the Tribunal is believed to be associated with the Commercial Arbitration Centre. The independence of the appointed judges becomes questionable.
It is this duplicity of roles, which compromise Masunda every time he makes a decision.
What is more painful to note is that if an Old Mutual tenant is in dispute with his/her landlord, the lease agreement (section 41) excludes the rent board to preside on such matters. The dispute has to go to compulsory arbitration at the Commercial Arbitration Centre, which Masunda is also chairs.
By virtue of being the chairman, Masunda has tremendous influence in appointing arbitrators. Surely, we do not need to learn rocket science to realise that the impartiality of the arbitrators is heavily compromised. By allowing Masunda to be chairman while also running Harare, Old Mutual is also proving that it is bankrupt in corporate governance.
Masunda is also the chairman of construction company, John Sisk & Son. Not even the worst fool would accept that the projects the company gets from Old Mutual are not a result of Masunda’s undue influence.
Does John Sisk & Son get cement from Lafarge at the same price with other construction companies given that the two companies have the same chairman?
Masunda is also a director of Meikles Limited where Old Mutual has a significant shareholding but this time represents the Moxon Meikles Family Trust which has more than 52% controlling interest. What happens if Old Mutual and this Trust clash? During the Nigel Chanakira debacle, Old Mutual saw things differently from the Moxon clan.
Masunda also sits on the boards of Zimplats, Anglo American plc, Zimbabwe Alloys and Bindura Nickel Corporation. These mining houses have in a way contesting interests and do not want the other to be privy to its own operations. How does Masunda handle this? It’s also obvious that Atlas Copco get the lion share of orders in these companies.
There is no place in the civilised world where you can find a public official deeply involved with private companies as much as Masunda. No society would tolerate an individual to have both private and public appointment at the same time.
The MDC is silent on the matter and is failing to realise that its appointee is a huge liability. The MDC can no longer speak against such practices in future should they be repeated by other political parties’ appointees. Where the hell is Transparency International? Why is Dr John Makumbe quiet? Is it because Masunda is one of their own?
The Minister of Local Government must confront Masunda to choose to be either in private or the public sector. Equally, all these companies he is part of their boards must, for once, have conscience and demand Masunda to resign either as mayor or as board member.
Old Mutual, a conglomerate listed in London and South Africa, must be upfront on this matter and declare if it allows politicians to chair their boards. We need to know so that we can give Old Mutual political treatment.
Masunda must also realise that the misconduct of some or all his private companies he represents compromise his mayorship. For example, Old Mutual fraudulently absolved itself from pension and policy payouts and this disadvantaged many pensioners who are now failing to pay for their council rates. The council, which he chairs, is now attaching the property of the same pensioners which Old Mutual pauperised.
This double dealing by Masunda must come to an end or it will end the little remnants of corporate governance in Zimbabwe.
As if the foregoing was not bad enough to stomach, Masunda is also a member of the High Court and Supreme Court Rules Committee where he sets the court rules. You couldn’t make it up!
Labels: HARARE, MAYOR, MDC CORRUPTION, MUCHADEYI MASUNDA, NEOLIBERALISM
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Muchadeyi Masunda’s corporate incest stinks
Posted by By Our reporter at 1 February, at 01 : 23 AM
BULAWAYO-born Harare Mayor, Muchadeyi ‘Muchie” Masunda is a Chairman of nine private sector boards and director in three others. The man‘s unbridled appetite for appointments in several entities that have contesting interest stinks!
Masunda (pictured above) is the Chairman of Old Mutual, a British owned and controlled insurance firm which is the biggest resident in Harare. He is also the Chairman of the Commercial Arbitration Centre housed at Cabs Centre, a building owned by Old Mutual.
Masunda chairs the John Sisk & Son board, a construction company that undertakes most of Old Mutual projects.
He also chairs boards of directors of Siemens, Atlas Copco, Harare Innercity Partnership, Coates Bros and a director for Meikles, Zimplats, Zimbabwe Alloys, HIB Holdings, Bindura Nickel Corporation, High Court & Supreme Court Rules Committee, etc.
With all this appointments, one is persuaded to think that Masunda is the last born in this country.
What is most worrying is his continued presence in leadership in both private and public sectors concurrently. Such practice, in the main, yields a high fertile ground for corruption, nepotism and all other vices.
Boris Johnson Mayor of London, Vincent Gray the Mayor of Washington DC, Antonio Villaraigosa the Mayor of Los Angeles all resigned from private sector engagements when they took over their cities’ top jobs. The reason is clear! To avoid possible conflict of interest.
Here in Zimbabwe, Masunda is on absolute free reign. He continues to be Chairman of Old Mutual and being Mayor of Harare. What happens when Old Mutual complains to city of Harare over water rates or on other material? Will the City of Harare officials apply their mind independently fully knowing that the boss has interest?
At the moment Masunda is investigating businessman Phillip Chiyangwa’s acquisition of City of Harare land.
Without trying to exonerate Chiyangwa on the matter, the rumour mill is saying the same land Chiyangwa took was also eyed by Old Mutual, which is chaired by Masunda.
Maybe it’s not true, but Masunda must not take appointments that compromise his integrity and judgement.
What is more painful to note is that if an Old Mutual tenant is in dispute with his/her landlord, the lease agreement excludes the rent board to preside on such matters. The dispute has to go to compulsory arbitration at the Commercial Arbitration Centre which Masunda is also the Chairman. By virtue of being the Chairman, Masunda has tremendous influence in appointing arbitrators. Surely, we do not need to learn rocket science to realise that the impartiality of the arbitrators is heavily compromised. By allowing Masunda to be Chairman, Old Mutual is bankrupt in corporate governance.
Masunda is also the Chairman of John Sisk & Son. No fools would accept that the construction projects it gets from Old Mutual are not a result of Masunda’s undue influence.
He is also a director of Meikles Limited where Old Mutual has a significant shareholding, but this time represents the Moxon, Meikles Family Trust which has more than 52% controlling interest. What happens if Old Mutual and this Trust clash? During the Chanakira debacle, Old Mutual saw things differently from the Moxon clan.
Masunda also sits on the boards of Zimplats, Anglo American plc, Zimbabwe Alloys and Bindura Nickel Corporation. These mining houses have in way contesting interests or do not want the other to be privy to its own operations. How does Masunda handle this?
There is no way in the civilised world where you find a replica of Masunda.
No society would tolerate an individual to have both private and public appointments at the same time.
MDC-T is silent on the matter and is failing to realise that its appointee is a huge liability.
MDC-T can no longer speak against such practices in future should they be repeated by other political parties’s appointees. Where the hell is Transparency International?
The Minister of Local Government must confront Masunda to choose to be either in private or public sector.
Equally, all these companies he is part of their boards must, for once, have conscience and demand Masunda to gracefully resign as Mayor or as board member.
Old Mutual, a conglomerate listed in London and South Africa must be upfront on this matter and declare if it allows politicians to heard their boards. We need to know so that we can give Old Mutual political treatment.
Masunda must also realise that the misconduct of some or all his private companies he represents compromise his mayorship. For example, Old Mutual fraudulently absolved itself from pension and policy payouts and this disadvantaged many pensioners who are now failing to pay for their council rates. The council, which he chairs, is now attaching the property of the same pensioners which Old Mutual pauperised.
This double dealing by Masunda must come to an end or it will end the little remnants of corporate governance in Zimbabwe.
By the way, I had forgetten, Masunda is a member of the High Court and Supreme Court Rules Committe where he sets the court rules.
?*Tafadzwa Musarara, Chairman Resources Exploitation Watch.
Labels: HARARE, MUCHADEYI MASUNDA
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Govt, Harare council clash over auditors
Monday, 21 March 2011 01:26 Local News
By Charlotte Musarurwa
THE settling of US$42 000 in fees owed to auditors who investigated two councillors on allegations of making false fuel claims worth about US$600 has caused a serious clash between the Government and the Harare City Council.
Local Government, Rural and Urban Development Minister Ignatius Chombo, who ordered the probe, insists that the council should settle the auditors’ bill.
However, Harare Mayor Mr Muchadeyi Masunda is adamant that the city cannot bear costs for an investigation it did not order and was not communicated to it and whose outcome it was also not aware of.
Minister Chombo appointed the probe team led by Mr Christopher Shumba to investigate councillors Casper Takura and Warship Dumba for allegedly making false fuel claims worth about US$600. The auditors invoiced the city US$42 000 after the investigation.
Minister Chombo last week said it was the role of the city council to pay for the “mischievous acts of the culprits”.
“It is not the role of the ministry to pay the investigating team. The very same council where the culprits work should pay for the auditors.
“When such cases are brought to me as allegations, I set up a team to investigate the cases.”
Minister Chombo added that it was a statutory requirement that the council should pay for such audits.
“When such cases are concluded, I write a letter to the mayor and to the town clerk informing them about the charges,” he said.
“My role is to assess the bill brought by the investigators before forwarding it to the city council. According to the Urban Councils Act, council is supposed to pay.
“We are compelled by the law in everything we do.”
But Mr Masunda told a recent full council meeting that the council would resist footing that bill.
“We do not know how we come in because we did not receive any report pertaining to the investigations or the outcome of the meetings,” he said.
“How do they expect us to pay such an amount?”
The investigators concluded that the two councillors had a case to answer. - The Sunday Mail
Labels: HARARE CITY COUNCIL, IGNATIUS CHOMBO, MDC CORRUPTION, MUCHADEYI MASUNDA
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COMMENT - 650 is not 4,000. The neoliberals want to destroy government, and firing 4,000 city workers in the capital is a good place to start. Reducing the size of government so their corporate buddies can take over (or not) is what they do. This is the MDC at work.
City to lay off 4 000
By Michael Chideme
HARARE City Council is overstaffed by more than 4 000 employees and is considering retrenching the excess labour, Mayor Muchadeyi Masunda has said. About 650 workers who were on council’s payroll have already been dismissed after they failed to turn up for the manpower audit held three months ago, giving credence to reports that the city had many ghost workers.
“The human resources audit indicates that we have a bloated structure,” said Mr Masunda in an interview yesterday.
The city employs in excess of 10 000 workers who chew up 70 percent of revenue in salaries and allowances.
The city’s monthly staff costs are believed to be about US$7, 5 million against revenue of around US$10 million.
If it retrenches the more than 4 000 workers, council can reduce its salary bill by almost half.
Management pay cheques gobble more than 5 percent of the total wage bill while allowances for workers range from 115 percent to 145 percent of gross monthly salaries.
Critical staff like medical doctors and engineers get the highest allowances.
Mr Masunda said the manpower audit revealed that the city could be run by about 6 000 employees.
“We have enlisted the World Bank to validate the numbers. We have to have the right size. The study that was conducted says the city could be run best by not more than 6 000 people,” he said.
Mr Masunda blamed the bloated figures on political interference, saying politicians gave directives for employment of “their relatives and cronies”.
“The same politicians that are calling the shots contributed (to the overstaffing),” he said.
The mayor said council would negotiate with those in management grades one to four who have individual contracts on retrenchment.
For those in grades five to 16, council would negotiate with their representative trade unions.
Council is presently not replacing employees who retire or die unless there are no special skills within the local authority to replace them.
“We have a case of the 650 employees who were on our payroll who failed to turn up at their respective job stations during the manpower audit.
“I have directed that they be struck off the payroll,” Mr Masunda said.
The Government recently ordered council to stop recruiting new workers until it met the approved 30 to 70 percent employment costs to service provision ratio.
Local Government, Rural and Urban Development Minister Ignatius Chombo, said any recruitment had to be sanctioned by his ministry.
Labels: HARARE CITY COUNCIL, JOBLOSSES, MUCHADEYI MASUNDA, NEOLIBERALISM
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Deputy Mayor blasts council
Municipal Reporter
Harare city councillors allege Mayor Muchadeyi Masunda and his council — which they are part of themselves — are the weakest administrators to lead Town House because of failure to rein in senior officials failing to implement resolutions.
Several councillors who spoke last Thursday during a full council meeting bemoaned council’s lack of power to cause officials to work and implement their resolutions. Deputy Mayor Clr Emmanuel Chiroto said the council was a toothless bulldog.
"I think we have been toothless for a very long time. We cannot allow this anarchy to continue. Heads should start rolling," he said, in reference to reports that some officials were abetting corruption and allowing the sprouting of illegal structures including flea markets.
He was supported by Clr Peter Moyo, who added that the council should not be outdone by the Sekesayi Makwavarara-led Commission that suspended several heads of departments for defying directives to implement resolutions.
"If the commission could fire seven directors, why cannot this democratically-elected council do the same?" he said.
Councillors were unhappy with the operations of some departments, especially the urban services and housing and community services departments.
Concerns were that council was failing to collect all revenue due to it because it was using an outdated valuation roll, which does not include new buildings and improvements made on the properties.
Clr Thomas Muzuva said the valuation roll in use was last updated 12 years ago when some leading wholesalers in South Avenue used a single shop but had now acquired several properties on the same street but this was not captured on the city billing system.
"Mayor, you are leading the least powerful council of all time. I am still young and have nothing to lose. Everyone will always say the mayor and his councillors are failures," said Clr Muzuva.
He said even if some of the councillors were to "walk naked", it was the image of Mr Masunda that would be at stake.
Mr Masunda has on several occasions blocked moves by councillors to cause the suspension of senior officials.
The councillors say each time debate on the ineffectiveness of council was raised, Mr Masunda quickly interjected and changed the topic.
Clr Casper Takura said the councillors were just acting as window dressers as they did not have the power to change anything. "We are just window dressers. We are allowing the officials to do as they please," he said in reference to an issue in which Zimphos was allegedly abstracting water from Cleveland Dam in violation of a council resolution.
Clr Panganayi Charumbira said some senior officials needed to be reminded that council was supreme.
His colleague, Clr Peter Mudavanhu, said management had failed the councillors.
Mr Masunda has previously accused some of the councillors of incompetence.
"Not all of you will get their wishes granted. I know who contributes and who does not. I will use my discretion. I know some of you suffer from stage fright. Hazvisi zvenyembe," he told the councillors in January when they accused him of favouritism in the appointment of council standing committees.
Labels: HARARE CITY COUNCIL, MDC CORRUPTION, MUCHADEYI MASUNDA
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Masunda faces probe for "protecting" Moxon
TH/TZG reporters
Thu, 24 Sep 2009 04:53:00 +0000
KINGDOM Meikles Limited chairman and current non-executive Mayor of Harare Mr Muchadeyi Masunda has fallen under the spotlight of KML investigators for allegedly agreeing to demands by specified former chairman John Moxon to alter the company’s financial results in a bid "to clear his name".
Econet Wireless chairman Mr Tawanda Nyambirai has also fallen under the radar of KML investigator, BCA Consulting, for "the dealings" between him and Moxon, now self-exiled in South Africa.
BCA Consulting are the Government-appointed investigators probing allegations of foreign currency externalisation by Moxon. This has resulted in the specification of all KML subsidiaries to allow for the investigations.
BCA alleges Moxon connived with Mr Masunda and other KML directors to alter the financial statements in an attempt to clear Moxon’s name.
The alterations were meant to accommodate changes required by Moxon.
BCA says Econet, which owns 10 percent of KML was in support of this attempt.
KML auditors have reportedly indicated unless there is evidence to justify adjusting the financial statements approved before the demerger, no adjustments were going to be made on the financial statements.
Apparently, two sets of financial results were going to be presented at the company’s next annual general meeting.
The first set being the financials prepared by the auditors with no alterations while the second set would have had changes "to accommodate adjustments required by Mr John Ralph Thomas Moxon".
With Econet owning 10 percent of KML and the Meikles family owning 42 percent, the adjusted financial results would have received a majority endorsement.
"The issue of trying to adjust the financial statements to reflect (Mr) Moxon’s wishes is being probed further," said BCA Consultancy.
"Available evidence point at the fact that you as chairman of KML have agreed to alter the chairman’s statement to incorporate changes requested by Mr John Moxon.
"Please be advised that this matter is being probed further and any changes you make to the chairman’s statement should be adequately supported by evidence warranting such changes."
In the interim, BCA said it would also investigate dealings between Mr Nyambirai and Moxon.
Said BCA: "Evidence available to us suggest that there are a number of transactions between the two which are connected to the investigations."
BCA has since called for the cancellation of the Extra Ordinary General meeting, which had been scheduled for today. The EGM sought for approval to have former KML CEO Mr Nigel Chanakira and directors Mr Callisto Jokonya and Ms Sibusisiwe Bango removed from the board.
Mr Chanakira said he would step down on condition that certain unfulfilled legal and administrative formalities of the demerger between KFHL and Meikles Africa have been completed.
Using power invested in them in terms of Prevention Corruption Act (Chapter 9:16), the investigators said the EGM required their authority.
"For the avoidance of any doubt, you as the chairman of KML has no authority to preside over the EGM, the same applies to the rest of the board members and any members including third parties."
BCA Consulting said their position had been motivated by Moxon’s continued involvement in the affairs of KML which was allegedly prejudicial to the company, particularly minority shareholders.
BCA attributed the board’s decision to withdraw litigation against Moxon for the recovery of US$22 million paid to Coolbay and Mentor Holdings as an example of Moxon’s continued influence at KML.
The investigators further allege that the reconstituted KML board was appointed by Moxon on July 7 2009 at a meeting held at Cape Grace Hotel in Cape Town, South Africa. The meeting was chaired by Moxon.
Most of the decisions were "refereed and decided" by Moxon for implementation without investigators’ approval.
"The evidence available to the investigators clearly shows a lot of bad faith, connivance and outright misrepresentation on the part of some of the board members of KML, and Andy Lane Mitchell, yourself (Masunda) and other third parties," said BCA Consulting.
Labels: JOHN MOXON, MEIKLES GROUP, MUCHADEYI MASUNDA
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Minister bungles Harare water deal
TZG/TH reporters
Wed, 19 Aug 2009 00:54:00 +0000
A CABINET minister from the MDC formation led by Prime Minister Morgan Tsvangirai is at the centre of bureaucratic bungling and flouting of laid-down tender procedures that has caused delays in fixing Harare’s water and sewer situation, according to reports from Harare.
The Wednesday edition of the Herald newspaper claims that Water Resources Development and Management Minister Samuel Sipepa Nkomo
"entered into an agreement worth over US$20 million for the rehabilitation of Harare’s water and sewer systems with a South African company, Engineering and Electrical Supplies, without going to tender as required, and the deal has since collapsed."
Minister Nkomo is said to have confirmed the deal was practically "dead in the water" after Cabinet rejected it because he had not followed proper procedures.
"It was supposed to go through tender, but it did not. The deal was signed, but we later decided that it should now be done by the City of Harare," reported the daily.
"Engineering and Electrical Supplies are now out of the question.
"We have agreed to let tendering and all other things go through. We had not done any tendering when we struck the deal. We thought it was going to be alright,’’ admitted Minister Nkomo to Cabinet.
Despite this admission, Nkomo is said to have blamed the collapse of the deal on the politics plaguing Harare Water.
"Some of these things get politicised. Harare is not an easy place," Minister Nkomo was reported as saying.
Minister Nkomo is reported as having told the Ministry of Local Government, Rural and Urban Development that the South African company was going to rehabilitate the water and sewer system at no cost to Government and the City of Harare.
"Yet, according to the Memorandum of Understanding, Engineering and Electrical Supplies would provide 'a 90-day credit facility' for the acquisition of material for the rehabilitation of the water and sewerage system.
"The MoU states that Minister Nkomo’s ministry would ensure payment to Engineering and Electrical Supplies after the 90-day period and either party could terminate the agreement upon six months’ written notification to the other party.
"Unless otherwise specifically agreed by the parties, termination shall not affect the validity of any ongoing activities not fully completed at the time of termination," reads the MoU.
In a letter to Minister Chombo on May 21, Minister Nkomo said the deal would cost neither Government nor the City of Harare a cent.
"So far, they are the only contractor who have agreed to finance their intervention upfront.
"In order to tie the two parties down, a Memorandum of Understanding was signed on 8th of May 2009 and a work programme for Harare Water and Sewer developed immediately thereafter with the involvement of city council engineers and Zinwa.
"However, as you know, as Government, we currently have no money. So this initiative shall be implemented through donations," Minister Nkomo wrote.
Minister Chombo later responded expressing his appreciation that his counterpart had struck a deal at no cost to Government and council.
He, however, demanded details of the donor, scope of donation, circumstances surrounding the donation and the contractor and rationale "for selection thereof".
"It pleases me, Honourable Minister, to note that your ministry has mobilised the following resources: rehabilitation of water supplies — US$7,780 million and rehabilitation of sewerage works US$13,160 million in favour of the City of Harare," wrote Minister Ignatius Chombo on May 19.
He added: "I am even more delighted to learn that the funds have been sourced at no cost to council nor to the Government of Zimbabwe."
Minister Chombo assured Minister Nkomo that the City of Harare "will without prevarication co-operate in this matter".
However, Minister Nkomo later wrote to Finance Minister Tendai Biti seeking funding for the same deal.
"Following my recent working visit to the Republic of South Africa, I am glad to inform you that my ministry has already signed an MoU with Engineering and Electrical Supplies.
"This is a South African company willing to advance us a soft loan on a 40-day cycle in order to attend to the water sector.
"This will be their contribution to the cholera control efforts. As we pay them, the company is willing to plough back that money so that more is done in the water sector starting with some parts of Harare . . . They will start with a sum of four million rand.
"The loan component is a responsibility of your ministry. Ministry of Water, through Zinwa and the local authorities, will supervise the physical implementation of the programme," he said.
Minister Nkomo told Minister Biti that the company followed the fix-and-supply approach by assessing the scope of works, procuring the required material and then using its own company or sub-contractor to do "the job under our supervision".
He said the company wanted to minimise delays and his ministry agreed with the approach "because of the need to move fast".
Minister Nkomo indicated that work on the Harare water and sewer infrastructure had already started, yet high frequency sewer blockages, leakages, overloaded sewers and shortage of running water continue to expose Harare residents to health risks.
CLASH WITH MAYOR
Meanwhile, Minister Nkomo has recently clashed with the Mayor of Harare, Muchadeyi Masunda.
He has declared ironically that: “I am the authority on water. It does not matter who delivers it.” The minister was contending that residents do not have to pay the bills they have been saddled with by the Harare municipality.
Nkomo's comments prompted one commentator to write:
"Does that mean he can go to the shores of Lake Chivero and command the waters to rise, purify themselves and flow by themselves to the taps of Harare? If he can’t do that then what are the practical considerations he has made to ensure water supply for Harare.
"The water has to be purified at a cost, stored at a cost and pumped to the consumers at a cost. The mere fact that Nkomo has authority does not meet costs. Therefore his declaration that he is the authority is not relevant to the practical considerations of purifying and pumping Harare’s water."
Labels: HARARE, MAYOR, MDC, MUCHADEYI MASUNDA, SAMUEL SIPEPA NKOMO
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