Zambia's president warns investors over employees’ safety

President Rupiah Banda says he has received complaints that unemployment levels remain very high despite the huge investments and the country’s economic growth.

During the commissioning of the west ore body at China Non-Ferrous Corporation Africa (NFCA) in Chambishi on Saturday, President Banda directed investors to ensure that jobs that Zambians were qualified to do were offered to them. “The Zambianisation committee at the Ministry of Labour and Social Security should henceforth ensure that this directive is adhered to at all times,” President Banda said amidst approval from a sizeable crowd that witnessed the ceremony.

President Banda said the government valued the safety of miners and would not tolerate unsafe work practices that were harmful to both workers and the environment as that negated the whole purpose of mining.

“I wish to warn all mining companies and indeed all companies operating in Zambia that the government will take stern measures against those who choose to compromise on safety and environmental standards by adopting unsafe occupational practices for the sake of profit,” President Banda said.

He said with the opening of the west ore body, Chambishi mine had a revived productive underground mine employing 1,500 people and producing one million tonnes of ore per annum, with a life span of 25 years.

China Non-Ferrous Metal Mining (CNMC) group president Luo Tao said the company would also put up an additional US$400 million in the development of the south east ore body of Chambishi Copper Mine whose completion would bring the total copper production to 100,000 tonnes.

He said the company had invested US$1.4 billion in Zambia and an additional US$1 billion would be invested in the next three years through construction of Chambishi sub-zone and Lusaka sub-zone of cooperation, Muliashi leaching project in Luanshya, expansion of Chambishi Copper Smelter and the south east ore body development.

“By the end of 2013, CNMC’s total investment in Zambia will surpass US$2.5 billion with over 20,000 job opportunities provided,” Luo said.

He dismissed as false information that some workers sent on recess during rehabilitation of two winders at Baluba Mine in Luanshya would lose their jobs.

Luo said no employee would be sent away.

Luo also announced a donation of K500 million each from Chambishi Copper Smelter (CCS) and NFCA to Kalulushi Municipal Council.

Kalulushi Municipal Council and CCS have been embroiled in protracted disagreements over the K8.5 billion unpaid land rates which were later reduced after the company asked for rebates with government intervention, prompting councillors to argue that the reduction would affect service delivery.

The two parties later reached an agreement to dismantle the revised debt in installments and the company had started paying.

Earlier, NFCA chief executive officer Wang Chunla said the mine was expected to produce one million tonnes of ore with 18,000 tonnes of finished copper.

Wang said the mine would pay US$10 million to the government as annual mineral royalty and corporate tax.

Source: The Post Newspaper