Debates- Tuesday, 23rd November, 2010

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Tuesday, 23rd November, 2010

The House met at 1430 hours

[MR SPEAKER in the Chair]






Mr Speaker: Hon. Members, I wish to inform the House that on Friday, 19th November, 2010, Parliament Radio was off air from 0815 hours to 1100 hours. The interruption in transmission was due to a technical fault which developed in our studio.

I apologise for the inconvenience the break in transmission might have caused to our dear listeners. They are assured that there is a technical team which is doing everything possible to normalise the situation.

Hon. Members may wish to know that the technical team has put in place some temporary measures to transmit the proceedings on radio while the technical fault is being rectified.

In this regard, our dear listeners might be experiencing some fluctuations in transmission. Normal transmission will resume as soon as possible.

Thank you.


Mr Speaker: Hon. Members, I wish to inform the House that the National Assembly of Zambia and Zambia Development Agency (ZDA) have organised a one-day Counselling and Business Skills Workshop for all hon. Members of Parliament. The workshop will be held on 27th November, 2010, in the Auditorium, here at Parliament Buildings.

The main objective of the workshop is to assist hon. Members of Parliament prepare for the expiry of their term of office, …


Mr Speaker: …which will be at the end of this session. Specifically, the workshop is intended to:

(i) offer pre-end of Parliament term counselling;

(ii) introduce participants to the key concepts of business and how to prudently utilise their terminal benefits; and

(iii) examine some investment opportunities available in Zambia.

Hon. Members: Hear, hear!

Mr Speaker: Hon. Members, owing to the nature of this workshop, attendance will be on a voluntary basis. However, all hon. Members are strongly encouraged to participate.

Thank you.

Hon. Members: Hear, hear!



The Minister of Community Development and Social Services (Mr Kaingu): Mr Speaker, I thank you for according me this opportunity to give a ministerial statement on the progress made in the implementation of the Social Cash Transfer Programme.

Sir, allow me, first of all, to give you general information about the expanded Social Cash Transfer Programme in Zambia before I give the Progress Report.

Mr Speaker, the incapacitated and low capacity households do not have sufficient livelihood security to meet their basic needs and protect themselves from the worst impacts of risks and shocks. Therefore, the Social Cash Transfer Programme aims to provide basic social protection to those sections of the population who, for reasons beyond their control, are not able to provide for themselves. People in need of basic social protection usually live in labour-constrained households. For instance, households with no adult members fit for productive work. Due to their limited self-help capacity, these households cannot access any of the labour-based poverty reduction programmes offered by the Government and other co-operating partners.

Mr Speaker, the goal of the expanded Social Cash Transfer Scheme is to reduce extreme poverty and the intergenerational transfer of poverty in the districts covered by the National Social Cash Transfer Programme. This year, the expansion of the scheme in Kalomo, Monze, Chipata and Kazungula will continue and it is expected that, by the end of December, 2010, there will be a total of 16,928 households benefiting from the programme from the current 12,677 households using the inclusive model, while the Katete Social Pension Scheme will be handed over to the Ministry of Labour and Social Security next year. Three districts with high levels of malnutrition and under-five death rates have been added, and these are Shang’ombo with 87 per cent poverty rate, Kaputa with 90 per cent poverty rate and Kalabo with 96 per cent poverty rate.

Sir, the number of children who die before their fifth birthday averages 200 per 1,000 live births in these districts. Therefore, such districts need the Child Grant. This grant is intended to support children under five years old in poor families at high risk of sickness and death. The introduction of the Child Grant is in line with the Government’s objective of reducing vulnerability of children and youths to protect them from all forms of abuse and discrimination. At the same time, the child grants contribute directly to the achievement of the millennium development goal (MDG) No. 04, which aims at reducing under-five deaths by 2015.

Mr Speaker, the targeting criterion for the Child Grant is universal targeting for children under-five years. However, the entry point into the programme is for children aged thirty months and below. The universal targeting criterion has been chosen because of high poverty levels in these districts and, therefore, the number of the non-poor will be very small. The total number of beneficiary households from the Child Grant districts is expected to reach 6,893 by the end of this year. The other two districts for the Child Grant, Chilubi and Milenge, will be added by 2012.

Mr Speaker, allow me, now, to update this august House on the implementation of the Expanded Social Cash Transfer Programme in Zambia.

Setting up of the Social Cash Transfer Unit at the Ministry and Capacity Building Initiatives Undertaken

Mr Speaker, the ministry is committed to ensuring that the country has adequate capacity to implement cash transfers on a national scale. In this vein, my ministry has set up a dedicated unit with a staff establishment of five officers. In order to increase capacity at district level, assistant social welfare officers have also been employed in Kalabo, Shang’ombo and Kaputa.

In August, this year, twenty-three officers from the implementing provinces, districts and headquarters attended a training course in designing social cash transfer programmes in Cape Town, South Africa.

 Procurement of Vehicles

The ministry is aware that the Social Cash Transfer Programme operates in the most hard-to-reach parts of the country. In this regard, my ministry, with support from co-operating partners, has already procured four land cruisers. The ministry has earmarked a total of thirteen vehicles to be procured for the programme by 2013.

 Introduction of the Child Grant in Kalabo, Shang’ombo and Katuba 

Mr Speaker, sensitisation activities have been conducted and, right now, registration and targeting of the eligible households has been done in Kaputa, Shang’ombo and Kalabo. It is expected that, before the end of this year, a minimum of 6,893 households will each be receiving K50,000 monthly.

Mr Speaker, in order to have smooth implementation of the Child Grant, a manual of operations has been developed with input from stakeholders and other line ministries.

 Procurement of Payment Service Provider

Mr Speaker, in order to reduce the fiduciary risk associated with bulky low value cash payments, my ministry, with the support of our co-operating partners, is in the process of procuring a Payment Service Provider (PSP). In this regard, the ministry has held a number of meetings with Bankable Frontiers Associates and Finmark Zambia to discuss the process to be followed. Bankable Frontiers Associates and Finmark Zambia are consultants who have been engaged to support the PSP procurement process. 

A committee of technical advisors has been put in place to provide technical support to the process while the social assistance technical working group will act as a steering committee.

 Payment of Transfers in the Old Cash Transfer Districts

Mr Speaker, allow me to, also, say that the schemes in the old implementing districts needed to be expanded in order to reach the remaining households. To achieve this objective, community welfare assistance committees have been re-activated and retained. It is expected that, by the end of this year, the Kalomo, Kazungula, Monze, Chipata and Katete schemes will have 16,928 households as beneficiaries. This will represent an increase of 4,251 households.

 Setting Up of the Management Information System (MIS)

Mr Speaker, efficient management of the programme depends on high quality information. In this vein, my ministry and co-operating partners have engaged the American Institute for Research (AIR) to design a management information system that will meet the information needs of various stakeholders, including this honourable House. Designing of report formats is currently being done. The baseline surveys have been completed in Kaputa, Kalabo and Shang’ombo districts.

Mr Speaker, in conclusion, I wish to urge the hon. Members of Parliament, where the scheme is currently being implemented and rolled-out, to support the scheme and help the Government publicise this very important developmental initiative in their respective constituencies.

Mr Speaker, I thank you.

Hon. Government Members: Hear, hear!

Mr Speaker: Hon. Members are now free to ask questions on points of clarification on the statement that has been made by the hon. Minister of Community Development and Social Services.

Ms Kapata (Mandevu): Mr Speaker, the hon. Minister, in his ministerial statement, stated that the Government is in the process of scaling up the expanded Social Cash Transfer Schemes to a national level. I would like to know how many districts will be affected considering that sixteen out of seventy-two districts is not good enough as it shows lack of political will on the part of this Government.

Mr Kaingu: Mr Speaker, this Government started this programme because it has the political will to help its people, especially the vulnerable in rural areas.

Hon. Government Members: Hear, hear!

Mr Kaingu: Mr Speaker, our intention is to roll out this programme countrywide. However, other than resources which should be given to the people, we need to build the capacity of the districts which will receive this programme. We have to train human resource and find people who will help us to disburse the resources.

Mr Speaker, we are doing our level best to engage most districts. At the moment, together with our co-operating partners, we have selected about ten districts in which to begin this programme. Once we have covered the ten districts, we will then go out, based on the poverty levels, to choose other districts whose capacity we will build and incorporate into the programme.

 I thank you, Mr Speaker.

Mr Simuusa (Nchanga): Mr Speaker, the hon. Minister made referrence to the expansion of the Social Cash Transfer Scheme. I wish to find out from the hon. Minister what will happen to those areas which are not doing fine in view of this expansion and what is the Government’s policy on those areas where the cash transfer is in place and the beneficiaries are still to be weaned off.

 Mr Kaingu: Mr Speaker, sometimes, I wonder why people make such wild statements. The hon. Member does not even know the programme. We have hon. Members of Parliament here …

Mr Speaker: Order!

The hon. Minister will withdraw the word ‘wild’.

Mr Kaingu: Mr Speaker, I would like to withdraw the word ‘wild’ and replace it with ‘misleading’.


Mr Kaingu: Mr Speaker, the hon. Members of Parliament, like Hon. Muntanga and Hon. David Phiri, who are benefiting from this scheme, are here. If you ask them, they will tell you that they are very happy with this programme. In fact, this is the most sought after programme.

Mr Speaker, it is not possible to weanoff the people who are receiving assistance from this programme. I have stated that the beneficiaries are those people who are incapacitated and not able to do any work. If we created many jobs, those people will still not be employed because they are not in a position to work. Therefore, the beneficiaries of this programme will benefit until they die.

 I thank you, Mr Speaker.

Hon. Government Members: Hear, hear!

Mrs Phiri (Munali): Mr Speaker, I would like to find out what criterion is being used to identify the districts that really need these funds as the programme is being extended.

Mr Kaingu: Mr Speaker, I would like to thank the hon. Member for Munali who did not seem to listen to my statement.


Mr Kaingu: Sir, I clearly stated that we look at poverty levels which we get from the Central Statistical Office (CSO).

 I thank you, Mr Speaker.

Mr Beene (Itezhi-tezhi): Mr Speaker, it is a fact that the 150 constituencies in this country have very high prevalence rates of poverty. This is why the Ministry of Gender  and Women in Development gave 150 grinding mills. What has been the ministry’s challenge in implementing this programme in all the constituencies like the Ministry of Gender and Women in Development did?

Mr Kaingu: Mr Speaker, my ministry has many programmes that assist the people in rural areas, particularly those who are vulnerable and very poor. The ministry has a programme called the Women Empowerment Programme and a Food Security Programme. This programme, however, identifies only those people who are not able to do anything for themselves. These are the people we bring onto this programme to benefit. Concerning how many people will benefit countrywide will depend on capacity building.

 I thank you, Sir.

Mr Lubinda (Kabwata): Mr Speaker, could the hon. Minister be kind enough to tell us what amount of money is involved in this programme and what proportion of that money is from Zambia in relation to the amount that the co-operating partners have put in. Also, what measures has he put in place to insulate this money from abuse given the fact that there are too many people involved in identifying the beneficiaries and giving out the money.

Mr Kaingu: Mr Speaker, our co-operating partners, who were organised by the Department for International Development (DFID) put in US$63 million for a period of ten years. The Government will be putting in money as the resources are found. In terms of protecting the money, I said that fiduciary arrangement will be taken care of by engaging pay masters. Currently, we have engaged Finmark and Bankable Frontiers Associates to help us ensure that the money reaches the target groups.

I thank you, Sir.




173. Mr Imenda (Lukulu East) asked the Minister of Education what the Government policy on orphans with regard to payment of school fees for pupils from Grades 1 to 12 was.

The Deputy Minister of Education (Mr Sinyinda): Mr Speaker, I wish to inform the House that the policy of the Ministry of Education is to provide equitable access to quality education for all Zambians, including orphans and vulnerable children. To this effect, in 2002, the Government introduced the Free Basic Education Policy which abolished user fees at Grade 1 to 7. It further made the wearing of uniform optional and directed that no child should be turned away from school on account of failure to pay the Parents-Teachers’ Association (PTA) fees.

Sir, pupils from Grades 8 to 12 are required to pay user fees which are determined by high school education boards and/or PTAs. In order to cater for orphans and vulnerable children who are unable to pay user fees, the ministry introduced a bursary scheme in 2000. The ministry, in partnership with the Ministry of Community Development and Social Services, has been implementing the bursary scheme through the provincial, district and school-based committees.

The school-based committees comprise school staff, pupils, a member from a faith-based organisation, a social welfare officer and a member from the community. This composition is better placed to identify the vulnerable children within a given community.

Non-governmental organisations (NGOs) such as the Campaign for Female Education (CAMFED), Forum for African Women Educationist in Zambia (FAWEZA), Churches Health Association of Zambia (CHAZ), to mention but a few complement the Government’s efforts of supporting orphans and vulnerable children in payment of fees and other school requisites.

In 2007, for example, a total of 43,600 pupils at Grade 8 to 12 benefited from bursaries from the Government and other organisations while in 2008, the number increased by over 30 per cent to 84,633 pupils.

In 2008, 2009 and 2010, the Ministry of Education spent K5.119 billion, K6.4 billion and K7.4 billion on bursary support, respectively.

I thank you, Mr Speaker.

Mr Imenda: Mr Speaker, as regards the good arrangement that exists across ministries regarding the assistance of the vulnerable children, how can the hon. Minister explain a situation where vulnerable children and orphans appeal to the Government for support on radio and television almost on daily basis? How can he explain such a situation?

Mr Sinyinda: Mr Speaker, I wish to assure the hon. Member that the Ministry of Education in partnership with the Ministry of Community Development and Social Services is responsible for identifying the most vulnerable children in the communities. As a ministry, we are using the District Welfare Assistance Committee (DWAC) and Community Welfare Assistance Committee (CWAC), which are local organisations, to ensure that the local communities identify the most vulnerable children. However, if at all there are children who appeal for support on radio and television, we are not aware of that. We know that we are working in conjunction with the Ministry of Community Development and Social Services and most of those vulnerable children and orphans are attended to.

I thank you, Sir.

Hon. Government Member: Hear, hear!

Mrs Phiri (Munali): Mr Speaker, is the hon. Minister aware that as a way of fundraising, some of these basic schools sell uniforms to pupils regardless of where they come from? If he is aware, what is the Government doing to ensure that the vulnerable children and orphans are not disadvantaged from going to school because they cannot afford to buy uniform?

Mr Sinyinda: Mr Speaker, as I stated in my answer, it is illegal to send any child away from school because of having no uniform. This is the policy. If the hon. Member knows about a school that sends pupils away because of not having uniforms, then that is being done illegally. As a Government and Ministry of Education, we do not allow such.

I thank you, Mr Speaker.

Ms Kapata (Mandevu): Mr Speaker, I would like to find out what the hon. Minister’s comment is in a situation where one writes letters to the Ministry of Community Development and Social Services for the support of vulnerable children regarding education, but the ministry takes so long to respond that children miss two terms before they are enrolled.

Mr Sinyinda: Mr Speaker, I am aware that, sometimes, the ministries of Education and Community Development and Social Services delay in paying the money to schools for the vulnerable children, but I know that even if there is a delay, the money is still paid. We do not allow head teachers to send away the pupils who are being supported by either the Ministry of Education or the Ministry of Community Development and Social Services because that is our policy. We know that even when the money is delayed, it will still be paid.

I thank you, Sir.

Mr Simuusa (Nchanga): Mr Speaker, this is the first time I am hearing that there is a bursaries arrangement available for Grades 1 to 12 for orphans and vulnerable children. I wish to find out from the hon. Minister why the Government has kept this a secret.

Hon. Government Members: Aah!

Mr Simuusa: Why is the Government not proactive enough to actively pursue this issue instead of waiting for the vulnerable children to go to radio stations and appeal for funds? Why can the Government not have a programme to actively pursue the orphan issue?

Mr Sinyinda: Mr Speaker, I wish to express my disappointment to hear that coming from an hon. Member of Parliament.

Hon. Government Member: Hear, hear!

Mr Sinyinda: In my response, I did not say that the bursary scheme was for pupils from Grades 1 to 12. If the hon. Member was listening carefully, I said that the Government had abolished the fees from Grades 1 to 7 and, therefore, there is free education from Grades 1 to 7. We have a bursary scheme from Grades 8 to 12. For this reason, I do not understand why an hon. Member of Parliament, who is supposed to be a community worker, should not know that this scheme is there.


Mr Sinyinda: I was aware of this scheme even when I was still in my village.

I thank you, Mr Speaker.

Hon. Government Members: Hear, hear!


174. Mr Chisala (Chilubi) asked the Minister of Communications and Transport:

(a) how many motor vehicles had been imported into the country from January, 2008 to August, 2010; and

(b) from which continent most of the vehicles had been imported.

The Deputy Minister of Communications and Transport (Mr Mubika): Mr Speaker, a total of 78,784 were imported into the country between January, 2008 and August, 2010.

Most of the vehicles imported into the country came from Asia as shown in the table below:

Continent No. of Vehicles rank

Asia  65,211  1

Africa 9,819 2

Europe 3,351 3

North America 313 4

Australia   65 5

South America  25 6

Total   78,784

I thank you, Mr Speaker.

Mr Chisala: Mr Speaker, in Japan, before a second-hand vehicle is exported, it goes through the Japan Export Vehicle Inspection Centre (JEVIC) to avoid pollution transfer to other countries. Could the hon. Minister indicate whether this situation applies to vehicles that are imported from South Africa.

The Minister of Communications and Transport (Professor Lungwangwa): Mr Speaker, at the moment, we are not constraining our people from importing vehicles because we know they are a necessity, especially those vehicles that are important in transportation of goods and people. However, we are also concerned about carbon emissions. We have measures in place to address carbon emissions which are a pollutant of our environment.

I thank you, Mr Speaker.

Mr Mukanga (Kantanshi): Mr Speaker, I would like to find out from the hon. Minister what Zambia is doing to ensure that it has its own car manufacturing industry or, maybe, a motor assembly industry rather than being dependant on Japan?


Mr Speaker: Order!

Professor Lungwangwa: Mr Speaker, the Government is encouraging private sector investment. In a liberalised economy like ours, companies are free to invest, including investing in the car industry, motor assembly or a manufacturing industry.

I thank you, Sir.


175. Mr V. Mwale (Chipangali) asked the Minister of Works and Supply when the Katete/Msoro Road, was last graded fifteen years ago would be re-graded.

The Deputy Minister of Works and Supply (Mangani): Mr Speaker, the provincial administration in the Eastern Province, through the Rural Roads Unit (RRU), has planned to carry out heavy grading and selected culvert repairs on the Katete/Msoro Road. These are still waiting for the earth-moving equipment, under the RRU, which is currently working on the loop road from Katete to Chadiza (46 km) and Chadiza to Chipata (46 km). The unit has completed the works on the Katete/Chadiza Road and has also completed 30 km on the Chadiza/Chipata Road. The RRU is currently working on the remaining 16 km on the Chipata/Chadiza Road before it can move to the Katete/Msoro Road.

I thank you, Mr Speaker.

Mr V. Mwale: Mr Speaker, I would like to know when the equipment will be moved to the Katete/Msoro Road.

Mr Speaker: The hon. Member was not listening. That has already been answered, but just to emphasise, I request the hon. Minister to give the answer again.

Mr Mangani: Mr Speaker, I indicated that the equipment is working on the Chipata/Chadiza Road and Chadiza/Katete Road and there are only 16 km of work left on this road. Immediately we finish, the equipment will move to the Katete/Msoro Road.

I thank you.

Mr Lubinda (Kabwata): Mr Speaker, I seek confirmation from the hon. Minister on whether it is true that this road was last graded one-and-half decades ago. If so, what was the reason for this when money has been allocated for grading roads such as Katete/Msoro on an annual basis?

Mr Mangani: Mr Speaker, one of the reasons the Government decided to buy the equipment under the RRU was to attend to problems such as these. At that time, equipment was a major problem, but now that this equipment has been distributed to all provinces, we hope that all these problems will be sorted out.

I thank you, Sir.

Mr Beene (Itezhi-tezhi): Mr Speaker, I would like the hon. Minister to shed some light on why the Government has no programme for the maintenance of roads. After grading the roads, it never goes back. Why is that so?

Mr Speaker: Does this question refer to the Katete/Msoro Road? Have you been back since it was last graded?


Mr Mangani: Mr Speaker, indeed, when we work on the Katete/Msoro Road, we will ensure that we maintain the road afterwards.

I thank you, Sir.{mospagebreak}




VOTE 45 – (Ministry of Community Development and social Services – K133,460,366,536).

(Consideration resumed)

The Minister of Community Development and Social Services (Mr Kaingu): Mr Chairperson, when the House adjourned on Friday, I was advancing a point on the Food Security Pack (FSP).

Mr Chairperson, my ministry, will continue to implement the FSP Programme in all the nine provinces. We have allocated K15 billion to this programme, giving an increment of 33.3 per cent.

Mr Chairperson, the purpose for this programme is to eradicate hunger and poverty by more than 50 per cent among vulnerable households by 2015.

The Public Welfare Assistance Scheme (PWAS)

Mr Chairperson, my ministry has increased the amount allocated to this programme from K5.6 billion, in 2010, to K8 billion, in the 2011 Budget, giving an increment of 30 per cent due to the high demand for social welfare support from vulnerable people.

The Women’s Development Programme

Mr Chairperson, my ministry has increased the allocation to this programme from K5 billion, in the 2010 budget, to K15 billion, in the 2011 Budget. The budgetary allocation has gone up by 66.7 per cent. The increment here is aimed at increasing the number of beneficiaries and improving on the amounts given out for projects so that they can have a meaningful impact on vulnerable people’s lives.

Arts and Culture

Mr Chairperson, in the 2011 Budget, my ministry will focus on policy co-ordination, review of legislation and support to arts and cultural industries to stimulate employment and wealth creation in the cultural sector. My ministry has allocated K4.9 billion towards infrastructure development, preservation of our cultural heritage and promotion of the cultural industry.

Operationalisation of the NGO Act No. 16 of 2009

Mr Chairperson, I would also like to take this opportunity to inform the House that my ministry, in 2011, will commence the operationalisation of the Non-Governmental Organisation Act No. 16 of 2009. To begin with, the Government has allocated K700 million for the implementation of the registration of non-governmental organisations (NGOs) and my ministry will be issuing a statutory instrument to this effect.

Mr Chairperson, I beg this august House to support my ministry’s budget for 2011.

I thank you, Sir.

Mr D. Mwila (Chipili): Mr Chairperson, I thank you very much for giving me this opportunity to support the budgetary allocation for the ministry.

Hon. Members: Hear, hear!

Mr D. Mwila: Mr Chairperson, in doing so, I wish to express my disappointment at the hon. Minister and Government for not allocating enough money to this ministry. There are a lot of problems in this ministry, especially those relating to the disabled persons. We have raised questions on the Floor of the House on when the Government will start pumping money into the farming blocks where disabled persons are.

Since I came to this Parliament, I have not seen, in the Yellow Book, where the Government has allocated money to the farming blocks so that there is an increase in food production. Only K5.5 billion has been allocated and this will go to salaries. I want to express my disappointment at the hon. Minister and Government because we expect the Government to look after the disabled. Therefore, I will need an answer from the hon. Minister in charge of this ministry.

Mr Chairperson, secondly, the disabled persons who worked for the National Council for the Blind before the Zambia Agency for Persons with Disabilities (ZAPD) came into existence, had accrued leave days but, to date, the Government has failed to pay them their dues.

Mr Chairperson, you will recall that most of the times the blind persons camp at ZAPD when they are asking for their dues, but nothing has been done about this. It is now more than five years and this problem has not been sorted out. So, we expect the Government to look into this problem. The reason I am complaining is that I have not seen any allocation in the Yellow Book towards this cause.

Mr Chairperson, thirdly, what I know is that disabled persons who are employed by ZAPD are also Government employees. Therefore, when civil servants or any other Government employees are given a salary increment, it is also expected they be given an increment too. However, it is now three to four years and the employees of ZAPD have not been given a salary increment despite the union and Government having agreed to it. We expect the hon. Minister to give us answers to that.

I thank you, Sir.

Mr Nkombo (Mazabuka Central): Mr Chairperson, thank you very much for allowing me an opportunity to discuss one or two issues that I consider pertinent to the Ministry of Community Development and Social Services. To start with, I do support the increase in the allocation, this year, for the ministry from K76 billion to K133.4 billion.

Mr Chairperson, I will begin my debate by, again, thanking the NGOs and church bodies for partnering with the Government, once again, like they do in the Ministry of Education to try and uplift the standard of living of nationals. I would like to single out the Catholic Church because it has been pretty instrumental in making sure that it provides developmental skills. I know that, in my constituency, we have the Mazabuka Youth Project and in Monze we have the Home Craft Project where the Catholics are fully involved to try and find a way of life for youths. I want to thank them for that.

Mr Chairperson, I would like to congratulate the hon. Minister and his team for the increase in allocation to women’s development. However, I have a few concerns there that the increase from K5 billion to K15 billion requires to be managed with prudence. In the past, we have seen how the hon. Minister himself, and I am making specific references to the period within which we had election campaigns in Luena, was quoted as distributing money to women’s clubs that had not yet done the formalities of registration. We are informed that they have had difficulty cashing the cheques. Therefore, I would like to see more transparency in the disbursement of these funds. My simple calculation is that from the K15 billion, if distributed equitably, each one of the 150 constituencies in this country would benefit a sum of K100 million.

Mr Chairperson, I would like to request the hon. Minister to make sure that the application of this money is decentralised like the Constituency Development Fund (CDF) so that hon. Members of Parliament and councillors can help to identify clubs and help them to actually receive the moneys and easily monitor them because it is not easy to monitor projects in places like Kaputa or Shang’ombo, for instance, from Lusaka.

Mr Chairperson, I would like the hon. Minister, going by that line of thought, to, maybe, take a leaf from his colleague in the Ministry of Sports, Youth and Child Development because, under the Youth Fund, the hon. Minister of Sport, Youth and Child Development, his colleague, Mr Chipungu, indicated that in order to cut down on bureaucracy, he had permitted the district municipal councils to devise certificates for these clubs to be able to open bank accounts in their domiciles so that they can easily access money rather than going to the Registrar of Societies and go through that lengthy process of having them statutorily recognised.

Mr Chairperson, I want to thank him, also, for increasing the allocation to the Social Cash Transfer  Scheme from K4 billion to K42 billion. I think this is good progress. I would like to just give a word of caution that I would like to hear from him whether or not the pilot project for the social cash transfers has recorded an absolute success so that, as we replicate it in these other areas, we are at peace knowing that we are going to actually uplift the living standards of nationals. Failure to do that, I am sure that the backlash will be terrible because we are going to generate, yet again, a culture of failing to graduate people who we support as the case has been under the Agricultural Credit Management Programme which we can call the Farmer Input Support Programme (FISP). If he fails to graduate these people who we support, it means that all this money that is being given for social protection is going to be given in vein and our people’s lives would have not improved at all.

Mr Chairperson, I would like to make a comment on the African Housing Fund which has been allocated K50 million only and there is a comment there that it is a local cost. However, I want to know what this African Housing Fund at K50 million for the whole country entails. I need an explanation from the hon. Minister.

In Mazabuka, we have the African Housing Fund that was established back in 1996, but I know that we have not been receiving any support whatsoever from the Government. Indeed, it gave us some positive results in that people who ordinarily used to live in thatched houses started living in houses with corrugated iron sheet roofing. I would, therefore, like to plead with the hon. Minister to explain to me what this K50 million that has been put in the ministry’s budget is for.

Mr Chairperson, coming closer to home, I have seen that there is an allocation of K480 million for Nakambala Training School which is in my constituency. I want to thank the hon. Minister for this. That notwithstanding, I would like to offer myself to assist to continue improving this institution in the period between now and the time we go for elections because we do not know what will happen after the elections. I am very serious and not being malicious. While the hon. Minister is still in that office, he should, please, use me to help improve the living standards of our people in Mazabuka.

Mr Chairperson, this school was designed for children who are in conflict with the law.  I think that if we looked at it on face value, we would tell that there are very few children at that school, at the moment, as compared to its full capacity. I also know that crime is crime regardless of its magnitude and this includes crime committed by children who are in conflict with the law. At this point, I would like to bring to the attention of this House, the escalating phenomenon of street children in Lusaka, which Hon. Namugala almost managed to eradicate when she was the hon. Minister of Community Development and Social Services. Street children have re-sprouted in this town and in all the Copperbelt towns. I think that this is a problem that is squarely under the responsibility of this ministry.

Mr Chairperson, some of them have even now grown into adults. The more they grow unchecked, the more hardened they become and negatively interact or interface with fellow human beings. You may want to know that these children are now adolescents. They are no longer young children. They are now between fifteen and twenty years old. They have become violent and have started snatching things from moving cars. They have also started terrorising our fellow citizens or womenfolk who find themselves in streets in the evening, maybe, coming from a hard day’s job. If we leave this situation unchecked, these adolescents, who have actually become juvenile delinquents, are going to start raping our mothers and sisters on the street.

These street children live in trenches and under bridges and have made movements at night extremely unsafe for our citizens. I think the hon. Minister must find it in his heart to quickly get rid of this phenomenon with his staff because this situation is extremely worrying and any one of us here can be a victim of the violence that is slowly germinating in these children that have high potential to be useful citizens of this country.

Mr Chairperson, I thank you for allowing me to debate the allocation to the Vote, currently, on the Floor of this House. I reiterate the fact that I do support the budget for the Ministry of Community Development and Social Services.

Thank you, Sir.

Ms Kapata (Mandevu): Mr Chairperson, I wish to add my voice to the debate on the Vote being discussed now, which is the budget for the Ministry of Community Development and Social Services. I would like the hon. Minister, when he comes to wind up debate on this Vote, to actually tell us how “A People’s Budget, From a People’s Government,” is addressing the issues of poverty in this country.

Mr D. Mwila: Hear, hear!

Ms Kapata: Mr Chairperson, if this is a people’s Budget, it has to address the issues of poverty. In other words, it has to be pro poor. In Zambia, poverty has a feminine face because it impacts more negatively on women than men. Sixty-two per cent of Zambians live below the poverty datum line and of this percentage, 52 per cent are women. This is why I am saying poverty in Zambia has a feminine face.

Mr Chairperson, in order to rectify this situation, 52 per cent of Zambia’s National Budget should go towards providing social amenities and addressing issues relating to children, youths and women. Therefore, I propose that 52 per cent of the total National Budget should be allocated to the ministries of Health, Education and Community Development and Social Services because these are the ministries that deal with children, youths and women.

Mr Chairperson, I would like to address the issue of empowerment of women. We have a lot of women’s clubs in Mandevu which have applied to the Ministry of Community Development and Social Services for loans. However, not even one club has been given a loan by this ministry. My shoes have even worn out because of walking to and from this ministry to plead on behalf of the women.


Ms Kapata: Mr Chairperson, Mandevu is the biggest constituency in Zambia, not by size, but by population comprising mostly women. In fact, women are more than men in this country. Therefore, I would like the hon. Minister to tell me what I should do to see to it that the women of Mandevu, who are the weakest in society, also benefit from the money allocated towards poverty alleviation.

Mr Chairperson, I would also like to find out from the hon. Minister what programmes the Ministry of Community Development and Social Services has in place to help orphaned and vulnerable children (OVCs) and youths in our communities who are unemployed. What is it that the Ministry of Community Development and Social Services is doing to assist these children in our communities, considering the fact that we, as leaders, are unable to provide what his ministry is supposed to provide?

Mr Chairperson, allow me to also comment on the Social Cash Transfer Scheme. If this scheme is to succeed, it must be entirely funded by the Government rather than donors. I, therefore, suggest that 10 per cent of the total National Budget should be allocated to the Social Cash Transfer Scheme.

Mr Chairperson, we have a lot of child-headed homes as well as the elderly looking after young people in our communities. We also have old people living with disabilities. What is the Ministry of Community Development and Social Services doing to help such people?

Mr Chairperson, allow me to also talk about poverty reduction programmes by this ministry, especially under the Department for Social Welfare. When the hon. Minister comes to conclude debate on this Vote, I would like him to tell us when the food security packs are going to be given to the beneficiaries because, last year, people were given farming implements under this programme as late as February. Due to the lack of an alternative, these people went ahead and cultivated their fields. They used the seeds and fertiliser that they had received very late, but ended up yielding nothing out of the fields. I, therefore, want the hon. minister to make sure that the inputs are given to the people in good time.

Mr Chairperson the Food Security Pack Programme was hindered by lack of transport for extension officers within the Ministry of Community Development and Social Services. In this regard, we would like to see a situation where more transport is allocated to the people that are dealing with the poor people in this ministry in as far as farming is concerned.

Mr Chairperson, I would like the hon. Minister to show political will in attending to the needs of the community because this ministry is in charge of all Government efforts that are targeted at people who are in dire straits. 

Mr Chairperson, I thank you.

Dr Machungwa (Luapula): Mr Chairperson, in supporting the allocation to this ministry, I will be very brief.

First of all, I wish to commend the Government for increasing the budget for this ministry from K76.56 billion, last year, to K133.46 billion, which is a 7 per cent increase. This shows that there is quite a lot of commitment by the Government to ensure that issues pertaining to the poor in society are addressed. I think this is the way forward.

Hon. Government Members: Hear, hear!

Dr Machungwa: Coming to the ministry, I wish to commend the hon. Minister and his colleagues for being tireless advocates for the poor people. The hon. Minister has been seen all over the country taking relief and assistance to the people, especially to the womenfolk. This is not by design. It is not that the hon. Minister likes women, but …


Dr Machungwa: … that our womenfolk in the country tend to be disproportionately poorer than the menfolk. This is why, in fact, in the budget, I notice that the amount allocated for women’s developmental programmes has been increased from K5 billion to K15 billion. Again, this is the way forward. I wish to urge the hon. Minister not to get destructed by some critics who are endlessly criticising him as he goes out there to assist the people. If it were them who were assisting the people, they would feel very happy about it. Therefore, hon. Minister continue assisting our people. They need your support whether there are by-elections taking place or not.

Hon. Government Members: Hear, hear!

Dr Machungwa:  A hungry person will still remain that way whether there is a by-election or not. Therefore, all the opinions of the critics who are claiming that you are doing certain things at the wrong time are irrelevant because what is important is for you to deliver support to people who are in need.

Hon. Government Members: Hear, hear!

Dr Machungwa: Now, let me come to the issue of the Social Cash Transfer Scheme. I am very pleased to note that its allocation has been increased from K4 billion, last year, to K42.7 billion in 2011. This is a huge increase, which I think will be able to alleviate the poverty levels in our country especially in the rural areas. The only thing that I would like to advise hon. Minister on is that, instead of concentrating on sixteen or eighteen districts, his ministry should spread out its interventions bearing in mind the fact that poverty is not only concentrated in those districts. Many people in most parts of the country are poor. If for example, you go to Samfya District, you will discover that, in certain parts of that district, the poverty levels are higher than the figures that one can obtain from the Central Statistical Office (CSO). In areas such as the Bangweulu Wetlands, the poverty levels are quite high. It will not be fair for the Government to concentrate its expenditure of the K42 billion on a few selected districts when there are other districts which have equally high poverty levels.

My suggestion, therefore, is that, as the Government works tirelessly to allocate more resources to our people, it should come up with initiatives to reduce poverty that are going to ensure that all the areas in the country are catered for.

Mr Chairperson, however, what is commendable about this programme is that it has been implemented in many different districts. This programme has been implemented before in the Southern, Western, Eastern and other provinces. Its implementation is not segregative. It is not a programme which is taken only to areas where certain people are perceived to be popular. This programme tries to address Zambia’s problems collectively. Belonging to a unitary state, all Zambians deserve assistance from the Government if they need it. That is the way to go. Therefore, all those issues your critics are raising as they claim that you are only attending to problems in certain areas are neither here nor there.

Mr Chairperson, as I said, I fully support this Vote as well as the work of the ministry. I even wish that more resources would be allocated to this ministry so that people could be helped at the level we would like to see them helped.

I thank you, Sir.

Mr Kaingu: Mr Chairperson, I thank you for giving me this opportunity to wind up the debate regarding the allocation for my ministry. I will be very brief.

Hon. Mwila, I would like to thank you for your concern about the disabled persons. However, I am sure that you have seen that we have increased the allocation to the Zambia Agency for Persons with Disabilities (ZAPD) to help it carry on with its programmes. We have, further, advised it to engage into private-public partnerships (PPPs) so that it can have partners to help it develop its farms.

As for the money that is owed to the former employees, we have engaged our colleagues in the Ministry of Finance and National Planning regarding this issue. As soon as resources are found, we will take care of the payments owed to the former employees as well as provide for the salary increments. We have  also engaged ZAPD to see to it that it properly takes care of its employees.

Hon. Nkombo, the Catholics you are praising also receive some grants from us to help them with those skills training programmes that you see them implementing.

Mr Chairperson, let me now react to the comments of those who do not want to see the hon. Minister dishing out money and farming inputs to the poor and vulnerable persons. I want you, hon. Members, to know that the primary objective of my ministry is to dish out whatever it receives from the Government and donors. We, as a ministry, do not keep whatever is given to us because we do not run a bank. Our principal objective is to give to the people whatever is given to us.

Hon. Government Members: Hear, hear!

Mr Kaingu: Be it funding for the Food Security Pack Programme, Social Cash Transfer Scheme or women empowerment, our task is not to hold on it, but to dish it out.

I am sure you are aware that, according to the Constitution, an hon. Minister is the one in charge of running the ministry, assisted by the hon. Deputy Minister as well as the  Permanent Secretary. The modalities we use for implementing the different programmes can be changed from time to time. I, together with the Permanent Secretary, sit down with the two hon. Deputy Ministers to come up with modalities which can suit a particular situation. We have taken note of the concerns that you have expressed regarding the way we are disbursing our funds. We shall endeavour to attend to your concerns. Over and above everything else, you should be aware that the main administrator in a ministry is the hon. Minister. If you are not satisfied with my explanation, then go and read your Constitution. In Article 46 of the Constitution, you will find out that the hon. Minister is the one who is in charge of all the activities in a ministry. As an hon. Minister, it is my responsibility to go out there to implement the programmes under my ministry. After all, that is what you call political will.

Hon. Government Members: Hear, hear!

Mr Kaingu: If I do not go out there to implement the programmes under my ministry, you will be the same people who will say that the hon. Minister is not interested in the programmes that the ministry is implementing.

 In conclusion, I would like to thank all the hon. Members of Parliament who have debated the allocation to my ministry as well as those who wanted to debate, but had no opportunity and those who supported me quietly.

Mr Chairperson, I thank you.

Hon. Government Members: Hear, hear!{mospagebreak}

VOTE 45/01 – (Ministry of Community Development and Social Services – Headquarters – K25,224,965,060).

Mr D. Mwila: Mr Chairperson, may I have clarification on Programme 3, Activity 06 – Zambia Agency for Persons with Disabilities – K5, 500,000,000. Why is there that small increase when the allocation, last year, was at K5 billion?

Mr Kaingu: Mr Chairperson, this is what the ministry could afford due to budget constraints.

Thank you, Sir.

Vote 45/01 ordered to stand part of the Estimates.

Vote 45/02 ordered to stand part of the Estimates.

Vote 45/03 ordered to stand part of the Estimates.

Vote 45/04 ordered to stand part of the Estimates.

Vote 45/05 ordered to stand part of the Estimates.

Hon. Government Members: Hear, hear!

VOTE 51 – (Ministry of Communications and Transport – K102,811,810,471).

The Minister of Communications and Transport (Professor Lungwangwa): Mr Chairperson, allow me to express my sincere thanks for the opportunity you have given me to make a policy statement in support of the 2011 Budget for my ministry. I also wish to acknowledge that this Budget serves to reinforce the Government’s strategic commitments as indicated in the Fifth National Development Plan (FNDP) and initiate the revised vision and strategic direction of Government for the next five years, as contained in the Sixth National Development Plan (SNDP) to run from 2011 to 2015.

Mr Chairperson, 2010 was a year of hope as the effects of the global financial and economic crisis were receding and the global and regional economies, of which we are a part, were slowly gaining momentum. This is all attributed not to chance, but a systematic and consistent policy and regulatory reforms that were implemented by us under the able leadership of His Excellency the President, Mr Rupiah Bwezani Banda.

Mr Chairperson, the transport sector, which was not spared from the effects of the crisis, will still take its place as a key driver and facilitator in economic activities. During the challenging period of the crisis, the role of the Ministry of Communications and Transport remained to be the platform on which infrastructure development was anchored so as to create a sound business and commercial environment for a private sector-led growth, wealth creation and poverty reduction.

We all know that, in today’s world, nothing can be effectively and/or efficiently done without reliable communication in transport infrastructure. Therefore, the ministry’s mission statement captures this as follows:

“To facilitate sustainable growth and development of the transport and communications sectors in order to ensure the vision of efficient, adequate and quality services to the benefit of the people’s of Zambia.”

Mr Chairperson, the ministry translates its mission statement through three key national policy areas, namely, transport policy, capturing air, road, railway and water transport; information and communications policy, covering internet, data transmission and telecommunications and, lastly, the meteorological policy, which covers climate variability, climate change and meteorological data position and management.

Mr Chairperson, at operational level, the ministry discharges the above functions through a number of departments, parastatals and Government agencies. The 2010 Budget for the ministry was meant to address, among others, the following critical issues:

(i) formulation and review of policy, legal and regulatory frameworks affecting the transport in communications sector;

(ii) development, rehabilitation and maintenance of transport, communications and meteorological infrastructure and services; and

(iii) provision of resources for management and administration of the ministry.

Mr Chairperson, my ministry has been allocated K102, 811,810,471, in the 2011 Estimates of Revenue and Expenditure, including grants to the Road Transport and Safety Agency (RTSA).

Sir, of this amount, K30 billion will be spent on airport/aerodrome development, rehabilitation and maintenance. K34 billion will be spent on RTSA, while K8 billion on personal emoluments and other personal emolument-related expenditures. The rest of the money will go towards the completion of all the ongoing projects and the policy reform process.

Mr Chairperson, the ministry, in 2011, will focus its strategies on strengthening the gains achieved in 2010. To this effect, the following programmes have been prioritised:

Railway Transport

Mr Chairperson, my ministry has allocated K1 billion for operations and management of the Chipta/Mchinji Railway Line. These funds are meant to facilitate the commercial operations of train service, completion of outstanding civil works and meet administrative costs.

Mr Chairperson, the Government has also allocated another K1 billion for the full feasibility study and detailed designs for the second phase of the Chipata/Mchinji Railway Line, which entails extending the railway line to join the Tanzania-Zambia Railway Authority (TAZARA) possibly at Mpika or Serenje. The construction of this rail link will increase the economies of scale on the Nacala Development Corridor, especially with more cargo such as copper, manganese and other minerals to be transported to the Port of Nacala in Mozambique.

Mr Chairperson, the Government will further continue to explore possibilities of attracting private sector investment for the development of Green Field Railway Lines, such as Nseluka/Mpulungu, Chipata/TAZARA, Mulobezi/Caprivi Line, Lions Den/Kafue Railway Line and the Solwezi/Kaoma/ Mongu to Katimamulilo Railway Network.

My ministry shall also continue to dialogue with the Railway Systems of Zambia (RSZ) to improve the operations of the company.

Mr Chairperson, the governments of the Republics of Zambia and Tanzania agreed to continue to support TAZARA until a lasting solution to the current challenges was found. To this effect, the governments of the two republics will assume outstanding debts of TAZARA in order to clean up the balance sheet. The two governments, further, entered into the 14th Protocol with the Chinese Government that will provide about US$40 million in terms of equipment, technical assistance and materials to enhance the authority’s operations. TAZARA is now tasked with the responsibility of implementing the tenets of the 14th Protocol from 2011 onwards.

Mr Chairperson, road transport stands as the most utilised mode of transport in Zambia, especially in the urban and peri-urban areas. Statistics show a trend of an in flow of over forty thousand new vehicles onto the Zambian roads per annum over the FNDP. As such, we realise the need to be more road safety cautious and also to seek ways and means of avoiding traffic congestion.

 My ministry has allocated a sum of K34 billion to RTSA. The institution is specifically tasked to uphold road transport safety in Zambia. Strong measures will be taken in 2011 to make RTSA a major revenue earner for the Government.

Air Transport

Mr Chairperson, the priority of the Government, in 2011, will be the development and modernisation of air transport infrastructure. To this effect, my ministry has allocated a total of K29.9 billion to this activity.
Amongst the projects planned are the completion of the construction of a runway and construction of the terminal buildings at Kasaba Bay, Mongu, Mansa and Kasama airports. District aerodromes are earmarked for rehabilitation. Solwezi Airport is targeted for rehabilitation under the private-public partnership (PPP) approach. District aerodromes at Senanga, Nyangwe, Mongu and Serenje will further be rehabilitated at a cost of K3 billion.

Water Transport

Mr Chairperson, the priority of the Government in the maritime and inland water transport sub-sector is to revitalize and improve water transport services through the engagement of the private sector investment and the participation in service delivery, especially in rural areas. This will guarantee the sub-sectors’ competitiveness as an alternative mode of transport.

The Government Shippers’ Council was established in 2010 and a suitable premise to house the secretariat of the council is being sought. The council shall serve to strengthen and create a bargaining power of private sector and business people against organised shipping lines.

Mr Chairperson, we realise that a sound legal framework is key for the development of the sector and, in 2011, the ministry will ensure to complete the process of developing a Port Authority Act. The process commenced in 2010 and a layman’s draft was submitted to the Ministry of Justice for its professional consideration.

Mr Chairperson, infrastructure development in respect of dry ports will continue in 2011. The Government is already constructing dry ports at Nakonde and Kasumbalesa under the PPP. With the commissioning of the Chipata/Mchinji Railway Line commercial operations, pre-feasibility studies have been undertaken for the construction of the Chipata Dry Port and this is also proposed to be done under the PPP. The Government, through my ministry, shall continue to enhance Spartial Development Initiatives (SDIs). The Walvis Bay Project construction shall continue whilst we seek to secure some land in Mozambique so as to establish our physical presence at the Port of Nacala to facilitate speedy processing and handling of Zambian Cargo.

Mr Chairperson, with the recently procured new dredgers, my ministry shall optimise the use of this equipment in canal clearing and rehabilitation to improve the navigability of our inland waterways which serve the majority of our people in the rural areas.


Mr Chairperson, under meteorology, the Government intends to establish marine meteorological services at Kafulafuta and Nansanga Farm Blocks. In 2011, the Meteorological Policy shall be launched and, thus, trigger its implementation.

Information and Communications Technologies

 Mr Chairperson, the Information and Communications Technologies (ICTs) have evolved and taken the lead as a media for conducting business and day to day transactions in all sectors of the economy. From e-banking, e-health, e-education to e-Government, all are, but part of the required integrated e-Governance which my ministry endeavors to systematically develop to bring our nation on a par with the entire international economy with regard to electronic technology.

In 2011, my ministry has allocated K2.3 billion to the construction of post offices at Shan’gombo and Vubwi.

Hon. Government Members: Hear, hear!

Professor Lungwangwa: This is part of the ongoing pro-poor focus of the Government interventions and establishment of the relevant infrastructure to serve as the foundation for e-Governance. The post offices are being upgraded to house comprehensive e-services to render timely and efficient communication and other related services.

The Government will continue with the promotion of universal access to ICTs through capacity building of rural ICTs. My ministry will work closely with the Ministry of Information and Broadcasting Services and other stakeholders to ensure that the country is ready to migrate from analogue to digital broadcasting by 2013. Concerted efforts are being taken to make mobile operators extend network coverage to the rural areas.

Mr Chairperson, I wish to appeal to the hon. Members of this august House to support my ministry’s budget because transport and ICT infrastructure are key to the economic growth and development, wealth creation and, ultimately, poverty reduction.

Mr Chairperson, I beg to move.

Hon. Government Members: Hear, hear!

Mr Mukanga (Kantanshi): Mr Chairperson, I thank you for giving me the opportunity to add my voice to the debate of this very important ministry. In supporting this Vote, I would like to state the following.

From the outset, let me mention that I agree with the hon. Minister that communication and transport are key to the development of any nation in the world. If there is proper communication and transport in the nation, it is easy to add on other forms of development.

Mr D. Mwila: Hear, hear!

Mr Mukanga: However, when you look at the communications and transport sector in Zambia, you will notice that there is a need to allocate adequate resources to this ministry, if we are to change its operations.

I have always said that e-governance will not be achieved until we improve the ICT facilities. The e-business will not be attained to the desired levels, unless proper internet facilities are put in place countrywide. At the moment, the world over is talking about e-parliament, and yet Zambia is not even mentioning it. Zambia does not even know what e-parliament is.

The hon. Minister of Education talked about e-learning, but how is it going to be achieved if there are no facilities to support it? Therefore, it is important that when we talk about all these changes in the Government and technology, adequate resources are allocated to the ministry so that issues of this nature are implemented properly.

Mr Chairperson, let me also comment on our airports in Zambia. Some of them are called international airports. I think it is important that these airports are funded adequately in order for them to attain international standards. If we compare the Lusaka International Airport to Oliver Tambo International Airport in South Africa, you will see that there is a very big difference.

Mr D. Mwila: Hear, hear!

Mr Mukanga: When you look at the condition of our international airports, you will not believe that we are a country which is endowed with abundant natural resources because we are failing to develop it. It takes long for one to clear goods at the Lusaka International Airport because it is not adequately funded.

Mr D. Mwila: Hear, hear!

Mr Mukanga: We need to revamp our international airports so that they can compete with international airports in our neighbouring countries. As Zambians, we are talking about these issues, but the Government is not doing enough to improve the situation. For example, the Lusaka International Airport has the capacity to improve, but it needs proper investment so that things can change.

Let me take this opportunity to comment on the state of the conveyor belt at the Lusaka International Airport. I am talking about the conveyor belt which ferries your luggage to the loading bay or from the offloading bay. It is a shame. At times, I fail to understand how we can let things get to this level. When you put a suitcase on the conveyor belt, it is ripped. It is because the conveyor belt is in a bad state. As a result, it is ripping the suitcases.

Hon. Opposition Members: Hear, hear!

Mr Mukanga: Why should we allow a situation like that to exist in the country when we have been talking about improving our communication system? There is a need for us to invest in this infrastructure and look at issues pertaining in other countries. The conveyor belts and everything at the airports should be changed.

In Zambia, when you are landing, the first thing that greets you is the infrastructure which has not been well cared for. Yes, there have been some improvements, but there is a need to do more. We need political will to change this kind of situation. If we become content with what is obtaining on the ground, then we will not do what we are supposed to. I am sure hon. Ministers, as the Executive, travel a lot and have seen how efficient systems of other countries are. That efficiency has not just dropped from heaven. It has come about because there has been massive investment in that regard. I would like to see that there is efficiency and effectiveness in the way people operate in this country. However, that efficiency will not be achieved if there is no massive investment in the ICT Sector and this will also make it very difficult for the airports to function properly.

Some of these airports you call international airports in Zambia are not even fit to be referred to as such.

Mr D. Mwila: Hear, hear!

Mr Mukanga: It is shocking that the Ndola International Airport can even be called an international airport. This airport used to be very nice, but it has been run down. Unless this Government ensures that …

The Deputy Chairperson: Order!

Business was suspended from 1615 hours until 1630 hours.


Mr Mukanga: Mr Chairperson, before business was suspended, I was saying that the facilities at the Ndola International Airport are in a deplorable state. As a result, it is not worthy to be called an international airport.

Mr D. Mwila: Hear, hear!

Mr Mukanga: The runway is completely dilapidated. How can you have a runway with potholes? These are issues that I am failing to understand because they concern the safety of passengers on the plane. Therefore, it is important for the Government to ensure that all runways are resurfaced properly.

I am sure that you understand that the initial design of the Ndola International Airport was meant to last a lifetime but, through the years, there has been no recapitalisation. Hence, the infrastructure has deteriorated. It is important that the structures at the Ndola International Airport are rehabilitated. Sometimes, when you land at the international airport, even vehicles for very important persons (VIPs) are not available. Let us look at these issues.

Let me also comment on the state of aerodromes in this country. It is important that aerodromes in various districts are also worked on because tourists would like to fly from Lusaka to Kasaba Bay, Kasempa, Chingola or Mansa, but if the aerodromes are not properly looked after, it will be very difficult for them travel.

Mr Chairperson, I have noticed that there is a provision of K3.9 billion for district aerodromes, but which aerodromes are being considered?


Mr Mukanga: Yes, which aerodromes is the Government considering? We would like to know exactly which ones are being considered and what criterion will be used for them to be selected.

Mr Chairperson, let me also comment on the RSZ. I do not need to emphasise this matter because the truth can be seen.

Mr D. Mwila: Hear, hear!

Mr Mukanga: Sometimes, there are no traffic lights at the railway crossing. This makes people guess whether the train is coming or not. It does not work like that. In schools, our children are still being taught to look left, look right and look left again and then cross because the traffic lights are not working. Therefore, it is important that traffic lights are repaired or put in place. The designs were good, but we have not looked after this infrastructure properly.

The Yellow Book is showing that there is a budget allocation for Government Inspectors to inspect the railway line, but the amount has been reduced from K356 million, in 2010, to K250 million, in the 2011 Budget. What are we thinking? Is this what you call progress? Definitely, if it is progress, then it should be in the negative. We want to see serious development take place. I did not come here to praise you, but to point out a few things that you need to look at.

Hon. PF Members: Hear, hear!

Mr Mukanga: I am not just pointing at issues unnecessarily, but these are things that are supposed to be done. We are not only talking about the RSZ, but also the Tanzania Zambia Railway Authority (TAZARA). We need to look at the way they are operating. We need to look at how best we can give a good service to the Zambians. In other countries, they use more railway transport than roads. In Zambia, we cannot do that because it is not effective and efficient. If you started off from Ndola by rail, it would take you two days to arrive in Lusaka. Is that the mode of transport you want the Zambians to use?

Mr Chairperson, if we used that mode of transport, it would have saved the road network. Look at the road network today. The goods that are supposed to be transported by rail are being transported by road. No wonder the roads going to the Copperbelt are dilapidated and unacceptable by any standard. The roads are in such a bad state because the railway system has not been utilised the way it is supposed to. It is, therefore, important that you discuss with the Railway Systems of Zambia and see how best this can be revamped.

Sir, my other point is on water transport. I was wondering why we have made huge reductions from K150 million to K130 on Bangweulu Water Transport and Mweru Water Transport. I am wondering whether we are really serious when we talk about improving the transport sector. Why are we just talking about ICT without considering other issues? When is digital migration going to be effected? The people out there want to know when these things will be done. Zambia, today, has low levels of ICT because it has not deliberately invested in them.

Sir, other countries are talking about the issue of one computer per child. What is our policy in this country? What are we doing to ensure that children in Shang’ombo, Kaputa and Mwansabombwe have computers? You can talk about computers in Kantanshi because it is urban, but every child should be entitled to a computer, regardless of the environment and the location so that they understand and contribute to the development of the nation. Without having a serious policy on such an issue, it will be very difficult for us to develop. We need to move forward at a very fast rate. 

Mr Chairperson, on the issue of mobile phone service providers, I would like to know why the units in Zambia are more expensive than in other countries. When you are roaming in South Africa, both the caller and the receiver are charged and this is very expensive. Why should it be like that in Zambia?

Hon. Opposition Members: Shame!

Mr Mukanga: Sir, in other countries, it does not happen like that. I think it is important that we look at these issues and ensure that we reduce the cost of making a call. If we reduce the cost of making a call, it will be easier and cheaper for us to conduct business. That is why we are talking about e-business. This is to ensure that we look at business and reduce the cost of doing business. If we do that, even the items and the commodities will be cheaper. How do you expect the commodities to be cheaper when just making a call is expensive? What the businessmen and women will do is take that cost and include it on the cost of the commodity. At the end of the day, it is the innocent consumer who will have to pay for it.

Sir, I am, therefore, requesting you to look at that issue and see how best the cost of doing business in Zambia can be reduced. In this regard, business, in Zambia, will be comparable to other countries.

With these few words, I thank you, Sir.

Hon. PF Members: Hear, hear!

Captain Moono (Chilanga): Mr Chairperson, I just would like to echo what the previous hon. Member said about the RSZ. It has failed and this Government needs to seriously re-examine its contract with it. I do not know if anyone of us in this House has seen the condition of the passenger train that is operated by the RSZ. There were goods trains which were used to ferry animals from the Southern Province to the Copperbelt. The wagons that the people are using now are similar to those of goods train.


Captain Moono: I think you have to go and see for yourselves the kind of train our people are using. Most of our Zambian people are poor and cannot afford bus fares.

Mr Lubinda: Mazhandu!

Captain Moono: I mean buses such as Mazhandu and others. Therefore, railway transport becomes an alternative to them. You will find that there is not even electricity in the train. I recall when I used to go to school during the United National Independence Party (UNIP) era, we had a nice train which had electricity, a kitchen and beds. People could even sleep there.

Hon. Member: First class!

Captain Moono: Yes, in first class. It was as if you were on a plane. Where have those conditions gone after giving the RSZ the contract? This company is highly protected by this Government. I want to appeal to the hon. Minister that this is the mode of transport the poorest of the poor use. It does not help to shake your head when I am talking.

Hon. UPND Members: Hear, hear!

Captain Moono: All you need to do is go and research. Get into this train and see if you will enjoy or come back alive.


Captain Moono: Mr Chairperson, this Government also needs to look at a commuter railway line which used to run from Chilenje to Matero. This had eased the congestion on the roads. I know that this Government has failed to run a small project such as a commuter railway line and talking about the RSZ will just be complicated. These are small issues which can add value to your administration. People will be very happy to have affordable and efficient transport. Presently, it is hell if you drive between 0700 hours and 0800 hours. The roads are congested and mini-busses are ….

Mr Chairperson: Order!

 Please, with draw the word ‘hell’.

Captain Moono: Mr Chairperson, I withdraw the word ‘hell’.

It is very difficult to drive during this hour. I think there is nobody else we expect to come and solve these problems apart from that Government. If we can pump money in this sector, especially in the commuter railway line, our people will be very happy. Do you, sometimes, realise why your Government is not very popular in town, especially in Lusaka? When you trivialise people’s complaints, they take it that you do not care.

Mr D. Mwila: Kuya bebele!

Captain Moono: These are simple things that you can do. You can improve the way people travel.

Mr Chairperson, I know that a driver has to understand the Highway Code. Furthermore, he/she does not only have to drive in Zambia, but also in other countries within the Southern African Development Community (SADC) region. I have examined the Highway Code, but have not seen a sign of a human being standing at a railway crossing to stop vehicles when a train is oncoming.

Hon. Opposition Members: Hear, hear!

Captain Moono: It is very strange that we have such road signs in this country. There is a probability of this person falling asleep. What will happen to motorists? A fatal accident can occur. In addition, thieves have taken advantage of this situation on railway crossings. They stop people driving trucks full of goods pretending that a train is oncoming. Drivers have complied because this is the Zambian way of driving.


Captain Moono: Many trucks have been stolen this way. 

What is so difficult about having good communication systems such as traffic lights in working conditions? I know that this company is highly protected.

Hon. Opposition Members: Hear, hear!

Captain Moono: I do not know what it has done. It is not the only company capable of running our railway system. Other companies and stakeholders can come in and help.

Mr Chairperson, sometime back, I was with a friend driving from South Africa. When we reached a railway crossing, there was this man who was flagging us down. My friend thought that we were being high jacked. He jumped off the vehicle and started running into the bush.


Mr D. Mwila: Shame!

Captain Moono: I had to explain to him that the man was genuinely employed by the Zambian Government and that stopping us when a train was oncoming was his job. We should not go back to such standards. 

Mr Chairperson, I heard the hon. Minister talk about RTSA being a major revenue earner. This may be true but, in its current state, with corrupt traffic officers, it has no capacity.  I know that hon. Ministers have the privilege to visit different countries. In South Africa, for instance, when one commits a road traffic offence, nobody will force him/her to pay there and then. One is simply charged and he/she signs the charge. Thereafter, the motor vehicle details are fed into the computer and the offender is given a period in which to pay the fee. If the fee is not paid in the stipulated period, the offender ends up paying interest. In instances where one goes to renew their driver’s licence, he/she is obliged to clear these bills before they can get it. There is no acrimony between traffic officers, the Government and motorists.

In Zambia, however, when you meet a police officer at a road block and you have a slight problem, you will be told it is an impoundable offence and you are required to pay the fee there and then. You are forced to pay up because you are in a hurry. Furthermore, the fees for some of these offences are too high. Motorists do not have this kind of money on them all the time. As a result, they are forced to engage in bribes.

Mr Chairperson, at times, at a road block, the driver of a vehicle in front of you does not even wait to be asked to pull over. He will do this on his own. Next thing, you see him rushing into the bushes to meet the traffic officer and come back smiling and then he continues with his journey.


Captain Moono: The traffic officer will not even know the offence that the driver has committed.


Captain Moono: Is this the road safety you are talking about?

Hon. Opposition Members: Hear, hear!

Captain Moono: I think that this is unacceptable.

We need to computerise our system. When we do, there will be harmony in the manner in which we operate on the road.

Hon. Opposition Member: Not impounding.

Captain Moono:  Impounding vehicles is not the solution.

Mr Chairperson, the hon. Minister must seriously consider reducing road traffic offence charges because, most of the time, they are very prohibitive for one to pay on the spot. For instance, if you receive a call while on the road, whether you are stationary or not, and a police officer finds you, you are required to produce K370,000 as penalty. Very few ordinary motorists move with this kind of money in their pockets. Unless you computerise the system and give motorists time to pay up, you will never get this money. You will continue talking about RTSA being a major revenue earner, and yet it will never earn this revenue. This revenue is going into private pockets at reduced rates. It is up to you to do something about this. 

Mr Chairperson, lastly, I want to comment on the Government’s refusal to allow a fourth mobile operator in order to nurture the already existing three to grow. I find it strange and contradictory because this Government believes in a liberalised market. I have never heard the Government refuse anyone in any sector to protect the ones already here from making losses.

Why are there conditions when it comes to mobile operators? Before the Zambia Telecommunications Company (ZAMTEL) was sold, I would understand that it was trying to protect a Government-operated company and its workers. ZAMTEL, however, has been privatised. Workers have been fired. So, what are we still protecting? Let private individuals compete. Those who are weak can fall out. If we do this, the rates will come down like in other country and the people will enjoy the services. Mobile operators are expensive because of this Government. You simply liberalise the economy and let everyone participate. The weak will go and when they do, there will be better services.

Mr Chairperson, I thank you.

Hon. Opposition Members: Hear, hear!

Mr V. Mwale (Chipangali): Mr Chairperson, I thank you for the opportunity to debate. I stand here to support this Vote. In supporting it, I wish to make a few observations.

Mr Chairperson, on behalf of the people of the Eastern Province, I would like to thank this Government for constructing the Chipata/Mchinji Railway Line. We know that this railway line will bring about a lot of change for the people of the Eastern Province.

Hon. Government Members: Hear, hear!

Mr V. Mwale: We know that the Eastern Province is now linked to the Nacara and Sanje ports in Malawi which will enable the importation and exportation of goods.

Mr Chairperson, we have heard a lot of people in this House criticise the construction of the railway line. We heard a lot of people …

Mr Lubinda: It has taken twenty-seven years.

Mr V. Mwale: Yes, it has taken twenty-seven years but, finally, it has been done by this hardworking Government.

Hon. Government Members: Hear, hear!

Mr V. Mwale: Mr Chairperson, we heard a lot of hon. Members on your left say that this railway line would be a white elephant and that it would not be able to bring about any change.

Mr Speaker, like I said earlier on, we have now seen that Malawi has opened a sea route which  enables this country to bring in goods from everywhere in the world through the Indian Ocean, Zambezi River, Shire River up to Lake Malawi. From Lake Malawi, we will get the same goods onto our cargo train to Chipata and then to the rest of this country.

 Hon. Government Members: Hear, hear!

Mr V. Mwale: Sir, because of this route, we now have the shortest route to Sanje Port. Nacara Port has also become much nearer to us. This means that the people of the Eastern Province will now increase their maize production because they know that it will be easy to transport it to the rest of the world.

 Mr Tembo: Bauze!

Mr V. Mwale: There will be an increase in tobacco production because it will be exported cheaply.

It is for this reason that we want to thank to this Government and the ministry, in particular, for a job well done. In the past, we used to say that development was only along the line rail, but Chipata is also connected to the line of rail.

 Hon. Government Members: Hear, hear!

Mr V. Mwale: As a result, the people of the Eastern Province expect a lot of development.

 Hon. Government Members: Hear, hear!

Mr V. Mwale: Mr Chairperson, we have seen that in this year’s Budget, there is K1 billion which has been allocated for making the same rail line operational next year. We cannot wait to see that rail line operating.

Mr Chairperson, I also want thank to this Government for constructing a terminal at Chipata Airport. This ministry has done a lot throughout the country by putting up terminals, and Chipata is among those that have benefited. Therefore, there is a terminal in Chipata and we cannot wait to see that opened. At the same time, K500 million has been allocated in this year’s Budget for the rehabilitation of Nyangwe Airstrip in Lundazi. However, the money was not released and therefore, the rehabilitation was not done. I have also seen that there is nothing that has been allocated in the next year’s budget for this exercise. When the hon. Minister winds up debate, I would like him to clarify why this money was not released. The hon. Minister will do well to tell us why the allocation for Nyangwe Airstrip has been removed from this year’s Budget.

Mr Tembo: Zoona!

Mr V. Mwale: Mr Chairperson, the other point which I want to talk about is the issue of road signs, which was touched by Hon. Captain Moono. We have seen a lot of accidents along the Great East Road, especially on the stretch between Luangwa and Petauke. This is due to lack of road signs. I have noticed that K34 billion has been allocated to RTSA in next year’s Budget with an increment of K1 billion from last year’s allocation. I, therefore, hope that this money will take care of the issue of road signs between Luangwa and Petauke. A lot of accidents happen along this stretch because of the curves due to the hills. Therefore, it is very important that we have road signs to guide motorists so that, as they drive, they are aware of what is ahead of them.

Mr Chairperson, as I wind up my debate, I would like to thank the Government for the way it has handled the sale of ZAMTEL.

 Hon. Government Members: Hear, hear!

Mr V. Mwale: Sir, we have seen that ZAMTEL is an emerging giant in the telecommunications industry. It has made the price of airtime very competitive. MTN and Zain do not just enjoy market shares, but are coming up with very good services. We hear that they are bringing in the 3-G technology. This should be sending shivers to the other competitors as this will bring down the cost of telecommunications in this country.

Mr Chairperson, this Government has worked very hard and, as a nation, we are very grateful for that. We have also seen that Cell Z is doing fine so far. I really want to thank this Government for the Chipata/Mchinji Railway Line. I, therefore, hope that the Government will extend this railway line to join the TAZARA Railway Line so that the people of Petauke and Katete can also benefit from it.

 I thank you, Sir. 

Hon. Government Members: Hear, hear!

Colonel Chanda (Kanyama): Mr Speaker, I would like to thank you most sincerely for giving me this opportunity to debate this very important Vote.

Sir, I entirely agree with the hon. Minister of Communications and Transport that the development of any country is anchored on a sound communication and transport network. In sharing this notion, I want to give an analogy of the human body. God created the human body and, in that body, there is a network of veins and arteries. This helps to keep the body alive. To draw this same analogy, a transport network that cannot facilitate the movement of goods and services will definitely not survive or serve the interest of any given nation.

Mr Chairperson, I would also like to share with this august House, especially the men and women on your right, my experiences in my twenty-four year flying career. I have made not less than 200 landings and take-offs at Kasaba Bay Airport. During that time, the machine that we were flying was only a 50-seater. In those 200 landings and take-offs, the aircraft took off from Kasaba Bay with a full load only 10 per cent of the time. May I ask from where the Government is going to get passengers following the pronouncement that it wants to develop the Kasaba Bay to a status where a 747 per load of 400 passengers can land at Kasaba Bay. Where are they going to be accommodated because, from what I know, there are only twenty-three bed spaces in Kasaba Bay, and yet you want to fly in 400 people? This is the haphazard planning of the Government that is getting us very worried.

 Hon. Opposition Members: Hear, hear!

Colonel Chanda: Mr Chairperson, that money could have been put to better use by upgrading the Lusaka International Airport which is a slam airport at the moment. You cannot go and invest billions of Kwacha in an area like Kasaba Bay, where you are not even sure when you are going to reap your returns.

Mr Chairperson, the second point that I would like to share with this august House is that, being a member of the Common Market for East and Southern African (COMESA), I agree that inter-State agreements are important. When we signed the agreement to set up a one-stop border post in Chirundu, it sounded a very good idea. When you reflect on that move, whose interests were we serving when we were setting up that border post? Which traffic were we trying to clear? Was it only on the Zambian side or the Zimbabwean side? All we were doing was to open up trade for other countries, whom I may not mention, and, subsequently, we became more of a dumping ground with little benefits to us.      

Mr Chairperson, I am aware that the Zambian Government paid the lion’s share of the total cost for putting up that infrastructure by borrowing money. This is the type of haphazard planning that has brought a lot of problems in the development of this country.

Mr D. Mwila: Hear, hear!

Colonel Chanda: Mr Chairperson, let me remind this Government that, for as long as we live, we, the hon. Members on the left side of the House, shall continue taking it to task so that it can account for what happened to Zambia Airways.

Mr D. Mwila: Hear, hear! Zoona!

Colonel Chanda: A country cannot be run without a flag carrier. What justification was there for liquidating Zambia Airways, especially at the time when it was very solvent? I know this fact because, at that time, I was working for Zambia Airways. The amount of equipment that this company had, both at home and abroad, could have helped to pay off whatever debt that airline owed the international community. Mr Chairperson, the people on your right that facilitated the liquidation of Zambia Airways must be made to account for their actions.

Ms Lundwe: Sata was there!

Colonel Chanda: Sometimes, when I go to the international airport, I tend to shudder when I find that a ka small plane flown by Zambezi Airline, which some people tend to think is a flag carrier for Zambia, with a tail whose only colour is that of the Presidential flag.

Hon. Government Member: No!

Colonel Chanda: Maybe, that is what makes people call this plane a national carrier.


Colonel Chanda: Mr Chairperson, it is high time we started budgeting to set up an airline that will serve our interests as a carrier of this proud nation.

Lastly, Mr Chairperson, I wish to talk about the road infrastructure. The road infrastructure in the country has been badly damaged.

Mr D. Mwila: Hear, hear!

Hon. Government Members: Aah! How?

Ms Lundwe: How?

Colonel Chanda: The infrastructure is in a terrible mess.

Mr D. Mwila: Hear, hear!

Colonel Chanda: Sir, through one of your committees, I was privileged to visit a hospital that is being constructed in Lufwanyama Constituency. That infrastructure is beautiful. This Government has been singing songs, daily, regarding the infrastructure that it is constructing. However, it has failed to take into account the state of the road network leading to the same infrastructure. In Lufwanyama, in the middle of nowhere, there is a beautiful hospital, but poor road infrastructure. It took us four hours to cover a distance of less than 100 km. That is the type of haphazard planning which is characteristic of this Government.

Mr D. Mwila: Hear, hear!

Colonel Chanda: The sooner this Government starts setting its priorities right, the better for this country. This Government is also misapplying resources even for well intentioned programmes.

The people of Zambia have had enough of the MMD Government’s twenty year misrule. The people on your left side, who represent the people in the various constituencies, will shame this Government. We will shame it because we will do what it has failed to do in ninety days.

Hon. Opposition Members: Hear, hear!


Colonel Chanda: We are going to shame you.

Mr D. Mwila: Hear, hear!

Colonel Chanda: Look at the madness that is happening in Lusaka, especially the traffic jams, as a result of bad planning of this Government. Instead, it wants to wash dirty linen in public by claiming that the problem of congestion in the City of Lusaka should be blamed on an Opposition run local government system. The Movement for Multi-Party Democracy (MMD) Government has been in power for twenty years and the Opposition has only been in power at the local level for four years. What we are experiencing are the mistakes of this Government.

Hon. Opposition Members: Hear, hear!

Colonel Chanda: What you created is what is causing all the problems that you want to blame the Opposition for. Soon, we shall come and when we do, we will come in power with full force and make sure that we rectify the mess you have created in this country.

With these few words, Mr Chairperson, I thank you.

Hon. Opposition Members: Hear, hear!

Professor Lungwangwa: Mr Chairperson, I wish to assure Colonel Chanda, hon. Member of Parliament for Kanyama, that this Government is serious about the development of this country and the Zambian people can see the development that is currently taking place.

Hon. Government Members: Hear, hear!

Professor Lungwangwa: There are no haphazard plans in place but, clearly, strategically and systematically outlined development programmes which we are following.

Hon. Government Members: Hear, hear!

Professor Lungwangwa: That is why you are seeing a lot of infrastructure all over the country and the Zambian people are happy. Come 2011, the MMD Government, under the able leadership of His Excellency the President, Mr Rupiah Bwezani Banda, will retain its power.  

Hon. Government Members: Hear, hear!

Mr Malwa: Will be retained massively!

Professor Lungwangwa: On the congestion that was talked about, I wish to say that cities all over the world such as New York, London and Tokyo have traffic congestion and Lusaka is no exception to that problem. If you drive from 0700 hours to 0800 hours, you are going to face a lot of congestion in the cities that I have mentioned. That is a clear sign of affluence. More than 40,000 cars are being offloaded on the Zambian roads every year. Our people are increasingly becoming affluent as a result of a good economy that has been consistently growing positively.

Hon. Government Members: Hear, hear!

Professor Lungwangwa: This is why you are seeing the congestion on the roads.

Mr Nkhata: Mwebeni!

Professor Lungwangwa: This is clearly a sign of a developing economy.

Sir, there were a number of issues that were raised by Hon. Mukanga and Hon. Moono. However, I will only try to touch on a few of them. As far as roaming is concerned, when you travel, internationally, it is a standard practice all over the world that when you initiate a call, you are charged. When you are on another network, as a visitor and do not belong to a local network, you will be charged for all your calls. This is normal international practice. Those who come to Zambia experience the same practice. Therefore, it should not be an issue when you are charged locally and internationally. That is how the system operates all over the world. I think that is a point we should all appreciate. We should not blame our local operators here for practices which are part of the global standards.

 As regards when we are going to migrate, the International Telecommunication Union (ITU) states that we should be doing so globally by the 17th of June, 2015. However, here in the SADC Region, we have agreed that our target should be 31st December, 2013, as I have indicated in the policy statement. At the moment, the SADC Ministers responsible for communication are meeting here in Lusaka, today and tomorrow, to agree on standardised equipment that should be used in the process of migrating from the analogue to the digital system.

Mr Nkhata: Do you hear that Mwila?

Professor Lungwangwa: Issues regarding our airports were also raised. We are very serious in turning Zambia into a hub for aviation in the region. It is for that reason that we have completed modern designs for our four international airports which are, Lusaka, Ndola, Mfuwe and Livingstone international airports.

Mr Nkhata: Hear, hear!

Professor Lungwangwa: We have already taken steps to remove over 250 households which were squatting on the land at the Lusaka International Airport so that we can pave way for the construction works at that airport.

Hon. Members: Hear, hear!

Professor Lungwangwa: We have already taken steps, as a Government, to advertise for construction works at the Lusaka International Airport and that process is still going on. We are alive to the fact that our airports must reach the necessary international standards. That is the only time when we shall all be happy. For the Livingstone International Airport, construction works to improve the standards of the international terminal have already started. I am sure that those of you who follow newspaper reports should have seen pictures of me launching the construction of that facility at that airport.

Mr Chairperson, let me now respond to issues regarding rail transport. The funding for Government inspections on railways has been reduced because a railway fund, which will ensure that inspection works and other monitoring activities are taken care of, has been established.

Mr Chairperson, a number of issues have also been raised concerning the RSZ Hon. Captain Moono and Hon. Mukanga. The RSZ has been in operation as a concessionaire for six years now after very serious dilapidation of the railway line and other support facilities. As a Government, we have taken steps to seriously discuss with the concessionaire regarding improvements in the railway line as well as other facilities under it.

Mr Chairperson, for TAZARA, a lot of efforts have, so far, been made to address the problems there. Last year, we signed the 14th Protocol as I indicated in the policy statement which will, of course, assist in the procurement of locomotive engines of wagons, improvements on the railway line as well as improvements in the management of TAZARA. All these are efforts that this Government is making to ensure that the railway system operates effectively and efficiently so that the roads are decongested and the railway systems is utilised more in order to address some of the problems that are affecting our economic development. Railway lines can also be used to transport bulk goods more efficiently and less costly. Therefore, railway transport is extremely important in that regard.

Mr Chairperson, a number of issues have been raised with regard to the ICT sector. It is very clear that Hon. Mukanga and the others are not following what this Government is doing in terms of ICT policy reforms. We can see, for example, the reductions in international calling rates. At present, when you call different parts of the world, you are able to enjoy reduced calling rates. I must also state that, sometimes, on our phones, we do receive messages from operators telling us that we can enjoy certain tariff rates when we call people in certain countries at a particular point in time. This is progress in the right direction. It is also an indication that the policy reforms which we have taken, as a Government, are actually working and that the benefits are actually being enjoyed by the ordinary Zambians.

Mr Chairperson, the liberalisation of the international gateway is resulting in us enjoying a lot of benefits. For example, Zambians will soon be able to enjoy 3G services. 3G services are going to assist a lot in ensuring that more of our people have access data transmission facilities such as the internet. All this is development and progress.

Mr Chairperson, you can have four or five operators in the country, but the tariffs can still be high as they are in Tanzania. Tanzania has four mobile operators, but the tariffs are extremely high compared to South Africa which has three mobile operators which charge low tariffs. Thus, it is possible for us to realise more benefits from the current three operators that we have in place.

Hon. Members: Hear, hear!

Professor Lungwangwa: Mr Chairperson, yesterday, those who listened to the news, heard what Airtel had committed itself to do. Airtel, which formerly used to be called Zain, is prepared to roll out more of its network throughout the country. This is going to benefit the greater majority of the people.

Mr Chairperson, I thought I should clarify the points that have been raised and which, I think to a large extent, point to issues which require the giving of more information to some of our colleagues who need to understand the reforms that this Government is making for the benefit of its people and for the development of our country.

Mr Chairperson, I thank you.

Hon. Members: Hear, hear!

VOTE 51/01 – (Ministry of Communications and Transport – Headquarters – K55,001,949,609).

Mrs Mwamba (Lukashya): Mr Chairperson, may I have a clarification on Programme 2, Activity 03 – Anti-Corruption – K50,000,000.

Professor Lungwangwa: Mr Chairperson, the activities for which this amount is being sought for include sensitisation, meetings and any other related activities that are linked to the initiatives to discuss efforts to fight corruption. This is a common practice in a number of our institutions.

I thank you, Sir.

Mr Lubinda: Mr Chairperson, on Programme 9, Activity 05 – Development of National Strategic Transport Master Plan – K287,500,000, I would like to find out what plans will be in that master plan with regard to the Mulungushi Commuter Railway Line in Lusaka.

Professor Lungwangwa: Mr Chairperson, the Mulungushi Railway Line is an on-going activity in the sense that the Government has already advertised for its works before. The Government has, so far, advertised twice and it is still looking for an investor for that particular facility.

I thank you, Sir.{mospagebreak}

Vote 51/01 ordered to stand part of the Estimates.

VOTE 51/02 – (Ministry of Communications and Transport – Civil Aviation Department – K33,026,440,982).

Mr Lubinda: Mr Chairperson, may I have clarification on Unit 2, Programme 8, Activity 01 – Rehabilitation of Kasaba Bay – K18, 600,000,000. Given the fact that Kasaba Bay Airport is just being constructed, can I find out from the hon. Minister why he requires K18, 600,000,000 for its rehabilitation when it has not even been constructed. What is that money meant for when the airport is under construction at the moment? What does he want to rehabilitate?

Professor Lungwangwa: Mr Chairperson, as indicated in my policy statement, we are paying attention to on-going projects and Kasaba Bay is one such project which has not been completed, hence the need for that money.

I thank you, Sir.

Mr Shawa: Hear, hear!

Mr Lubinda: Mr Chairperson, in view of the answer provided by the hon. Minister, I would like to find out whether he would like to amend the Budget so that it has the right nomenclature. This activity is referring to construction and not rehabilitation. Would the hon. Minister like to do that because this is totally wrong and misleading?

Professor Lungwangwa: Mr Chairperson, there is nothing wrong with this particular nomenclature. It is the most appropriate.

I thank you, Sir.

Hon. Government Members: Hear, hear!

Vote 51/02 ordered to stand part of the Estimates.

VOTE 51/03 – (Ministry of Communications and Transport – Meteorological Department – K6,648,533,220).

Mr Lubinda: Mr Chairperson, may I have clarification on Programme 10, Activity 01 – Launching of Meteology Policy – K78, 775,000. There was K35,000,003 allocated to the launching of this policy in 2010 so why is there a need for another launch of the same policy in 2011 for which the hon. Minister should ask for an increased amount of K78,775,000. Why does he want to launch this policy twice, in 2010 and 2011?

Professor Lungwangwa: Mr Chairperson, the policy was developed, this year, and the launch, of course, still has to be undertaken and that is why we need that amount of money.

I thank you, Sir.

Mr Lubinda: Twice!

Vote 51/03 ordered to stand part of the Estimates.

VOTE 51/04 – (Ministry of Communications and Transport Maritime and Inland Waterways Department – K3,978,392,723).

Mrs Mwamba: Mr Chairperson, may I have clarification on Programme 9, Activity 03 – Rehabilitation of Dredging Equipment – K198,375,000. I would like to find out from the hon. Minister why he has requested for K198,375,000 to rehabilitate brand new equipment.

Professor Lungwangwa: Mr Chairperson, we have old dredgers which, of course, require rehabilitation. It is not the new ones that are meant to be rehabilitated.

I thank you, Sir.

Mr Lubinda: Mr Chairperson, may I have clarification on Programme 8, Activity 01 − Procurement of Watercraft – K750,000,000. Can the hon. Minister indicate what watercraft this is and on which water body it will be located for him to ask for K750,000,000.

Professor Lungwangwa: Mr Chairperson, the procurement of watercraft, of course, is just, as it says, a facility which will go to our waterways on Lake Bangweulu.

I thank you, Sir.

Vote 51/04 ordered to stand part of the Estimates.

Vote 51/05 ordered to stand part of the Estimates.

VOTE 33 – (Ministry of Commerce, Trade and Industry – K65,364,771,850).

The Minister of Commerce, Trade and Industry (Mr Mutati): Mr Chairperson, thank you for the opportunity to present a statement on my ministry’s Budget, Vote 33.

Mr Chairperson, let me start by congratulating my counterpart for presenting a focused Budget which was very well-suited to address job creation and prosperity challenges facing our nation. The theme, “A people’s Budget, from a People’s Government”, is very well-focused in the light of the significant progress we have made in the last three years, in making this country economically stable and a preferred investment destination. It is important that we now make strides to address the challenges of our people at their point of need, creating opportunities for enhanced participation in economic …


The Deputy Chairperson: Order!

 Hon. Members, the consultations are becoming very loud.

Mr Lubinda: On your right.

Hon. Government Members: Aah!

The Deputy Chairperson: May the hon. Minister continue.

Mr Mutati: … activities leading to improve living standards.

Mr Chairperson, the mission statement of my ministry is to:

 “Effectively and efficiently facilitate and promote sustainable growth, development and competitiveness of the commercial, trade and industrial sectors in order to enhance socio-economic development.”

Mr Chairperson, my ministry, therefore, contributes to the growth of the economy through the growth of the commercial, trade and industrial sectors. Improvement of the social and economic environment, through creation of more jobs, growth and prosperity is our holy grail. This is, indeed, what our people demand of us.

Mr Chairperson, let me start by giving a brief overview of our achievements in 2010. The focus has been the creation of an appropriate and conducive regulatory and legal environment for business. We have focused on the elimination of bureaucracy and institutional barriers to private sector development, efficiency and viability.

On the policy front, we have put in place the Competition and Consumer Welfare and Intellectual Property policies and we are looking forward to finalising the National Quality Policy. These policies are designed to give a clear guidance and direction to matters directly relevant to how the private sector conducts its affairs. They define the Government’s position and intention on protecting the welfare of both the entrepreneurs and the public in the conduct of business.

In tandem with these policy documents, the Government introduced several pieces of legislation which this House has passed. These include the Competition and Consumer Protection Act, Patents and Companies Registration Agency Act and the amendments to the subsidiary legislation to this Act.

Mr Chairperson, in the area of private sector reforms, 2010 saw us take on an ambitious agenda in the elimination of regulation and licences that were choking business. Significant progress was recorded. So far, the passing of fourteen Bills by Parliament has resulted in the elimination of over eighty-seven licences. We have also made progress in the streamlining and decentralisation of the process for business registration, paying of property tax and reducing the time for customs clearance at border posts. We still have a lot of work to do in this regard, but we have set a firm course.

Under the doing business reforms, we have reduced the number of days required to register a company name to one day and amended the Companies Act to remove the minimum capital requirement procedure when registering for a business. This has led to more people taking up business opportunities either as entrepreneurs or employees. Over 12,000 companies were registered, reflecting 100 per cent increase, since 2008.

Our efforts in addressing the constraints to doing business have been recognised by the international community. According to the Doing Business 2011 Report, that was launched on 4th November, 2010, Zambia’s ease of doing business ranking has been recognised as one of the top ten reformers in the world. As a top global reformer, Zambia is in the category of the top Sub-Saharan reformers which include countries such as Mauritius, Botswana, South Africa and Rwanda.


Mr Mutati: This is an endorsement and recognition of our efforts in making Zambia a prime destination for investment inflows and creating a conducive environment for the development of local businesses.

In the area of trade expansion and facilitation, we have made important strides. We have implemented the simplified trade regime at the Zambia/Malawi borders and signed an agreement with Zimbabwe on the simplified trade regime. We have also made progress on the one-stop border post at the Chirundu border and signed an agreement on the implementation of the one-stop border post at Nakonde/Tunduma border with our Tanzanian counterparts. 

Mr Chairperson, I am pleased, again, to inform hon. Members that on 13th October, 2010, Zambia received the New Partnership for Africa’s Development (NEPAD) transportation and infrastructure project of excellence award for innovation and trade facilitation for the successful implementation of the Chirundu One-Stop Boarder Post as an example of promoting the NEPAD vision of regional integration and cooperation. This is a very clear indication that our innovation is worth emulating by others in the region and is an outstanding achievement in itself. These measures show a very clear determination on our part, as a Government, to make this country a haven for private sector growth and viability.

Through our efforts in trade negotiations and increasing market access to regional and international markets, Zambia’s trade, in terms of Non-Traditional Exports (NTEs), increased from K3,422 billion, in 2008, to K4,846 billion 2009.

Hon. Government Members: Hear, hear!

Mr Mutati: This is a very clear indication that our initiatives to increase market access for Zambian products are bearing fruit.

Mr Chairperson, in terms of industrial development, our focus was the development of the Micro, Small and Medium Enterprises (MSMEs), establishment and development of multi-facility economic zones (MFEZs) as well as attracting foreign direct investment (FDI). With regard to the MSMEs, the Government initiated a number of programmes to support their growth. Notably among these are:

(i) the Government, in partnership with the African Development Bank (ADB), has developed a programme aimed at facilitating MSMEs access to finance through lines of credit. The line of credit of US$13.5 million targets MSMEs drawn from the productive sectors that include mining, manufacturing, agro-industry and agriculture, tourism, communication and information services, among others. I am pleased to indicate to hon. Members that the ADB has already disbursed all the funds approved for the credit line;

(ii) the Government, in collaboration with co-operating partners, is funding the Business Development Services (BDS) Voucher Programme whose overall objective is to contribute to the sustainable growth and development in the MSMEs’ sector. Some of the services provided, so far, include business plan preparation, financial and business management training, property evaluation and business registration. The BDS voucher scheme has been extended to twenty districts with a total of 226 vouchers distributed amounting to K1.2 billion. Employment is expected to be created as entrepreneurship skills are improved and viable business plans are funded;

(iii) the Government, with the support of Finland, has finalised a national incubator programme for MSMEs. This is a way of nurturing and facilitating growth of MSMEs through the provision of a unique and highly flexible combination of business development processes, skills development, business linkages, marketing support services, access to finance and information, among others; and

(iv) the business linkages programme has been designed to create linkages between MSMEs and large enterprises as a way of enhancing market opportunities for MSMEs via forward and backward linkages. Multinationals such as Tata International Group, Zambia Sugar Plc, Zambia Breweries Plc, Pamodzi Hotel, Spar Supermarkets and Zain Zambia Limited are already working with the Government on this programme and presenting supplier opportunities to MSMEs. About 500 MSMEs have benefited from this programme. More opportunities are being created and this will translate into more jobs and wealth.

Mr Chairperson, the Government has also focused on the establishment and development of MFEZs as another way of promoting industrialisation and creating new possibilities and opportunities for the local business community. Significant progress has been made in the development of the Chambishi MFEZ with thirteen enterprises and the anchor company, the Chambishi Copper Smelter, having already been established. Five more enterprises are yet to establish their businesses during the course of this year. So far, approximately US$1 billion has been invested. At the Lusaka South Zone, the Government is putting in place a 2.4 km access road and 50 km of inner roads.

Mr Lubinda: When?

Mr Mutati: Mr Chairperson, in addition, the Government has proved an additional MFEZ and two industrial parks.

All of these investments point to the fact that Zambia is matching resolutely to achieve the Vision 2030. In the first nine months of 2010, the FDI hit a record of US$3.4 billion and generated 25,704 jobs across various sectors. Notable among them are the Konkola North, which at full capacity will invest US$400 million and create approximately 1,500 jobs; Mulyashi Mine, which has, so far, invested US$120 million and created 4,100 jobs; Levy Junction Complex, which is expected to invest US$200 million; Medicare Hospital with an investment of US$40.2 million; Agribiotech International Limited, a rural based company located in Kapiri Mposhi is investing US$52.1 million and generating 3,300 jobs and the development, yet, of the Itezhi-tezhi  hydro power project will create more job opportunities.

The outlook for the remainder of 2010 is that the FDI inflows into the country will continue to increase, mainly due to the diversified investment approach and a conducive business and investment climate.

Mr Chairperson, regarding the subject of citizens’ economic empowerment, loans worth over K136 billion were given out to Zambians to support business formation and growth, creating over 2,000 jobs by June, 2010.

We also noted that these empowerment funds, in some cases, are not reaching some of the intended categories and changes have been made to the conditions for access such as introducing simplified forms and decentralising the approval and disbursement processes for persons applying for less than K50 million. Some improvements have been registered, but this is not enough.

We need to do more by broadening the empowerment programme so that more of our people can benefit.

Mr Chairperson, let me now address the 2011 Budget and the 2011 to 2013 Medium Term Programme. During the 2011/2013 medium term, my ministry will strive to strengthen and widen the country’s manufacturing base with emphasis on backward and forward linkages, given the country’s wide resource base. Our over-arching strategic focus in the manufacturing sector will be value addition. This will require intensifying the development of resource-based industries with the aim to optimise and add value to the country’s natural resources.

In line with the strategic focus in the Sixth National Development Plan, emphasis will be to enhance the competitiveness of the commercial trade and industrial sectors. During the medium term, the ministry and its statutory bodies will focus all its energies on improving the trade-related infrastructure both hard and soft infrastructure; promoting MSMEs, foster rural development and further boost FDI.

The cost of doing business in Zambia has continued to remain a challenge despite the improvements in the policy, institutional and legislative frameworks. This high cost is largely due to the challenges of the state of physical infrastructure and high production costs. The ministry, in its efforts to reduce the cost of doing business, has placed infrastructure development as a major priority in the medium term. The ministry intends to use its position and mandate to influence FDI in physical infrastructure investment, primarily through the Public-Private Partnership Programme.

At the service delivery level, the focus will be on decentralising the operations of the statutory bodies through the setting up of one-stop shops in all the provinces. The one-stop shops will allow for the presence of institutions such as the Zambia Development Agency (ZDA), Citizen Economic Empowerment Commission (CEEC), Patents and Companies Registration Agency (PACRA), and Zambia Revenue Authority (ZRA) to have a ready presence in all the provinces. With the limited resources allocated in the 2011, the ministry will focus on putting up one-stop shops in Eastern, Northern and Southern Provinces in 2011. In addition, the ministry will also facilitate the rehabilitation of the Competition and Consumer Protection Agency offices and establish an industrial cluster. Consumer protection will remain an important thrust going forward and appropriate capacity will be built in the Competition and Consumer Protection Agency.

Mr Chairperson, the role of micro, small and medium enterprises MSMEs in Zambia’s economic agenda cannot be overemphasised. The MSMEs have continued to be a major source of employment for most Zambians.

During the medium term, the ministry, through the ZDA, will take measures to strengthen the implementation of the business linkages programme, credit, expanding market opportunities and focus on results.

The ministry has planned to undertake a comprehensive industrial survey in collaboration with the Central Statistical Office. This is to provide data that will contribute and facilitate the rebasing of the current 1994 base year. The rebasing will further facilitate the updating of the industrial data base. The updated data base will provide valuable information that will be used to further develop the MSMEs. This exercise will require significant resources.

In an effort to promote value addition of natural resources, my ministry intends to develop and implement the ‘Proudly Zambian Product Strategy’ that is expected to facilitate MSMEs value addition in rural areas and reduce the high rural poverty levels in Zambia. Through this strategy, natural resources and raw materials will be identified and promoted for value addition. Our manufacturing initiatives have to start at a local level and be targeted at rural industries. This is an ambitious programme. We believe it will firmly set on course our manufacturing sector development agenda.

Another key focus area for the ministry will be the promotion of FDI. The ministry intends to undertake investment missions that will focus on attracting investment in the areas of energy, manufacturing, tourism, transport infrastructure and the development of MFEZs.

Mr Chairperson, while we have made significant progress on the policy and legislative front, the ministry intends to continue with the review of a number of legislation. Development of new legislation and policies in 2010 will remain a key priority. These include making amendments to the Zambia Development Agency Act, the Companies Act and the Citizen Economic Empowerment Act. In addition, the ministry will review legislation related to the Intellectual Property Act.

Recognising the challenge that the statutory boards are facing with regard to financing their operation, the ministry has allocated most of the resources to the statutory boards. Of the K51.2 billion allocated for non-personal emoluments expenditure, 61 per cent is being allocated to the operations of the various institutions under the ministry. These bodies are the implementing arms of the ministry and it is essential that they are empowered to deliver.

The commitments undertaken by Zambia at bilateral, regional and multilateral levels have been an important avenue for promoting the expansion of production. New market opportunities are emerging. This is the reason why we remained engaged in the negotiations such as the Doha Development Agenda under the World Trade Organisation (WTO) and the Economic Partnership Agreements under the European Union (EU). The conclusion of the negotiations at WTO will result in preferential and binding agriculture and non-agriculture market access for the developing countries.

The EU remains one of the major trading partners for Zambia, representing almost 70 per cent of our exports. The volume of trade between Zambia and the EU has been growing significantly owing to the current preferential treatment available under the Cotonou Agreement and the ‘Everything but Arms Initiatives’. The major exports to the EU include copper, cobalt, cane sugar, cut flowers, cotton, coffee and vegetables.  Trade between Zambia and the EU has the potential to grow and it is envisaged that the anticipated conclusion of the Economic Partnership Agreement will have significant benefits for Zambia.

Zambia will further continue to participate in the African Growth and Opportunity Act (AGOA) Initiative as the AGOA market opens up more doors for the Zambian products. MSMEs should take advantage of this international market to grow their businesses. Our hope is to continue to build on these linkages and networks to create new trade and investment opportunities. With the hosting of the AGOA forum in Zambia, next year, and the selection of Zambia as Chair, the Government will work with the private sector to maximise the AGOA benefits.

Mr Chairperson, in conclusion, we are aware that the resources are never enough. Our focus will be the optimal utilisation of the resources made available to us. My ministry and its statutory bodies will be innovative and creative in order to enhance service delivery and private sector development.

I, therefore, appeal to hon. Members of this august House to support the budget allocation for the Ministry of Commerce, Trade and Industry.

Mr Chairperson, I thank you.

Hon. Members: Hear, hear!

Mr Hamududu (Bweengwa): Mr Chairperson, I thank you for giving me this opportunity to contribute to the Vote on the Ministry of Commerce, Trade and Industry.

Mr Chairperson, I would like to begin my debate by saying that Zambia needs to be aggressive in positioning itself to compete favourably in the global village. At the moment, it is very surprising and we are very concerned that, with the shopping malls that are opening around our country, most of the goods that you find in there are produced from other countries and that has serious implications. There is very little local in put in these shopping chains that we have around here.

Mr Chairperson, in as much as we welcome the development of these shopping malls around the country, we must begin to participate in contributing something to the stocks in those shops. If we do not do that, we are creating jobs in South Africa and other countries where those goods come from.

We have a lot of shiny shopping malls in this country such as Manda Hill and Arcades Shopping centres and the new junction situated at Manda Hill Shopping Centre along Great East Road. This development is welcome, but this is not enough. We must not reduce shoppers to walking from one shop to the other with plastic bags when we have no input in those shops.

Hon. Opposition Members: Hear, hear!

Mr Hamududu: Zambia has a competitive advantage in agriculture. This country must not expect most of the agro products to come from outside. Therefore, this ministry together with the Ministry of Agriculture and Co-operatives and others must work on producing raw materials so that all the agro products that are put in the shops can be produced locally. There must be a roadmap. For how long, for example, will the country continue to import vegetables from outside the country? At the moment, Lumwana Copper Mine is spending billions of kwacha importing vegetables and fruits which can be produced locally. It serves no one in this country if we have so many shopping malls only to promote job creation in South Africa. I appeal to the Government, through this ministry, to work with other ministries to promote local production.

Sir, the other issue that is of concern and which the hon. Minister emphasised is the value addition. Value addition in this country, at the moment, is a toll order. For example, this Government is celebrating a bumper harvest, and yet the maize produced in this country is more expensive than that in neighbouring countries. As a result, when there is value addition, this country will not compete in the region because the raw materials are very expensive. Therefore, the Ministry of Commerce, Trade and Industry should begin to work with the Ministry of Agriculture and Co-operatives to find ways and means to reduce the cost of producing maize. If nothing is done, value addition is of no use. There is no serious miller with aggressive value addition when the country’s input is more expensive compared to the neighbouring countries. For Zambian companies to compete, let us make ensure that our local produce is cheaper than the imported ones because this will serve as inputs to the industries.

Mr Chairperson, there is already a debate, this week, in the newspapers over imported milk. Kenya and other countries are producing milk at a cheaper rate than Zambia, but the local milk production is a threat in this country. Our dairy farmers in this country are threatened by cheap milk products from Kenya. Those of us who come from the country know that the Zambian dairy industry is promising. At the moment, there is literally a trade war between Kenya and Zambia. This is because Zambian milk is more expensive than the milk produced in Kenya. Therefore, the Ministry of Livestock and Fisheries Development and Ministry of Agriculture and Co-operatives must find ways of making our milk competitive. Otherwise, the dairy farming sector in this country will be affected.

Mr Chipungu: Hampered.

Mr Hamududu: Yes, hampered. You know English. I am from the village.


Mr Hamududu: The promising dairy industry is hampered by the cheaper products from Kenya. Now, these are the two examples, but there are many more examples that can be given where this country has basically a high cost of production. I wonder what the problem is. This ministry must see beyond this and begin to work with other ministries to see what can be done to reduce the cost of production. Otherwise, this country will not grow because it can only grow through export.

Sir, Botswana has rich diamond and livestock industries. These are the anchor of its economy. This country has no focus because there is no rich economic sector. What is our comparative advantage in the region and world? All economies that are doing very well in many countries have a particular anchor sector. This country has no anchor sector to drive its economy forward. For example, copper is not helping this country to move forward.  However, this can be done if it is given the highest value addition. Therefore, a decision has to be made on one or two areas in order to have a comparative advantage in the world. If it is copper, dairy or maize, let it be, but this country has a generic approach that makes us uncompetitive. This country is just hitting left, right and centre and every which way without focusing on the areas that can be the best. Therefore, I urge the hon. Minister of Commerce, Trade and Industry to sit together with other ministries to find ways and means of going forward as this country moves towards the Vision 2030. They must find out which economic sectors can drive us to prosperity and make us the best in the region. This country cannot continue doing all these things in a generalised manner.

Hon. UPND Member: Quality.

Mr Hamududu: Mr Chairperson, there is another issue in this budget that has been noted, but I will not praise the Government because there are enough hon. Members in the Back Bench to do this. I am from the Opposition. So, I will only take note.

Hon. Opposition Members: Hear, hear!

Mr Hamududu: Sir, there is an increase in the customs duty on deformed iron bars from 0 to 25 per cent. Without attracting any trade war in the region and as it is permissible within the SADC and COMESA protocols to impose duties, this is noted. The capacity for this country to manufacture deformed iron bars, I think, is being built.

Mr Chairperson, I came back from the constituency today. So, allow me to report that Nteme Dam in Chongwe East Ward has just been rehabilitated using the CDF at a cost of K17 million. Therefore, I would like to thank the hon. Deputy Minister for the Southern Province, Mr Muchima, for being kind enough to send a machine though I am using it. The CDF is doing a great job there. The dam that was built in 1945 is undergoing rehabilitation using the constituency committee’s initiative. Sooner or later, people will be growing vegetables and selling them.

Hon. Member interjected.

Mr Hamududu: The people are listening.

Mr Chairperson, as I was travelling from Monze this afternoon, I was very impressed to see a truck carrying scrap metal coming from the south to the north. I think this is good because all these years, we have been seeing trucks carrying scrap metal going to the southern borders. I am sure they were destined to Kafue Steel Factory. If local industries are expanded and begin to protect it in a much more focused manner, this is noted. Of course, Kafue Steel Factory is a welcome development in our country because it has been set up in Kafue where two major industries have collapsed.

Mr Chairperson, the other issue is about the conditions of service. The Ministry of Commerce, Trade and Industry should work with the Ministry of Labour and Social Security to ensure that industries that are being protected also offer good conditions of service for workers. There is no need to protect these industries when they are exploiting the workers. The issue of exploitation of workers must be fought in this country. This will, very soon, be the anchor of the campaign henceforth. This country must not have industries that are exploiting our brothers and sisters.

Hon. Opposition Members: Hear, hear!

Mr Hamududu: In fact, I would like the hon. Minister to inform the House, when he winds up debate, on how the Kafue Steel Factory is treating workers in terms of conditions of service. It is protected and making a lot of profits because it is basically becoming a monopoly with a few producers, but it pays our workers peanuts. This will not be accepted.

Mr Chairperson, as regards the Citizens’ Economic Empowerment Fund (CEEF), the idea of setting up this fund was for the Zambian people, with viable business plans, to access credit because the interest rates in the normal banks were very high. This money was not meant to be dished out any how. I appeal to the hon. Minister to come to this House and give a ministerial statement, on a future date, on how this fund is performing in terms of repayments. We do not want to use the bad route that was taken before where loans were given to political friends, but to people with viable plans and the money was exhausted. This money is for every Zambian. Those who borrow this money must pay back so that others can also borrow.

Therefore, we want a comprehensive statement on the performance of this fund. We want full disclosure of all the people who got money from this fund and how they have been repaying. The Zambian people, and Bweengwa in particular, are interested to know how those who were first to borrow are paying back so that other people can access the fund also.

This money is not for free. Cheap as it is, it is for viable businesses and not for dishing out. I think the hon. Minister must be hard on this commission so that it does not go the Co-operative Bank, CUSA Zambia and Lima Bank routes. We want a different model.

I want to urge the hon. Minister to create a very aggressive middle class which will comprise rich Zambians. However, you will waste this money if you give it to just about anybody. We want the money to be given to those with viable ideas. We want to produce a very rich middle class that will invest in the country so that we begin to restructure the gross domestic product (GDP).

Mr Chairperson, our GDP is basically for foreigners.

Hon. Opposition Members: Hear, hear!

Mr Hamududu: Some Zambians do not own anything. There is no need to have a growing economy which is owned by foreigners. Therefore, yours is a key ministry as regards the CEEF. We need to empower real businessmen and women who have good business plans and original ideas so that they can be rich and begin to invest even in mining. If you do not do that, you would have lost an opportunity. Very few Zambians are venturing into mining now because they have no source of funding.

Sir, for example, if you go to the internet and search for South Africa’s top ten richest men, you will find wealthy black South Africans on the list who are worth about US$30 million because their government is facilitating real empowerment.

I would have no problem if you gave K1 billion or even K50 billion to a Zambian with a very good business plan because that way, you would create jobs than to litter all the money around to the Chinese connected Zambians who have  no idea apart from buying cheaper products from China.

Mr Chairperson, in conclusion, I want to say that it is of very serious concern that this economy, growing as it may be, is basically owned by foreigners. This is not right.

Hon. Opposition Member: Hear, hear!

Mr Hamududu: We need to restructure the ownership of the economy. We note that the economy is growing, but it must be minded who owns that growth …

Hon. Opposition Member: Hear, hear!

Mr Hamududu: … because, eventually, you will have serious consequences. Your people will be reduced to beggars on the streets in the midst of a growing economy.

Mr Chairperson, the fastest growing economy in Africa, at the moment, is Equatorial Guinea with a per capita income of US$ 30,000. However, its people are the poorest and live in squalor. What, then, is the growth about? The growth figures, alone, are not enough unless you restructure the ownership. Equatorial Guinea is now the richest country in Africa at US$30, 000 per capita, but has the worst living conditions in Africa. We must not go into that situation. At the rate we are going, we seem to be headed in the same direction. Zambians will just be moving in the streets with plastic bags, and yet foreigners will own land in Katuba and everywhere while you look.

Mr Chairperson, I thank you.

Mr Matongo (Pemba): Mr Chairperson, I adopt the last bit of the debate of the hon. Member for Bweengwa as my own.

Mr Chairperson, the First Republic established criteria for investment in rural areas. It might not have been economic, but there was prudence in the transfer of the Bicycle Plant in Chipata and the Pineapple Plant in Mwinilunga. There was good reason for that.

Secondly, nationalisation was fashionable, vogue or style. It was a transformation arrangement to create a middle class. Even in a village setting, you must have a middle class that can invest. However, we went so far that even the making of bread became a State enterprise. We have learnt our lessons.

My third point is that, in 1991, you gentlemen were not there and so I will forgive you for that. You were not there, but I want to remind you. You were not there in the MMD Government. That is a fact.

Mr Mwaanga: I was there.

Mr Matongo: Well, you were the only sober mind with the Late President Mwanawasa and I cannot remember the third one. Thank you for reminding me, but you do listen, sometimes, and I hope you will listen now.


Mr Matongo: Sir, everything that was fashionable in the world of nationalisation became …

Lieutenant-General Shikapwasha: That is the PF policy.

Mr Matongo: … a dirty word. You abolished parastatals, but at what cost if former managing directors cannot own huge companies and former millers cannot own a milling company? Several other people could not own companies.

Hon. Government Member: Article 37.

Mr Matongo: Where is the middle class that UNIP tried to create?

Mr Mwaanga rubbed his head.

Mr Matongo: You should be proud of it. Do not just rub your head. Where is it? You destroyed it and those people are on the streets. That applied to the air force, army, the police and the national service where generals where thrown onto the streets without proper care. I have primed my debate and now I want to tell you what you should be doing.

Hon. Minister, you are our protégé. I want to tell you that for this country to develop, and you have done enough with your colleagues to sell this country outside, you must leave a good legacy this particular year. This goes for all of the seven principle economic ministries under the FNDP, which include Agriculture and Co-operatives, Energy and Water Development, Tourism, Environment and Natural Resources and Commerce, Trade and Industry. Get back to our people. They are still there and see how they can be connected to these arrangements you have flown so many miles around to organise. Well done.

Mr Chairperson, unless we can have trust in ourselves, stop laughing at each other and buy a share, forgetting that there should be an annual meeting that should declare the share profit to come to you, you have not succeeded in moving our people.

Hon. Opposition Member: That is right.

Mr Matongo: We have come a long way. By the way, the United Party for National Development (UPND) manifesto, whether you like it or not − you were not there when we were drafting it, …


Mr Matongo: … is getting closer. I do not know about other people, I am talking about us.


Mr Matongo: I am not politicking. I am discussing economics.

Hon. Government Member: You are talking.

Mr Matongo: It is much nearer. In education, your stance is to develop free education by stages because you can only manage up to Grade 12 as you have no resources. That is logical. It is a clever man’s thinking to put his car in reverse, like I said last week.

The Deputy Chairperson: Order!

Business was suspended from 1815 hours until 1830 hours.{mospagebreak}


Mr Matongo: Mr Chairperson, when business was suspended, I was talking about the middle class that ought to be investing, but got destroyed, after nationalisation, by privatisation. I acknowledge that, in this country, both nationalisation and privatisation went to unacceptable extremes.

We need to build on what could be investors now because the Government did not only destroy the Public Service, military and parastatals, but also the country as a whole. I am for privatisation and there is no doubt about that. In fact, I was the Chairperson of the Zambia Chambers of Commerce and Industry (ZCCI) for many years. However, extreme privatisation, without Government control, as far as the security of the nation is concerned, is unacceptable. I reserve my right to say no. I also want to say that extreme nationalisation which was fashionable at the time we stood firm was wrong.

The men and women on your right and those on your left have a duty to build a cadre, that is the correct way of using that word, hon. Minister of Foreign Affairs, of business men and women in our country. We need to do that. Sometimes, I wonder what is difficult about doing that. We have the people out there, but they do not have the means to do business. A lot of people out there would want to venture into different businesses, but they do not have cheap money to do business.

Let me tell you now and frankly so. I was born in a village where cattle rearing and farming were ways of life, but what makes you think that I want to go back to milk cows  and grow crops? That is why I have shares in several companies such as BP, in case you did not know.


Mr Matongo: You move away to do other things.

Hon. Munkombwe, I do not have to rear cattle all the time because I was born with them. It is boring for me and that is why I must own shares in big hotels and companies. That is the difference.

Mr Munkombwe: You are naughty!

Mr Matongo: Hon. Minister, we need to retrieve that middle class that we threw away. You have done a tremendous job with all your colleagues in the ministry, but I think we should go back to the basics. The cost of doing business in this country is what the problem is. Clearly, I want to state that there is a weakness in the supervision of banks to bring the interest rates down. Collective responsibility demands that the Governor must now start dictating on the rates of exchange. Why can the Government not do it if the United States of America (USA) and South Africa are doing it?

Secondly, I want to briefly debate the Economic Partnership Agreements (EPAs). Hon. Minister, for as long as there is no development agenda or Doha around to use EPAs, believe me or not, there will be nothing for Zambia. We can still trade under EPAs, but there will be nothing for Zambia until there is a development agenda which is an investment agenda that will bring money here. Zambia will enter into agreements with SADC, COMESA and elsewhere, but if there is no development agenda, ‘bye bye polio’ in as far as this subject is concerned. Please, reflect deeply on this because we need to separate the roles played by COMESA and SADC.

Mr Chairperson, I also want to talk about the CEEC. I am very pleased that we have revised the law and that there is no need to have a bank. The budget allocation has increased from K1,000,000 to K50,000,000. The officer in Choma and Livingstone could deal with poor people. It is only Hon. Mabenga who is cheap. The rest are not cheap.

Hon. Government Members: Address the Chair!


Mr Hachipuka: Professor Lungwangwa!

Mr Matongo:  No, he is a rich man.

So, I want to state clearly, that with that reformed law, please, let the Executive of this organisation move away from its ivory towers. Money was given to our children in Lusaka after involving them in some television debate. These children were paid K250 million. For God’s sake, we, their fathers, are able to borrow money without that. I want that money to also go to Pemba, Muzoka and Hapanyuka so that people can use it to make scotch carts, chairs and desks for schools. We have changed the law now. This is the twentieth time I am inviting you and your Director-General to come to Pemba to speak to the people.

I challenge you that the 2000 jobs you have created are nothing compared to the amount of money that has been released through this Parliament since this organisation was established. I challenge you if I am not correct. You are saying you have created 2,000, but you have not told us their salaries. Are you telling us that only 2,000 jobs were created out of the first K90 billion that was released when the organisation was established, including other billions that were released last year? Hon. Minister, it is good that you have traveled all over the world now. Please, also visit rural areas because people want to hear from you.

I want to argue that the manufacturing sector is not only in provincial capitals, but also rural areas. Therefore, I would like you to move in that order.

Hon. Minister, four years ago, this friend of mine, the village headman, who is the Chairperson for the Public Accounts Committee, but we know him as village headman, and I …


Mr Matongo: … were invited …

Mr Hachipuka: Yes I am. I am very serious.

Mr Matongo: He is village Headman Silangwa Munyama which means that no animal looks at him when he is passing, including a lion, but I have my doubts about that.


Mr Matongo: We were invited to a wonderful function about this proud Zambia at ‘Sandy’s Solutions’.

Mr Hachipuka: Sandy’s Creations!

Mr Matongo: At Sandy’s Creations …


Mr Matongo: We had a wonderful day there, three years ago.

However, three years down the road and beyond, where are the products that are being produced by Zambians? Hon. Minister let us be practical.

I support you, as hon. Minister, as well as your Vote but, please, get back to the basics.

I thank you, Sir.

Dr Machungwa (Luapula): Mr Chairperson, I thank you for giving me the opportunity to contribute to the debate on this very important Vote. In it, I wish to say that, as the hon. Minister works so hard in trying to attract investment to Zambia, these investors must be reminded that they should treat our local business houses the same way they treat those from other countries.

Sir, to explain my point further, let me describe to you what was happening at Manda Hill Shopping Centre. Some big businesses such as Game Stores and Shoprite came from South Africa and opened up shops there. As time went by, some of our local business men started renting shops there as well. It was found out that Game Stores and Shoprite were paying about US$5 to US$7 per square meter and some of our Zambian businesses were paying about US$30 per square meter. This made it very difficult for our own Zambian businessmen and women to operate profitably. There is a huge difference between US$5 per square meter and US$30 per square meter. Clearly, this situation is untenable and will discourage locals from trading in such places. They will be confined to trade in places which are extremely unfavroubale. Therefore, as the Ministry of Commerce, Trade and Industry attracts these investors, it should also make sure that it tells them to treat our locals in the same way as the foreign traders. I think the same principle should be applied when the facilities at Levy Junction Complex are ready for occupation by business persons. We do not want to see a situation where foreign traders should get more favourable conditions than our local business persons. You will find that our local people cannot even trade there because it is extremely expensive for them to rent shops there.

Sir, we are setting up some of these structures and shopping malls without considering the capacity of our road infrastructure. As I am talking, I am sure there is congestion at the Manda Hill Junction. One of the things we should be thinking of is to encourage these business people and the Ministry of Works and Supply or Ministry of Local Government and Housing to ensure that access roads which will make it possible to get to these places are put in place. For example, they can put in place some overpasses to be used when driving into the mall as well as a tunnel of some sort which vehicles can use easily when leaving the place so that they do not have to line up in those little intersections. This initiative should also be applied at places such as Arcades Shopping Mall. I do not know how people will be getting to the Levy Junction Complex because Church Road and Great East Road are always congested. How will people have access to that place when the only roads to be used to reach it are always congested? In fact, some malls are likely to become white elephants because people will not be able to reach them. You will find that when you want to go and buy something very quickly, you will be inconvenienced because you will have to spend two to three hours to get in and out of such places. So, these are some of the things that should be looked into.

Sir, let me now look at an issue which was raised by Hon. Hamududu with regard to these foreign traders trading in our local products. I would like to find out whether these business establishments are willing to trade in local products such as locally manufactured handcrafts. I think there should be some deliberate attempt to encourage them to do that. I am sure we recall what Shoprite used to do. It used to bring bananas and cabbages from South Africa into the country, but I think with a little bit of encouragement, they have started changing their way of doing things. I do not really know how far they have gone in that direction. I think it is quite important to note that there is no need to get brooms that are made in Australia into the country when they can be sourced locally. I think the ministry should encourage these investors not only to trade in imported products, but locally produced ones as well.

Mr Chairperson, I also want to talk about issues to do with labour. You will find that these people are coming from different countries with different labour systems. The first thing they do when they get here is to go to PACRA to get registered. I would like to urge the ministry to insist on some form of orientation to be conducted regarding Zambian labour issues for these investors after they get registered by PACRA, but before they can start their operations. This will enable us avoid some of the problems we are having with some of the new investors. The Ministry of Labour and Social Security could come up with some workshops where it can talk to these people. In fact, I would even recommend organisations such as M & M Management and Labour Consultants to orient the investors on some of the labour issues in Zambia. There are certain ways our people expect to be treated and these ways must be respected. For example, if somebody’s mother has died and the employer insists that that person should work, that creates a problem in Zambia.

Sir, I also want to talk about us putting in place some deliberate incentives for job creation. It is not just a question of setting up businesses, but also how many jobs are being created because I think we need more jobs in this country. We know that there are a lot of jobs that have been created in the informal sector, but we also need a lot more jobs in the formal sector since it has been hard for the ZRA to collect any tax revenues in the informal sector. Thus, there is a need to create more jobs in the formal sector.

Sir, we should be able to tell these investors that Zambia is not only made up of Lusaka, the Copperbelt or along the line of rail. I think there should be some guidance, encouragement or even some kind of incentives for people to set up their businesses in other parts of the country. Some of the problems we are having in terms of town and country planning have been caused by the fact that everyone is running into Lusaka. Lusaka cannot provide for all these people. The reason that is making all the people to want to stay in Lusaka is simple. This is because there is very little happening in terms of industrial activities in other parts of the country. There should be a deliberate attempt to try to encourage some of these investors to go and invest in rural areas. Of course, this encouragement should be accompanied by infrastructure such as roads, communications and other things to enable these people do business in those areas.

Mr Chairperson, a lot has been said about empowerment. We cannot be saying that we are doing well when we are not in the area of empowerment. We must, therefore, encourage initiatives that will lead to Zambians getting empowered. In order for this to happen, a conducive atmosphere must be created for Zambians to prosper so that they can also employ others.

Hon. Matongo made a point that is connected to the history of this country. You will find that, in the 1960s and early 1970s, this country had a lot of resources, but a lot of Zambians were not encouraged to become prosperous. Those who had transport businesses went down because the United Bus Company of Zambia (UBZ), which was known as Central African Road Services (CARS) earlier on, took over their market share. Something that was known as the leadership code and the Special Investigations Team on Economy and Trade (SITET) was on the neck of every Zambian who tried to become prosperous.

People were hounded and nobody could do business. The result of this was that, when the economy of the country started collapsing in the late 1970s and 1980s, and privatisation came into being, very few Zambians were able to purchase anything. Only small dilapidated buildings in Sesheke or Samfya were bought by Zambians. All the other businesses were bought by foreigners. It is, therefore, like we are starting afresh. We cannot go this way again after learning the hard way. 

Zambians must be prosperous. When I hear people condemn, complain or lament about having laws amended …

Mr Lubinda: This is a Commerce, Trade and Industry Vote.

Dr Machungwa: Yes, it is commerce, Hon. Lubinda, …

Mr Lubinda: Aah!


Dr Machungwa: Yes, if you interrupt me, I will respond to what you are saying.

You must allow Zambians to be prosperous. This is what commerce is all about. Let us also allow them to engage in businesses to do with trade. We do not want a SITET. We do not want to come after you …

Mr Lubinda: Aah, come on. Face the Chair.


Dr Machungwa: We do not want to visit that beautiful place in Chilenje, I am not sure about the name, and start investigations. 

Hon. MMD Member: Namakau!

Dr Machungwa: No, we do not want to do that. We want Hon. Lubinda to be prosperous and to employ people. Even when the foreigners go, local employers must be there.

We should, therefore, encourage each other to work legitimately and legally. Do not cry foul over anybody who gets opulent because of their hard work. When we do so, we shall be behaving like people in the village who believe in witchcraft. When someone is doing well, they accuse him or her of using magic. If someone lives long, they say that there is something fishy about that person.

Mr Chairperson, we are Zambians and leaders of this country. We must encourage a new Zambia where people can be prosperous, contribute to this country economically and employ other people. We applaud the work that you are doing, but I do wish you could take into consideration some of the issues that I mentioned here.

Mr Chairperson, I thank you.

Mr L. J. Mulenga (Kwacha): Mr Chairperson, I thank you for giving me this opportunity to contribute to the debate on this important Vote.

From the outset, I would like to indicate that the Ministry of Commerce, Trade and Industry is key in the deliverance of this country out of poverty. It is a ministry that can bring hope to the people of Zambia. It is very clear, at the moment, that poverty and unemployment levels in this country are very high. This is a ministry which can help to get people on wheels to begin to prosper and grow the economy.

Hon. Opposition Members: Hear, hear!

Mr L. J. Mulenga: Mr Chairperson, in Zambia today, people are not ashamed to beg. Begging seems to have become part of the culture of this country.

Hon. Opposition Members: Hear, hear!

Mr L. J. Mulenga: It is unacceptable. If you walk from the southern end to the northern end in central town, almost everyone will be asking you for something, especially money. A country must not get to such levels. We must begin to understand that something is wrong. It is high time, hon. Minister, that your ministry helped people to realise that they have the potential to do a lot, and if properly utilised, they could become their own masters and bosses.

Mr Chairperson, I must applaud the fact that this country has developed a lot of economic policies. This is very good. Our neighbouring countries have come and learnt from these policies and they have worked for them. I do not know what is wrong with us. Things do not seem to work. The empowerment policies that we come up with do not work to desirable levels.

 First and foremost, the target is not even known. For instance, if, in this year’s Budget, we want to empower a lot of people with money, we must have clear targets. We need to know how many people will be employed. We need to know the turnover that will be generated. We need to know how much will be contributed to the country’s revenue base by the upcoming companies. It is important that we start planning with targets. Only then will we be able to do a self-assessment. Only then will we be able to ask ourselves if the money allocated to this sector actually achieved the desirable results. In the absence of this, we will be moving from one point to the next without achieving anything.

Mr Chairperson, Zambia has what is takes in terms of capital. There is a huge misconception when talking about capital. People think that capital is money. Capital has three components, land, labour and cash. In this country, we have so much labour and land. The only component that is missing is cash. Taking cognisance of the fact that what we are lacking is only cash can help us find means of improving the empowerment fund. We must increase the funding levels to the institution that is involved in empowerment.

Hon. Opposition Members: Hear, hear!

Mr L. J. Mulenga: If it will mean borrowing to put more money in the fund so that a lot of people are empowered, we must do so. This way, we will move everyone forward. At the moment, the commission cannot meet the demand for funding because it does not receive enough money.

Hon. Opposition Member: Ema accountant aya!

Mr L. J. Mulenga: Mr Chairperson, we need to realise that we are in a crisis. We need to move the people forward and very quickly. We, therefore, need a deliberate policy to put more money in this fund otherwise the whole purpose for setting up this commission will not realised. 

Mr Chairperson, where there are so many people, corruption cannot be ignored because there will be underhand methods used to try and get something from this commission. Usually, when needing to access funds from such institutions, you need to see someone who can organise things in your favour. At the moment, there are many projects at the CEEC that have been approved, but not funded. There are also projects that have been partially funded which have had their completion delayed due to funding problems. In the long run, the whole thing will become a circus.

A very good policy meant for the needs and desires of the people can be compromised in the long run. Then, in the long run, it will look like no effort was made to empower the people. It is, therefore, important that we do things systematically so that we can achieve the set goals. This Government writes nice policies on paper such that you even feel nice when reading them. However, when it comes to implementation, Zambia has a problem.

Hon. Opposition Members: Hear, hear!

Mr L. J. Mulenga: Why can we not do a strengths, weaknesses, opportunities, and threats (SWOT) analysis of ourselves? Where are our strengths? Where are our weaknesses? Where are our opportunities? Where are the threats? We lack the capacity to implement programmes.

Hon. Opposition Members: Hear, hear!

Mr L. J. Mulenga: We are very good at starting our journey, but very poor at reaching our destination. I think that we need to re-organise ourselves and begin to look inward so that we can see where our failures lie. The biggest problem that there is, in this country, is poverty and employment. This is why politics are created around those two areas.

Hon. Opposition Members: Hear, hear!

Mr L. J. Mulenga: If that can be removed, the way of doing politics in this nation will be clean and sweet. We will do away with the situation of just bickering about food on the table. That should be a minor thing. We must be looking at how to grow our economy and taking it to higher heights so that this country is prosperous.

 I cannot believe that God created this country to become poor.

 Hon. Members: No!

Mr L. J. Mulenga: God forbid!

Hon. Members: Hear, hear!

Mr L. J. Mulenga: Mr Chairperson, God created this country to prosper and reach higher heights.

 Hon. Members: Hear, hear!

Mr L. J. Mulenga: That was the sole purpose. We, the people in leadership, have a responsibility to ensure that we move people to a position of attaining their full potential. They must become who they are and not what they are not.

Mr L. J. Mulenga drank some water.

 Hon. Members: Hear, hear!

Mr L. J. Mulenga: Essentially, the point that I am trying to belabour is that Zambia has what it takes. All we need to do, as leaders, is to refocus our positions. Let us stop bickering and begin to move positively in the right direction for the interest and benefit of our people.  At this stage, we cannot afford to have somebody living in a mud house. That is totally unacceptable. Let us get our people to understand that they have the ability and potential in themselves. All we need to do is galvanise that potential so that they reflect upon who they are and become true people.

Sir, like one speaker indicated, today, when you look at the businessmen and women who are prosperous in this country, from the local front, you will discover that it is the people who have not even attained serious levels of education. They are the best entrepreneurs in this country. When you tell the people who have master’s degrees or doctorates in philosophy (PHDs) to run small businesses, they will lamentably fail. This is because their schooling has been such that one must sit in a very beautiful office and run things from there. It does not work that way.

Mr Chairperson, there are examples like Chovu Chovu. I saw him grow in Luanshya. He used to sell sweets but, today, he is in serious transport business and he is doing very well. That is the kind of potential we need to knock into the lives of our people so that we can move this country forward.

Sir, with those few words, I would like to thank you.

 Hon. Members: Hear, hear!

Mr Lubinda (Kabwata): Mr Chairperson, what would one say after that very spirited debate by my friend, Hon. Mulenga, and I have to say, also, that of Hon. Dr Machungwa, save for the last bit. Both debates remind me of the veracity with which the two gentlemen used to debate before Hon. Dr Machungwa became president of the MRP, Machungwa Rebel Party.


Dr. Machungwa: On a point of order, Sir.

Mr Lubinda: Mr Chairperson, the Ministry of Commerce, Trade and Industry,…

The Deputy Chairperson: Order! A point of order is raised.

Dr Machungwa: Mr Chairperson, is Hon. Lubinda in order, instead of debating the Motion, which is very clearly on the Floor of this House, to debate Hon. Dr Machungwa who is listening very quietly and carefully to his debate. Having supported his entrepreneurship at Namakau House, is he in order to continue debating in that manner?


The Deputy Chairperson: He is definitely out of order.

May he continue.


Mr Lubinda: Mr Chairperson, I was agreeing with Hon. Dr Machungwa that the Ministry of Commerce, Trade and Industry is a very important ministry. Indeed, this is the hub of development. All sectors of the economy have one thing or another to do with this ministry. Therefore, it is a ministry that deserves to be debated with soberness, but also with very serious attention. I will endeavour to add only a few points to the many that the previous speakers spoke about.

Firstly, I want to touch on the hon. Minister’s reference to the Lusaka South MFEZ. This is an MFEZ that has been spoken about time and time again. In this year’s Budget, there is money for sensitising people on the establishment of MFEZs and one of the zones that is closest to the people is no other than the Lusaka South MFEZ.

Sir, I have debated on behalf of the people of Chilenje on the Floor of the House. I have said that the establishment of the MFEZ in Chilenje will create new problems for the people there. One of these problems is that of gentrification where the houses of the people of Chilenje will have their value increased because of increased activities in the area. As a result, a lot of our people will be tempted to put their houses on rent and, instead establish shanty compounds. That requires the Government’s efforts to sensitise the people so that they are aware of the negative impact of the development of the MFEZ which will only be 11 km away from Chilenje. Therefore, I am hoping that the hon. Minister will quickly put together a team that will engage with the people of Chilenje and prepare them for that development.

Sir, secondly, I would like that the hon. Minister and his ministry start to tell the people the truth and nothing, but the truth on the establishment of these economic zones. The reason I make this plea is that, as all hon. Members of Parliament will remember, during the opening of this Session of Parliament, in his address, His Excellency, Mr Rupiah Bwezani Banda, made a statement that was terribly misleading with regard to the establishment of the Lusaka South  MFEZ. He said that the construction works on the MFEZ had commenced, and yet, to date, that is not the case. It is not fair for the people to be given half truths about such important developments.

Sir, given that the hon. Minister, in his statement, talked about this matter, I would like to appeal to him that the 2.4 km road that is supposed to be constructed to support the creation of the MFEZ is done forth with. Please, do not wait for 2012 for that road to be done.

Sir, the reason I am asking for this is that the people of Chilenje would like their roads to be worked on. Now, we cannot work on that road because we know that it is earmarked for construction as a part and parcel of the construction of that MFEZ. Can you start with that immediately because our worry is that with the establishment of that heavy investment, 11 km south of Chilenje, will come huge traffic which will have a detrimental effect on the few roads in Chilenje and Kabwata Constituency in particular. It is, therefore, imperative for this ministry to ensure that there are alternative routes to service the heavy industry that will be provided for at the MFEZ.

 Mr Kambwili: Hear, hear!

Mr Lubinda: Sir, my colleagues spoke about the need to re-orient the focus of the Ministry of Commerce, Trade and Industry. I agree with them. If you look at the Budget of 2011, you will see that the MMD Government is focusing much more on attracting the FDI without paying attention to attract local domestic investment which my friend, Hon. Mulenga, eloquently spoke about.

Sir, if you look at the Budget, you will see that the allocation to foreign trade has increased whereas that to domestic trade has decreased. That is to illustrate the point that was emphasised by Hon. Matongo, repeated by Hon. Machungwa and emphasised by my colleague, Hon. Mulenga.

In the 2010 Budget, there was K4.4 billion allocated to foreign trade whereas in the 2011 Budget, there is K6.5 billion as compared to a reduction in domestic trade from K7.9 billion to K6.7 billion. What we are calling for is to attract and encourage local investment. This country cannot be developed by foreigners alone. This country can only be developed by its own people. To expect foreigners to develop the country is to ask for blood from a stone which you will never find at all. All of us know that foreign direct investors come here to exploit our natural resources with only one thing in mind, to externalise the profits.

Mr Munaile: Hear, hear!

Mr Lubinda: Whereas the local investors will, first of all, be aware of the fact that they must exploit our local resources sustainability because they want to bequeath those resources to generations after them, the foreigners will not do so. It is only us who have the responsibility for generations after us, the Zambians to be created, the Zambians to be born. It is not a responsibility that we can give to foreigners. We have to take that as our responsibility.

This is the House of the people where laws are made. These laws should be ensuring that we protect today’s resources for tomorrow’s Zambia. We can only do that, Sir, if we show that we are investing where our mouths are or that we are investing in encouraging local direct investment in our budget.

Mr Chairperson, we ought, indeed, to create capacity in the manufacturing sector. The value addition concept that the hon. Minister of Commerce, Trade and Industry speaks about, every time, is a very cardinal matter. However, when you look at the policies and compared to the implementation programme, you will see that they are two miles apart. I, therefore, wish to appeal to the hon. Minister to, please, come home and encourage the growth of the manufacturing base.

As Hon. Hamududu said, it is very nice that one can go into these big outlets and buy very beautiful luxury goods, but is it not a pity that when one goes back home realises that they are eating packed or canned tomato which was grown outside Zambia when there are lots of tomatoes that are going to waste in our country.

A recent research revealed that close to 35 per cent of the fruits and vegetables produced in this country on an annual basis go to waste. The reason they go to waste, Sir, is that this ministry is not supporting the growth of the manufacturing sector in Zambia.

Sir, let me move quickly and talk about the CEEC. My colleagues have spoken about the fund and I agree with Hon. L. J. Mulenga on the three factors of production. However, he forgot the fourth which is what I consider extremely important. The fourth factor of production is an enabling legal framework. Is there a legal framework in Zambia that supports the empowerment of citizens?

Mr L. J. Mulenga: No!

Mr Lubinda: Mr Chairperson, in 2006, this House passed a very important Act, which is the Citizen Economic Empowerment Act. Very often, when somebody speaks about that Act, unfortunately, they go to the easiest and most attractive aspect of the Act which is the CEEF. In my view, that is just a minute part of that Act. What is important is the enabling environment to grow the local industry.

Sir, I would like to focus on some of the provisions in the Act. At Section 6 of the law, there is a provision of various functions of the commission. I will pick out four out of more than sixteen. One of them says the commission will ensure that there are equal opportunities for and, where necessary, ensure preferential treatment to targeted citizens, citizens-empowered companies, citizens-influenced companies and citizens-owned companies in accessing procurement contracts and other services of any State institution. That is what is provided for in the law.

I would like to ask the hon. Minister what he has done to ensure that the commission provides for this. Had this been observed, you would not have been hearing about us subcontracting offshore companies from tax havens to come and value our property at the expense of well-qualified economists and evaluators in the country.

Hon. Opposition Members: Hear, hear!

Mr Lubinda: We should not have been losing billions of kwacha to pay our friends from abroad when we have the capacity here.

Hon. Opposition Member: Yes!

Mr Lubinda: Mr Chairperson, there are many other provisions, for example, promoting the subcontracting of services, materials and equipment to targeted citizens, and yet, not long ago, the hon. Minister of Works and Supply was saying that the bids provided by Zambians do not meet the quality of those provided by foreigners. That is the reason for the establishment of the commission and for the enactment of this law to provide preferential treatment to the Zambians. It is one thing to give Zambians loans, but if you do not give them the environment in which they can grow their business, it is an exercise in futility.

Sir, I would like to call upon the hon. Minister to look at the Act again.

Mr Kambwili: Ali kwisa Mulongoti nabutuka te?

Mr Lubinda: It is a challenge to the commission to ensure that this preferential treatment provided for in the Act is actually implemented. I would also like to appeal to the hon. Minister that there is a provision for sector codes to be brought up for the President to register. What are you waiting for, four years after the law was passed by this House?

Talking about law, Mr Chairperson, I heard the hon. Minister speak very eloquently about the number of Acts that were passed by this House. Unfortunately, in my view, under this Government, the passing of a law is very different from the intention to implement it. What do I mean?

Sir, a number of years ago, we passed the Trade and Licensing Act in which we said that trading in markets would be a preserve of Zambians but, today, when you go to the COMESA Market, what do you find? You find foreigners and do not see Zambians at all.

Mr Chota: Chinese!

Mr Lubinda: Even if you give them K5 million from the CEEF, for as long as you do not protect them and allow others to come and grow Chinese cabbage in Zambia, at the expense of Zambians, then that K5 million will not be paid back.

Mr Kambwili: Hear, hear!

Mr Lubinda: Sir, I would also like to appeal to the Minister to consider passing the Statutory Instrument to allow for the central business district of Lusaka and many other cities to extend their operating hours beyond 1700 hours. I even wonder when the working class go to shop when the shops close exactly the same time that the officers also shut business. When do they go shopping? That is also contributing, Mr Chairperson, to loss of man hours in the country. Can the hon. Minister work on this quickly?

Finally, in the last second of time I have, can the hon. Minister also consider encouraging investment in the roads in Kamwala where we are making so much money? The Kamwala Trading area is producing more than K60 billion a year in tax, and yet the roads are so pathetic. That is killing the goose that lays the golden egg and only a foolish farmer does that.

I thank you, Sir.

Hon. Opposition Members: Hear, hear!{mospagebreak}

The Minister of Commerce, Trade and Industry (Mr Mutati): Mr Chairperson, let me start by thanking the various hon. Members that have made contributions to the debate on the Vote and those who have supported the Vote for the various issues that have been raised regarding the Ministry of Commerce, Trade and Industry.

Sir, from the outset, let me start by saying that one of the major challenges that we face, as a nation, is a consequence of some of the success that we are registering. The ministries of Education, Science, Technology and Vocational Training produce almost 300,000 graduates, every year, and our ability to absorb these through job creation is an opportunity.

That, indeed, is a big challenge which we must focus on. So, sometimes, success itself becomes problem number one that has become a major issue for us. In dealing with this issue, we have to take a marathon approach. Even as we criticise the FDI, we believe that the capacity of this economy must be assisted from a number of dimensions.

Mr Chairperson, my good friend, Hon. Lubinda, debated the comparison between what is in the Foreign Trade Department and the local industry and then said we are putting a lot more money in the Foreign Trade Department and, therefore, not supporting local industry.

Mr Chairperson, a simple example is that as we motivate the FDI, for example, by expanding the production capacity of Larfage to 1.4 million tonnes, we are creating capacity for the local people to do the things that they must do which is creating employment. So, without that FDI, the local direct investment gets hampered.

Then secondly, because of the market size, the economy of Zambia is small and so we have to rely more on exports. Therefore, the things that the Ministry of Finance and National Planning introduced, for example, the 25 per cent duty on deformed bars, the intention for that is to stimulate capacity locally and create jobs in Zambia. That exercise is done through the Department of Foreign Trade. These are critical issues that we must look at. Tied to that is the need to expand the market at the regional and international levels.

Mr Chairperson, in expanding the market, Zambia has become, within the COMESA region, the biggest exporter to other COMESA countries and that is critically important because unless you are able to export, that is the only way you create productive capacity and that we must continue to do. It is not a reduction. In fact, we need more money under foreign trade compared to domestic trade because we need to create market access and capacity.

Mr Chairperson, without over-emphasising the point, we realise that, in bridging the gap between the demand for jobs and supply, one of the key strategies is to also focus on rural investment to take industry there so that they are able to absorb and retain some of our people. For example, working with ZAMPALM, we have been able to retain, within the Mpika area, over 3,000 people. In trying to create employment opportunities in that area, we have attracted Multirates which is going to set up a cocoa plant in Luwingu to manufacture the chocolates that we need and jobs will be created there.

Hon. Members: Chota!


Mr Mutati: Mr Chairperson, with the revival of the Cashew Nut plant in Mongu, we are retaining and sending jobs where they must be. Job creation must not only be along the line of rail, but we must send back the jobs to the rural areas as part of the deliberate policy to industrialise, starting with the local area. This is the investment strategy.

Mr Chairperson, I want to point out the benefits of FDI. My colleagues from Kabwe know Kabwe Tannery. The Government entered into an agreement with Kabwe Tannery Limited which we called a Business Linkages Programme where small-scale farmers were helped to increase the quality of hides so that they can supply to Kabwe Tannery Limited at a higher price and with hide returns for the same things that they were able to produce previously. Once this is done, entrepreneurs involved in these business ventures will, therefore, send their children to school. We have done the same with Pick ′n Pay so that it can support the growers of vegetables and tomatoes. This is critically important because this will create opportunities that never existed. That is what we are referring to when we talk about pushing the country forward.


Mr Mutati: Mr Chairperson, yes, we are admitting that the demand for jobs will always be higher than that of the supply and there is no way we are going to match that in the short term if we shut the door to FDI. We must continue to attract investment.

Hon. Government Members: Hear, hear!

Mr Mutati: Mr Chairperson, what is pleasing is to see the efforts that our local entrepreneurs are actually making to make a difference in their living conditions. Even as we debate, the biggest activity that is happening of construction of houses and the extension of factories is being done by local Zambians.

Hon. Opposition Members: Where is it?

Mr Mutati: You just have to take a drive on Kafue Road and see what people are doing there.

Hon. Opposition Members: Aah!

Mr Mutati: You can be absorbed in here saying that nothing is happening, but if you just go down a few kilometres from here …

Mr Mwamba: That is not your initiative?

Mr V. Mwale: Yabanani ilya initiative.

Mr Mutati: … we have a Zambian who has established Mwiza Hotel worth about US$15 million. That is a world class product. Next week, I will be going to Kitwe to try and attend to some of the challenges that a Zambian who has developed a K40 billion hotel is facing in terms of accessing some of the incentives. So, Zambians actually have the push to make a difference. These people are actually moving.

Ms Siliya: Hear, hear!

Mr Mutati: Mr Chairperson, we spoke about the Levy Junction. The main subcontractor is ZCON Construction Company Limited which is owned by a Zambian and has been able to move …

Mr Mukanga: The Chinese.

Mr Mutati: No, that is a young Zambian whom I know very well. He has been able to move from a turnover of a million dollars per annum to a turnover of about US$10 million per annum and these are the young Zambians who are moving the economy forward.

Hon. Opposition Members: Aah!

Mr Mutati: Mr Chairperson, much as I appreciate the debate by my brother, Hon. Mulenga, I think we need to reinstate the belief and hope that, as Zambians, we have the capacity to be able to make a change.

Hon. Government Members: Hear, hear!

Mr Mutati: Let us not look inwards and, through inadequacy, believe that we are born with a deficiency. We are not because we are born with the capacity to make a change and deliver the fortunes of this country. We are seeing, wherever we go around Zambia, that Zambians are making a difference and change. That is why Hon. Prof. Lungwangwa has said …

Mr Munaile: Bakabolala beka beka.

Mr Mutati: … that we have increased even the importation of motor vehicles to 40,000. This means that there is some money that is bubbling up in pockets of Zambians because, now, they live even better …


Mr Mutati: … and this is what is important.


Mr Mutati: Mr Chairperson, only yesterday, we witnessed the launch of Airtel and what is pleasing to note is that the level of connectivity in Zambia is approaching 5 million subscribers. What that means is that Zambians are demonstrating the capacity to connect and do things differently.

Mr Chairperson, Hon. Lubinda did raise a couple of issues …

Mr Lubinda: Like that.

Mr Mutati: … about the CEEC. Let us put things straight. We do agree that we have challenges at the CEEC and that the commission will not be the total solution to all the cash needs of the people who want to enterprise. It will never be sufficient. We need to do a lot more and have other facilities to enable Zambians access funds.

We also agree that, since the establishment of the CEEC, the emphasis has been on the cash pillar of the Citizens Economic Empowerment Act. We are now addressing the issues regarding preferential procurement, which is key for Zambians’ empowerment. We are now also addressing the issues surrounding the type of businesses that must be reversed for Zambians because we want our citizens to participate a lot more in economic activities and, therefore, transform their fortunes.


Mr Mutati: These are crucial issues and we think that the increased inclusion of Zambians in more economic activities remains key to the whole process of empowerment.

Mr Lubinda interjected.


Mr Mutati: Mr Chairperson, let me also comment on the EPAs and Doha Development Agenda (DDA) by the WTO. One of the key reasons that Zambia and other countries have not yet signed the EPAs was stated by Hon. Matongo. We want the EPAs to have a development component for developing countries.

Secondly, we want that the EPAs to eliminate the barriers that are inherent in terms of market access into the EU. A simple example is that somebody from the EU can come into Zambia, enjoy our beef and say, “Hooray, Zambian beef”. However, it is difficult for the same beef to be exported into the EU. We are saying that we must change the standards for market entry. Unless the conditions are changed, we will not be able to take advantage of the opportunities that would come out of signing the EPAs. That is the reason we have not yet done so.

We remain alive and engaged in the WTO’s Doha development rounds. However, we are saying that in order for us to move forward and assist this process, there is a need, first of all, to reduce the levels of subsidies, particularly those that are being put on agriculture by developed countries. These subsidies have made it difficult for African and Zambian agricultural products in particular to access the international markets. So, since agriculture is key to our growth and development, we have decided to remain engaged in the WTO discussions.

Zambia is the current chair of AGOA and is going to host the next AGOA forum this year. One of the issues that we want to bring up at this forum is why it is possible for us to export horticultural products from Zambia into the EU, but not to the United States of America (USA). These are some of the barriers to trade that we want eliminated.

Mr Chairperson, let me end by saying that the principle role of the Government, in whatever we do, is to create and construct a ‘nest’. The Government is constructing the nest so that the birds, being the investors, can lay the eggs. These investors are the Zambian people, who should realise the potential that they have to make a difference. The Government has put in place laws, policies and whatever is required for Zambians to get up and go to make it happen.

I thank you, Sir.

Hon. Members: Hear, hear!

VOTE 33/01 ─ (Ministry of Commerce, Trade and Industry ─ Headquarters ─ K36,632,445,952).

Mr Lubinda: Sir, I seek clarification on Programme 3, Activity 02 ─ Citizens Economic Empowerment Commission ─ K15,000,000,000. May I find out what has necessitated the increase in the allocation to the CEEC from K4 billion to K15 billion. Is this in line with the thought that, now, the CEEC will start sorting out the other four pillars of the Citizens’ Economic Empowerment Act?

Mr Mutati: Mr Chairperson, the increase from K4 billion to K15 billion, first of all, is not only as a consequence of increased activities at the commission, but also because we want to work around the other pillars of the Act this year.

I thank you, Sir.

Mr Lubinda: Mr Chairperson, my next question is still on the same page. Maybe next time, I will try to ask all the questions at the same time.

    I beg your …

Mr Chairperson: I do not know if I will give you that opportunity. Kindly proceed in asking your question.

Mr Lubinda: Thank you, Sir. I was just saying that in case you decide to.

Under Programme 2, Activity 07 ─ Office Rentals ─ New Government Complex ─ K300,000,000, this is a completely new activity for which the hon. Minister is requesting an allocation of K300 million. What is it that he is going to rent at the Government Complex when that is a Government building? Is the ministry going to pay rent to the Government?

Mr Mutati: Mr Chairperson, as residents of that complex, we all make payments for various services and also maintenance issues have been put under that head.

I thank you, Sir.

Vote 33/ 01 ordered to stand part of the Estimates.

Vote 33/02 ordered to stand part of the Estimates.

Vote 33/04 ordered to stand part of the Estimates.

Vote 33/05 ordered to stand part of the Estimates.

VOTE 33/06 ─ (Ministry of Commerce, Trade and Industry – Foreign Trade Department ─ K6, 571,274,098).

Mr Lubinda: Mr Chairperson, may I have clarification on Programme 13, Activity 03 ─ ESA Senior Officials and Ministerial Negotiations ─ K70,000,000. Considering that the Minister of Commerce, Trade and Industry, Hon. Mutati is Chair of the ESA Negotiating Team for the second year running, I would like to find out why there has been a reduction of money for that very important exercise from K100,000,000 to K70,000,000?

Mr Mutati: Mr Chairperson, most of the ground work has been done. What remains is the conclusion.

I thank you, Sir.

Hon. Opposition Members: Aah!

Mr Mukanga: Mr Chairperson, may I have clarification on Programme 14, Activity 01 – NIU Sustenance and Capacity Enhancement (1) – K1,375,400,000. What is it for?

Mr Mutati: Mr Chairperson, this amount has been provided by our co-operating partners under the NIUSCE integrated framework as support for trade facilitation.

I thank you, Sir.

Vote 33/06 ordered to stand part of the Estimates.

Hon. Government Members: Hear, hear!

VOTE 65 – (Ministry of Science, Technology and Vocational Training – K140,568,950,127).

The Minister of Science, Technology and Vocational Training (Mr Daka): Mr Chairperson, it is my honour and privilege to deliver the policy statement and address the House on the 2011 Estimates of Revenue and Expenditure for Head 65 – Ministry of Science, Technology and Vocational Training.

Mr Chairperson, the Ministry of Science, Technology and Vocational Training oversees two sectors, namely, Science Technology on one hand and the Technical Educational Vocational and Entrepreneurship Training (TEVET) on the other. The two sectors contribute to wealth creation and human resource development for the country. My ministry facilitates, co-ordinates and promotes the development and application of science, technology and the provision of technical educational vocational and entrepreneurship skills.

Sir, I will present my statement in three parts. Firstly, I will look at the ministry’s budget performance for 2010. Secondly, I will look at the key issues for the 2011 Budget and, lastly, make my conclusion remarks.

Review for 2010

My ministry developed a new strategy plan to guide its programme during the period from 2010 to 2011. The programmes and activities for 2010 and the Medium Term Expenditure Framework (MTEF) were linked to the new strategic plan. In 2010, the ministry was allocated K111.5 billion. Out of this amount, K79 billion was allocated to TEVET while K37 billion to Science and Technology programmes.

Mr Chairperson, in TEVET, the ministry continued to dedicate its resources to infrastructure development for the construction of new facilities and rehabilitation of existing ones. The works included the rehabilitation of classroom blocks, administration blocks, hostels and the construction of the new infrastructure at Solwezi, Mwinilunga, Kaoma and Mansa Trades Training institutes. Rehabilitation works are underway at Choma and Kabwe Trades Training institutes and Kasiya Secretarial College, Northern Technical College (NORTEC), Evelyn Hone College, Technical Educational Vocational Entrepreneurship Training Authority (TEVETA) and Gemstone Processing and Lapidary Training Centre.

Sir, in addressing concerns on the quality in the delivery of training and refocusing our institution to their core mandates, the ministry, this year, continued to implement the TEVET financing strategy.  The strategy entails leaving the funding of institutions to a number of students it can train in priority skills areas.

This strategy is designed to ensure that the Government finances targeted skills which are critical for national development. In order to improve the quality of training delivery, training programmes were also being implemented for lecturers as part of the skills upgrading programmes for instructors. The ministry has continued to make significant investment into equipment, furniture and books for its institutions as a way of improving the learning environment.

In order to provide a strategic site in the mining areas of Zambia for the development of highly trained human resource and narrow the gaps and inadequacies in skills development, the ministry started the process of merging three Luanshya-based training institutions in one polytechnic. This will result in the commencement of the three new degree programmes, namely, Bachelor of Electrical Engineering, Bachelor of Technical and Vocational Education and Bachelor of Commercial Teacher Education in 2011.

Mr Speaker, in Science and Technology, the major focus was to improve the operation and sustainability of scientific institutions through improved financing for programmes and adherence to the budgets. This was enhanced by strengthening and improving the implementation of the Youth Innovation Fund (YIF) and the Strategic Research Fund.

In 2010, the ministry provided K24 billion in form of grants to the institutions. As a result, operations at these institutions were improved.

The Ministry continued to implement the Strategic Research Fund (SRF) which is meant for financing strategic research in priority areas that will impact positively on the economy. The fund is financing research in the agriculture and health sectors.

Mr Chairperson, while providing the facility of training to the youth, we have also introduced a Youth Innovation Fund. This is meant to promote science technological innovations that have potential to generate wealth and employment among the youth.

Since the inception of the Youth Innovation Fund, in 2008, eleven projects from the youth have been funded. Notable among these innovations were the water pump, pregnancy diagnostic tool and automatic nshima-making machine which have reached a pilot stage of development.

Mr V. Mwale: Ingawame nsima iyo? Izapanga azimayi kunkala na ulesi.

Mr Daka: An important aspect of investment in science and technology is the need for research and development output to reach the industry or the community. To complete the research and development cycle, we need to commercialise those outputs that are beneficial to the targeted users. The commercialisation of technologies, however, remains a challenge. To mitigate this challenge, the ministry introduced the Technological Business Development Fund (TBDF) which supports businesses that adopt local technologies for commercialisation.

Like many parts of the world, Zambia is faced with challenges of under representation of women in science and technology.

The number of female researchers in top managerial positions is low compared to their male counterparts. In order to address this challenge and fulfill the SADC Protocol on Gender Equality, my ministry has continued to provide bursary schemes to female students who pursue scientific and technological programmes at the post graduate level.

Furthermore, my ministry has a programme under the bursary scheme for vulnerable students and a special bursary for courses in bricklaying and plastering as well as carpentry and joinery. In this regard, a total of K5.5 billion has been allocated in the 2011 Budget. This will enhance the contribution to the development of this country.

Key Programmes

Mr Chairperson, in the 2011 Budget, of the K140 billion allocated to the ministry, 67 per cent of it has been allocated to capital projects and other poverty reduction programmes such as the bursary schemes and Strategic Research Fund while 33 per cent of the budget will be channeled to the operations of various implementing agencies of the ministry such as the National Institute for Scientific and Industrial Research (NISIR), the National Science and Technological Council, National Technology Business Centre, TEVETA and various training institutions across the country.

Mr Chairperson, in TEVET, the priority will be to continue and complete the current infrastructure development works initiated in 2009 and 2010. This involves completion of construction and rehabilitation works in line with our strategic plan.

The ministry will also commence the construction of new trade institutes in Isoka, Milenge, Kalabo, Mumbwa and Lundazi districts. This is the commencement of our new programme on the establishment of trade training institutes in each district of the country. The ministry will also increase its incentives in the procurement of workshops and other teaching equipment and materials to equip institutions where new infrastructure has been put up. K34 billion has been allocated to these programmes.

In 2011, the ministry has planned to produce and provide equipment for the commencement of degree programmes such as Bachelor of Electrical Engineering, Bachelor of Technical and Vocational Education and Bachelor of Commercial Teacher Education at the merged Luanshya Polytechnic College. K38 billion has been allocated for this activity.

The implementation of TEVET Financing Strategy will also be strengthened by drawing on lessons learnt in the first year, 2009, of the implementation programme. To this effect, the number of institutions in the pilot programme will be extended to include Lusaka Business and Technical College and Kabwe Trades Training Institute. K13.5 billion will be spent on the programme.

Mr Chairperson, our priorities in TEVET include strengthening open and distance learning (ODL) through the distribution of policy guidelines and monitoring the implementation of open and distance learning to expand the number of institutions offering programmes so as to increase access, induction of management boards and performance reviews aimed at strengthening management systems and processes in the institutions. K12 billion has been allocated to the operations of the institutions in TEVET and other management strengthening activities.

Sir, with regard to science and technology, the view of the Science and Technology Act and commencing implementation of critical strategies in the revised Science, Technology and Innovation Policy will be the priority. I hope to bring to this House a Bill to repeal the Science and Technology Act, 1997. The Strategic Research Fund and New Innovation Fund will be essential in facilitating investment in research and development.

The Deputy Chairperson: Order!

(Debate adjourned)



[MR SPEAKER in the Chair]

(Progress reported)


The House adjourned at 1957 hours until 1430 hours on Wednesday, 24th November, 2010.