Debates- Tuesday 22nd February, 2002

DAILY PARLIAMENTARY DEBATES FOR THE FIRST SESSION OF THE NINTH ASSEMBLY

Friday, 22nd February, 2002

The House met at 1000 hours

[MR SPEAKER in the Chair]

NATIONAL ANTHEM

PRAYER

______

OATH OF AFFIRMATION OF ALLEGIANCE

The following Members took and subscribed the Oath, or made and subscribed the Affirmation of Allegiance:

Katele Kalumba

Mbita Chintundya Chitala

Dipak Kumar Atamaran Patel

TIME OF THE PRESIDENT’S ADDRESS

The Vice-President (Mr Kavindele): Mr Speaker, I beg to inform the House that the President of the Republic of Zambia, Mr Levy Patrick Mwanawasa, State Counsel, will be arriving at 1025 hours to declare his causes for summoning Parliament to meet today.

Thank you, Sir.

Business was suspended from 1005 hours until 1040 hours.

The President entered the Assembly Chamber escorted by Mr Speaker.

(Assembly resumed)

____________

THE PRESIDENT’S ADDRESS

The President (Mr L. P. Mwanawasa, SC): Mr Speaker, I would like to take this opportunity, on the occasion of the Ceremonial Opening of the First Session of the Ninth National Assembly, to congratulate you and your Deputy on your elections to your esteemed positions in the House.

Hon. Government Members: Hear, hear!

The President: I have no doubt in my mind that hon. Members of this august House have made a wise choice that will greatly benefit the business of this House.

In the same vein, I wish to extend heartfelt and sincere congratulations to you all, hon. Members of Parliament, individually and severally, on your well-earned election to Parliament.

Hon. Members: Hear, hear!

The President: For those hon. Members who are nominated, I also congratulate you on being chosen.

Hon. Members: Hear, hear!

The President: Since this is the first sitting of the House after the just ended tripartite elections, allow me, Sir, to pay tribute, on behalf of all of us, to the immediate past President, Dr Federick Jacob Titus Chiluba for his invaluable service to this nation over the 10 years that he was in office.

Hon. Government Members: Hear, hear!

The President: The nation enjoyed peace and made momentous achievements in various sectors of our national development. We wish him well and every success in all his future endeavours.

Hon. Government Members: Hear, hear!

The President: Mr Speaker, the recent tripartite elections were remarkable in many aspects. It was the first time, since independence, that so many political parties participated, featuring eleven presidential candidates. To me the large number of parties and individuals who offered themselves to serve in public office is a clear sign that democracy is well entrenched in our country.

Hon. Government Members: Hear, hear!

The President: This was also demonstrated by the less acrimonious manner in which we all ran our campaigns. The turnout on election day was massive, while the conduct of voters throughout the country was peaceful and exemplary. I, therefore, salute and commend all my fellow Zambians for the maturity displayed during that important nation event.

We are, all of us, in this Parliament today because of the will of the people who voted for us in the recent elections. You all fought a good fight. You won the confidence and trust of the people who elected you. They expect you to deliver and to promote their interests and welfare. A lot of time has been wasted investing in political arguments. Let us now invest in the development of our nation.

Hon. Government Members: Hear, hear!

The President: In this regard, I would suggest that whatever we do and say in this House, we should be guided by the national interest and the love of our country first and foremost. In that manner, the House will lead the nation in promoting unity and fostering national development.

Mr Speaker, the first question I would like to pose and remind ourselves all the time is: what did we promise the people?

All of us hon. Members in this House, today, are here because we won the hearts and minds of the voters during the campaigns in the last elections. In many constituencies, there were five, six or sometimes more members who offered themselves to the people. Mr Speaker, as you know in my case, there were also other ten equally eminent and competent men and women in our society who stood for the post of President of the Republic of Zambia. But in our system there can only be one winner.

In this case, each one of us here hon. Members was able to be given the honour and opportunity to represent our people in the various constituencies. But I am also aware that in a number of them, there are election petitions before the courts, as our constitution allows. Quiet a good portion of our people might look at these petitions with disdain. My administration welcomes these petitions and emphasises that this is the only legitimate way of presenting electoral grievances. Any other way or verdicts should be dismissed as promoting the rule of man not of laws.

Hon. Government Members: Hear, hear!

The President: Mr Speaker, to revert to the question, what did we promise the people? It is important to continue to ask further questions:

1. Do we remember what we promised during campaigns that we were going to do for our people?

2. Do we have the mechanisms in place to deliver on those promises so that the people can see concrete results?

3. Do we have a programme of how we can deliver in each of the 150 constituencies represented here?

4. Do we have strategies and mechanisms in place, of how we will go back to the people, in the constituencies from time to time to report on the progress being made or difficulties we are encountering in delivering on our promises?

5. Or are we, Mr Speaker, to say the gruelling efforts we made during the campaigns, the expenses of travelling, touring, meetings, rallies, door to door discussions, were the last we will ever make, now we rest until we are called upon again to ask our people to vote for us, in another elections?

Mr Speaker, the answers to all these questions lie with all of us leaders gathered in this House today. They also lie with other leaders of our people who are outside this House of whom it falls to deliver to them economic, culture and spiritual prosperity. We all need to be committed to promote the interests of our people and need to do all that is necessary that we perform to their satisfaction. This time round, let us mean and do what we say – and deliver.

All Zambians should know that this House is not a battlefront or battleground. The men and women elected to this House have a great and solemn responsibility to facilitate the achievement of the Zambian dream. A dream where every citizen has a decent living – free of all hardships, poverty, crime and ill-health.

Mr Speaker, the ultimate objective of this House, therefore, is to ensure that the interests of the people of Zambia are at all times held paramount and that nothing should be nothing should be done to compromise this goal. This is the people’s Parliament and we are here, first and foremost, to serve the people of Zambia, the people who voted for us and gave us power to advance their cause.

Mr Speaker, we have been an independent nation for more than thirty-seven years during which time the country has undergone different experiences politically, economically and socially. Inevitably, there have been successes, failures and mistakes along the way. While it is wise to look back and take stock of the errors that may have been committed, the expectations of this Government and the people of this country are that we should now move forward/

Hon. Government Members: Hear, hear!

The President: We should resolve to commit our energies and resources towards creating a better future for the people of Zambia. This means that development should be placed at the apex of our priority list.

Mr Speaker, in my Inaugural Address, I pledged to promote and advance the interests of Zambia and its citizens in all aspects of national life. My administration’s commitment to this undertaking is unwaivering.

We intend, in the New Deal, to have a more human centred development process in which the Zambian citizen is both the end and means of development. Our benchmarks in the New Deal will be measured in terms of the welfare of the people and overall human development. What is desired is that the majority of ordinary Zambians should be able to access goods and services to satisfy basic needs.

We should work towards bringing development in all areas of human activity, create opportunities for all areas of human activity, create opportunities for all to participate in accordance with their means, skills and abilities. These opportunities to the full with a view to attain the desired development of the country.

Government

Mr Speaker, my administration will endeavour to promote the rule of law in which citizens are governed by laws and not by the whims of man. It is the intention of this Government to ensure that democratic institutions are strengthened and that the roles they perform, which are meant to foster checks and balances in the Governance process, are consolidated and enhanced. In this regard, measures will be taken to promote the cherished doctrine of separation of powers among the three organs of the State, namely, the Judiciary, the Legislature and Executive.

I am encouraged by the reforms that have been instituted by the legislature so far. As Government, we should ensure that adequate support is made available to the Legislature and the Judiciary in order for these organs to fulfill their constitutional mandate.

Mr Speaker, support for the rule of law will require strengthening of the institutions that safeguard good governance such as the Zambia Police Service, Anti-corruption Commission, Drug Enforcement Commission, Human Rights Commission, the Office of the Auditor-General and that of the Investigator-General. Our resolve to foster checks and balances for good governance will be extended to the role played by the Legislature in overseeing the affairs of the Executive.

Mr Speaker, under the new deal, my administration would like to work with you in opening up the National Assembly to the general public.

Hon. Opposition Members: Hear, hear!

The President: If Parliament is to play an effective role in promoting democracy, transparency, good governance and the rule of law, then its procedures and practices which have changed very little in the past 36 years, ought to be modernised.

Hon. Opposition Members: Hear, hear!

The President: It has been found, for example, that the system of parliamentary committees sitting in camera, is outdated …

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

The President: …and it no longer in line with the current practice of taking Parliament to the people through public hearings. Committees should provide public forum, with the full participation of the media, individual citizens and interest groups.

Hon. Opposition Members: Hear, hear!

The President: This approach will be particularly necessary because it will facilitate cross-pollination of ideas from Parliament to the people, and vice-versa.

Hon. Opposition Members: Hear, hear!

The President: I have already said that we are here because the people sent us here. This House, therefore, is the people’s Parliament.

Hon. Opposition Members: Hear, hear!

The President: The majority of the voters are ordinary people who do not wear neck-ties and can certainly not afford jackets.

Laughter.

The President: I suggest, Mr Speaker, as you undertake parliamentary reforms that the House should do away with the very inconsistent practices whereby you insist that visitors to Parliament will not be allowed access unless they have a neck-tie and jacket.

Hon. Opposition Members: Hear, hear!

The President: Not all your voters wore these tings when they went to vote for you, hon. Members.

Hon. Opposition Members: Hear, hear!

The President: Mr Speaker, I want this House to create facilities where our consituents make meaningful respresentations to their Members of Parliament. In this connection, I suggest that the House should make arrangements with the district councils so that offices can be established there …

Hon. Opposition Members: Hear, hear!

The President: …at a nominal fee for use by local Members of Parliament at which grievances of the people can be received.

Hon. Opposition Members: Hear, hear!

The President: Further, when Members of Parliament are out of Lusaka and it becomes necessary for the House and indeed, Government to contact them, we should know where to find them through these offices.

Hon. Opposition Members: Hear, hear!

The President: With specific reference to the audit function, this Government will accord high regard to the role of the office of the Auditor-General to ensure that public resources are put to good use …

Hon. Opposition Members: Hear, hear!

The President: …and in accordance to setup rules and regulations. Lapses including late tabling of the Auditor-General’s annual reports must be a thing of the past.

Hon. Opposition Members: Hear, hear!

The President: These reports must be undertaken on a current as well as continuous basis. This will enable the Public Accounts Committee to give timely advice to the House on Government’s financial management and give the Executive enough time to implement corrective measures. My administration is anxious that timely action should be taken on these reports as otherwise, why have an Auditor-General if his reports are in the main ignored?

Hon. Opposition Members: Hear, hear!

The President: This inertia, Mr Speaker, has the unfortunate effect of encouraging theft, corruption and abuse of office in the Public Service.

Hon. Opposition Members: Hear, hear!

The President: This phenomena has no room in the New Deal.

Hon. Opposition Members: Hear, hear!

The President: Mr Speaker, the Public Service plays an important role in implementation of Government policies and programmes. I am glad to note that under the Public Service Reform Programme, which was launched in 1993, a lot has been achieved in transforming the Public Service into an efficient, cost-effective and responsive institution capable of delivering quality services to the people of Zambia. All but three ministries have their new structures developed and approved by Cabinet and the structures are now in the process of being fully implemented.

Mr Speaker, structural transformation is just one side of the coin. Why is it that the public still do not seem to have confidence in the civil service? If we want our people to have pride in Government, it will not do, if we just concentrate on structural reform. We have to look at the other side and which is more important, and that is the behavioural and attitudinal side. Our civil servants should understand their role and responsibilities. When they sign in, they should know that they are making a commitment to serve. The Executive should also ensure that resources, including conducive working environment are provided to ensure efficiency in the delivery of service to the people.

Mr Speaker, the conditions of service in the Public Service have deteriorated over the years. This has led to brain drain and failure to attract and retain the right calibre of personnel. Our people are trained at high cost but we cannot expect them to deliver if we do not give them competitive conditions of service and if the Government does not provide a conducive working environment.

Hon. Opposition Members: Hear, hear!

The President: There is, therefore, an urgent need to adopt and implement bold measures to deal with the long standing problem of poor salaries and conditions of service in the provision of Public Service. I will discuss later, the subject of our economy. But, it is clear to me however, that to be able to carry out major improvements in these conditions of service, we must quickly work on and revamp our economy. Only then can we proceed to develop a comprehensive and competitive civil service pay and conditions of service policy.

Mr Speaker, Government recognises the fact that the centralised system of administration subjects institutions at provincial and district levels as well as local authorities to absolute control by the central Government. My administration is, therefore, undertaking to move away from this system by introducing the decentralised administration.

Hon. Opposition Members: Hear, hear!

The President: The decentralised process will involve devolution of powers from central Government to the local level. This will enable the people of Zambia to participate in decision making on issues that affect their lives.

Gender Issues

Mr Speaker, I now want to deal with the thorny issue of gender representation not only in Parliament, but also in other areas of leadership in our nation.

I am informed that, according to the recent census of population conducted last year the statistics show that:

1. the total population of Zambia was 10.2 million;

2. the total number of females was 5.2 million or 50.7% of the population;

3. the total number of males was 5 million or 49.3% of the population.

According to these statistics in a Parliament like ours, with 150 seats, women should occupy 76 seats and men should occupy 74 seats.

Laughter.

The President: Clearly, this is not the situation now. Sir, it is sad that representation for our mothers in this Parliament is even less than in the previous one. Why is the situation like this? We should really challenge ourselves in the political parties and society as a whole. How can we change the situation? I leave it to the political parties, including my own party, MMD to address themselves to this predicament.

Hon. Opposition Members: Hear, hear!

The President: Mr Speaker, on my part, I would like to report to the House that all the ladies who stood and won on an the MMD Ticket were appointed either as cabinet or Deputy Ministers in my administration.

Hon. Government Members: Hear, hear!

The President: Quite a number also in the Civil Service have been appointed to Permanent Secretary level and other senior positions.

The Economy

Mr Speaker, on the economic front, Government will continue with the liberal economic policies. But here in the light of experience, we will make some changes which will be of benefit to the economy and which will enhance our national interests.

Mr Speaker, in my Cabinet structure, I have established a Ministry of Finance and National Planning. We have learnt from experience that the economy cannot grow if we do not take a long-term view of development prospects. Running a Government on annual budget stifles growth and retards development.

Hon. Opposition Members: We told you.

The President: Sir, I have tasked the Minister of Finance and National Planning to come up with a three year transitional plan by June. The aim is that from 2006 onwards, we should be having five-year development plans.

Hon. Opposition Members: Hear, hear!

The President: We are living in a very trying time. In spite of our national resource endowments, the resources at the disposal of Government are still limited. On the other hand, the expectations and demands of our people are high. I do not blame them. All what this means, is that we have to be judicious and prudent in the usage of resources at our disposal.

The Ministry of Finance and National Planning is now better placed to project our vision, prioritise our needs, mobilise external and local resources and employ them to areas which give maximum benefits to the Zambian people.

Mr Speaker, Government has made significant achievements in the management of the economy. This is attributed to the good economic policies Government has put in place.

Hon. Government Members: Hear, hear!

Hon. Opposition Members: Question!

Laughter.

The President: In this regard, I wish to inform the nation that according to preliminary data, the real gross domestic product (GDP) grew by 5.2% in the year 2001 compared to 3.6 % in the year 2000.

Hon. Opposition Members: Question! {mospagebreak}

The President: Mr Speaker, time for Government dominance in economic pursuits is long gone. Government will continue to provide an enabling environment where honest hard work, creativity, initiative and individual entre-preneurship will be rewarded.

Hon. Government Members: Hear, hear!

The President: I want to see Zambians encourage productive work in all sectors of economy. But you cannot expect to have a vibrant private sector if Government is weak.

Mr Speaker, the thrust of our economic policies is to achieve a sustained and high economic growth through private sector-led, rational and market oriented policies. This will be supported by implementing appropriate fiscal and monetary policies, strengthening structural reforms and re-orienting Government expenditure towards investments in the productive sectors and poverty reduction. The monetary policy will remain market oriented. In this regard, the Bank of Zambia’s international reserves’ objective and smoothening short-term fluctuations in the exchange and interest rates. Mr Speaker, Government will re-examine our foreign debt regime and take measures to reduce it to levels that are sustainable so as to free resources for investment in the real economy.

The strategy for reducing poverty has been elaborated in the poverty reduction strategy paper (PRSP). The Poverty Reduction Strategy Paper was prepared after wide and extensive consultations through out the republic. As such, the strategies contained in this document reflect the wishes of the Zambian people and not a political party or some individual interest group. The paper is planning and resource porgramming strategy that will direct resources to areas that have the greatest direct impact on economic growth and empowerment programmes for wealth creation and poverty reduction.

It is in this regard that I am happy to note that our cooperating partners supported the Poverty Reduction Strategy Paper development process. I am confident that they will view our development efforts as worthy of their continued support.

Mr Speaker, during the year 2001, Zambia received substantial debt relief from the international community through the Highly Indebted Poor Countries (HIPC) initiative. My administration is committed to pursuing policies that will enable us reach completion point under HIPC at the earliest possible date.

Agriculture

Hon. Opposition Members: Cow-dung!

Laughter

The President: Mr Speaker, allow me to refer you to my Inaugural Speech. I emphasised that agriculture would become the centre-stage of our economic development policy. The current situation of importing food is unacceptable. We have the resources and the will to turn things around. Through agricultural development, we want to achieve food security in both rural and urban areas.

Hon Members: Hear, hear!

The President: The agricultural sector has to replace mining as the engine of economic development, employment generation and poverty reduction.

Mr Speaker, you will agree with me that in the past, we could afford to withstand failures in agriculture because the mines provided a fall back position. But this is no longer the case. And it is also true that most of our agricultural crisis were man-made and intentional. There are people who deliberately created management hiccups so that they could thrive on chaos.

Hon. Opposition Members: Hear, hear!

The President: My Government has come up with a new thinking together with innovative ways of doing things. We do not wish to be associated with lethargic delays indecision-making on issues that require specific actions. We shall move away from the tendency to deliberately create crisis situations in agriculture We are well aware that these lead to hasty decisions.

Mr Speaker, I wish to emphasise that our general policy framework remains focused on long-term attainment of market liberalisation and commercialisation through a private sector-driven economy. The vision is, therefore, to see the development of an efficient, competitive and sustainable agricultural sector, which ensures food security and increased income at all levels.

You will however agree with me that this goal requires capacity building for the private sector to take up the role of driving Zambia’s economy. This is a long-winded process. My Government, therefore, proposes a managed transition that builds on private sector capacity while ensuring that services to farmers do not suffer in the process.

Mr Speaker, it is against this background that I am now proposing a set of ground-breaking and innovative interventions to stimulate agricultural growth. We definitely should make a difference this time around.

Mr Speaker, you will concur with me that the performance of the Food Reserve Agency (FRA) has left the farming community disappointed.

Hon. Opposition Members: Hear, hear!

The President: It has not performed its mandated role to our satisfaction. My Government suggests the establishment of a Crop Marketing Authority (CMA) to take care of both strategic reserve and to be a buyer of last resort of designated crops. This will still allow the full participation of the private sector in crop marketing. The Food Reserve Agency will be phased out. But before that is done, I will ensure that all the outstanding loans are repaid back.

Hon. Opposition Members: Hear, hear!

The President: Under the new deal, we shall not allow those who borrow public resources to go scot-free.

Hon. Opposition Members: Hear, hear!

The President: Mr Speaker, while the CMA will be a buyer of last resort, it will also help stabilise food prices.

My Government, will in addition facilitate the creation of rural building and marketing centres in areas where farmers are concentrated.

Hon. Opposition Members: Hear, hear!

The President: In addition, we have done well in the provision of services through out-grower schemes. It is only ideal that we continue to support out-grower arrangements such as for cotton, paprika and tobacco.

Mr Speaker, in the area of input supply, it is the wish of my Government to ensure that agricultural inputs are available all the time and not just some of the time. Agricultural inputs have been unaffordable to a majority of small-holder farmers leading to food deficits. The Government is, therefore, spending huge amounts of foreign exchange on imports and consumption subsidies. In the process, we are subsidising farmers in other countries at the expense of our farmers.

Hon. Opposition Members: Shame!

The President: My Government will work out measures to ensure that the cost of basic inputs such as fertiliser and seeds is reduced for farmers.

Hon. Opposition Members: Hear, hear!

The President: This innovative approach to the supply of reasonably priced agricultural inputs will be done in conjunction with the private sector. My Government will also encourage competition in the fertiliser industry in order to reduce the cost of fertiliser and make it available throughout the year.

In order to facilitate co-ordination and extension of services, the private sector traders within their gazetted areas of operation, will require to be registered with the Crop Marketing Authority (CMA) through their district authorities every year.

Mr Speaker, in the area of agricultural finance, my Government notes with much concern the lack of financial investment in the sector. We should ask ourselves why this sector is not attractive. On eof the major reasons is inconsistences in agricultural policies.

Hon. Opposition Members: Hear, hear!

The President: If policies change mid-way of implementation, then the sector becomes unpredictable. Agricultural planning will give the participants a longer-term perspective of Government intentions. Secondly, micro-economic instability fuels inflation and increases the cost of borrowing. By its very nature agricultural financing cannot be viable in an environment of hyper -inflation and high interest rates. As the economy stabilises, the Government will institute monetary measures which will encourage agricultural lending and make long-term investment in agriculture viable.

I also wish to emphasise that my Government cannot allow the culture of loan default to continue unabated among farmers, agri-business companies and politicians.

Hon. Opposition Members: Hear, hear!

The President: This culture is un-Zambian and all concerned have no choice but to abide by the laws of the land on this critical issue. All players should know that it pays to pay back. This is non-negotiable in my Government.

Hon. Opposition Members: Hear, hear!

The President: Mr Speaker, you will agree with me that the measures outlined require that we retain some control and regulation of farmers and service providers. From 2002, Government will establish compulsory registrations and licensing of all farmers and service providers to improve planning and targeting of business related services. We cannot continue to lose money through ghost farmers and ghost traders.

Hon. Opposition Members: Hear, hear!

The President: The proposed streamlining of marketing through use of market centres and registered dealers will facilitate bulking and reduction of transaction costs for peasant and small-scale farmers. This will in turn make it less risky for small-scale farmers to be manipulated by unscrupulous merchants.

Mr Government is committed to ensuring that our peasant and small-scale farmers graduate into mainstream commercial farming. Outgrower schemes have already shown a positive lead towards attaining this goal. We cannot afford to pay less attention to our peasant and small-scale farmers whose potential to grow food crops is very significant.

Mr Speaker, as we endeavour to develop agriculture we should be mindful that Zambia has comparative advantage but lacks competitive advantage .It is not enough to simply have comparative advantage what we need most is competitiveness. This allows us to translate our agricultural potential in a manner that will benefit our people.

Mr Speaker, concerning unfair competition with other countries, complaints by our farmers are justified. My Government will create an environment that will level the playing field and make our farmers competitive in the wake of the Free Trade Area (FTA). The challenges of the FTA re-emphasises the need for Zambian agriculture to compete. Agriculture is a business and should remain so. If our farmers have to continue in the business of farming they need to make a profit.

It is against this background that I am proposing that the relevant ministries immediately start finding solutions to impediments to competitiveness some of which I now wish to discuss.

I am aware of the high cost of production in the agricultural sector especially with regard to diesel, electricity and fertiliser. The high cost of inputs negatively affects the sector and makes it uncompetitive in the region. Worse still the late delivery of inputs makes farming very unattractive for business. My Government is therefore working out measures with the private sector and cooperating partners to contain energy costs and improve the delivery of fertiliser and to make it more affordable.

Given the recurrent droughts which we have experienced in the last two seasons and given the fact that 80% of our rural farmers are poor, my Government has decided instead of subsidising imported maize to support local farmers with cheaper fertilisers.

Hon. Opposition Members: Hear, hear!

The President: I hope that small-scale farmers will take advantage of this gesture from Government. The Ministries of Finance and National Planning, Agriculture and Cooperatives and Community Development and Social Services will jointly work out the implementation modalities for the exercise.

Mr Speaker, allow me to turn to the areas of cross border control. We are all aware of the surge in imports, some of which have caused injury to our agricultural industry. I believe that farming enterprises that have potential to grow and later compete with foreign goods should be supported. The relevant trade articles that provide temporary protection to our producers must immediately be enforced.

Mr Speaker, my Government will endeavour to set a conducive stage for investment in the agricultural sector. Currently, there are very few opportunities for investments in agro processing that can create all round demand for local produce and add value. I believe agro processing is a necessary investment to take care of marketing and storage problems, especially in rural areas. I am proposing that the Investment Centre must develop a package of incentives to attract investors both local and foreign in agro-processing.

Mr Speaker, my Government realises the importance of not only improving land delivery systems to farmers and investors, but also improving land utilisation. My Government will support the development of rural infrastructure to facilitate commercialisation. The Land Development Fund (LDF) for servicing and opening farming blocks under the ministry of lands will be strengthened. Zambia has abundant agricultural land and there should be no artificial shortages. In this regard, my Government will respect title deed rights.

Zambia has abundant water resources that have not been utilised to the full. Southern Province for example, which has a number of rivers should not experience famine. The programme of damming rivers will be stepped up so that irrigation becomes part of the culture of this country. Irrigation is the future of agriculture. My Government will place a premium on investment in irrigation facilities and technology at farm and community levels.

Mr Speaker given the fact that we already know that there is likely to be a shortfall in maize production due to erratic rainfall, my administration will engage and contract some farmers to grow a strategic food reserve threshold under irrigation. This crop should be ready and be in the storage sheds by September.

In addition, my Government will continue to develop and rehabilitate infrastructure necessary to facilitate agricultural investment. We need feeder roads, canals, bridges, storage sheds and dip tanks in well targeted areas such as settlement schemes and farming blocks. All sizeable settlements should have communication facilities.

Mr Speaker, let me talk about livestock and fisheries. The livestock and fisheries sub-sectors present an enormous potential that we have been unable to exploit fully. Government will support improved management and commercialisation of livestock and fisheries sub-sectors in zones with high potential. A support system for breeding animals, fish fingerlings, inputs and market services for livestock and fisheries will support livestock and restocking and improved access to animal draft power. Zambia must be a major exporter of livestock in the region. My Government, therefore, will create disease-free zones for export of livestock and livestock products.

Mr Speaker, with regard to research and extension, my Government notes that, these should continue to be relevant to a commercially oriented agricultural sector. Our researchers will be supported to develop technology that is directly relevant for increased productivity in basic food crops, cash crops and industrial crops. They should also develop appropriate technology in irrigation, farm power and mechanisation, livestock and sustainable land management.

Mr Speaker, in concluding my vision on agriculture I would like to highlight and emphasize the six issues that I have raised.

1. Registration and licensing of farmers and traders will ensure good planning and targeting.

2. Market centres will reduce transaction costs

3. A more focused crop marketing authority will stabilise food and reduce prices.

4. A strengthened input delivery system will ensure all year round supply.

5. The programmes to graduate peasant and small-scale farmers into mainstream commercial farming will rejuvenate their efforts.

6. The use of cooperatives and farmer associations as the thrust for government intervention will rationalise targeting and service delivery.

All these and other interventions I have mentioned earlier will result in realising our aspirations of making agriculture the centre-stage of our economic development, engine for economic growth, employment generation and poverty reduction.

I now appeal to you my fellow politicians, Government Institutions and farmers, the private sector, non-governmental organisations and cooperating partners to support the implementation of the proposed measures. I am ver confident that the above proposals are essential for stimulating the agricultural sector in line with the growth objectives of the poverty reduction strategy.

Poverty

Mr Speaker, poverty has risen to unprecedented levels over the years, thus limiting the ability of our people, individually and collectively, to realise their full potential. Current data show that about eighty (80) percent of our people are afflicted by poverty. This is a very high rate of prevalence which should not be allowed to continue.

Mr Speaker, in addressing the problem of poverty, we cannot ignore the issue of street kids. The phenomenon of street kids is a manifestation of economic hardships the country is going through. My administration will endeavour to address this problem with vigour.

In this regard, government will strive to implement programmmes that provide empowerment and opportunities to our people so that they can fend for themselves and their families. The thrust of Government in this area, therefore, will focus on stimulating and mobilising the people to participate in a whole range of programmmes and hence extricate themselves from the grip of poverty.

Mr. Speaker, the Government is aware that the poor are not a homogeneous group and a uniform approach cannot work. For this reason, we will implement the poverty reduction programmes and activities through a targeted interventions approach.

Accordingly, programmes such as micro-credit, training for women’s development groups and promotion of handicrafts for the economically active poor will run side by side with social safety nets. For the most vulnerable including the destitute, the elderly, the terminally ill, orphans and vulnerable children and persons with disabilities, Government will continue to provide public welfare assistance.

Commerce, Trade and Industry

Mr. Speaker, in my inaugural speech I said that in the new deal we shall be committed to protect and promote Zambian’s national interests.

We just mean that Mr Speaker.

This is really a national concern. We have to look critically on how we can promote the interests of local investors.

We have done a lot and focussed on encouraging foreign investments. The enabling environment for them is here. We should perhaps now turn our attention equally to encourage local investors and propel them to prosperity. The risks foreign investors face are the same as those met by local investors. Mr Speaker, I am not sure what incentives would be given to Zambian investors in certain countries abroad. We should devote equal time, if not more to what we do to our people. May be we may see improvements in employment, labour relations, wages and other conditions of service.

Mr Speaker, let me not be misunderstood, what I am merely saying is that we need both foreign investment and local investment. What we have done for foreign investment even in form of legislation, is there for every one to see. But it will not do if we do not provide similar legislation and incentives for the local and indigenous investor.

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

The President: The manufacturing sector faces a number of constraints. These include the narrow export base, unfair competition arising from smuggling and export subsidies in some trading partners’ economies, depressed domestic demand, lack of effective long term capital, high cost of utilities like fuel and electricity and poor infrastructure.

Mr Speaker, my administration will endeavour to develop a dynamic, competitive and environmentally sustainable industrial sector in both urban and rural areas as a means to reducing poverty through sustained economic growth and employment creation. Incentives will be key in revitalising and making it more competitive. Fiscal and no-fiscal incentives will be provided in order to attract new investment and exports. The Export Processing Zones and the Tax Free Zones are just some of the means to offer the much needed incentives. The implementation of the Export Processing Zones will commence this year. I, therefore, wish to call upon both domestic and foreign investors to exploit those incentives being provided. We shall also promote stand-alone export processing facilities. I would also like to encourage our local authorities to quickly facilitate the allocation of land for the setting up of Export Processing Zones and Industrial Estates.

As a country, it is a known fact that we have access to many markets for our products. Over and above the domestic market, Zambian products have preferential access into COMESA and SADC countries. Preferential access is also available to the European Union, lately under the everything but arms (EBA) initiative and to the United States of America under the African Growth Opportunity Act (AGOA). Therefore, as a Government, we shall devise a comprehensive strategy to ensure that producers, manufacturers and farmers take maximum advantage of the export opportunities available.

Mr Speaker, significant progress has been made with regard to structural reforms. Through the Privatisation and Parastatal Sector Reform Programme, Government has managed to transfer the larger part of public investment to the private sector. More importantly, Mr Speaker, with the completion of the privatisation of major assets of ZCCM, the structure of the Zambian Economy has been transformed from a largely state controlled one to a market-oriented private sector driven economy.

As a country we have learnt many lessons from the privatisation programme, both positive and negative. These lessons necessitate that we intensify the monitoring of the privatised companies. It is through monitoring that we can ensure that the new owners of privatised companies adhere to the conditions in the sale and development agreements.

Government recognizes that participation of Zambians in the privatisation programme is the basis for sustainable growth. Government will, therefore, continue to encourage Zambians to participate fully in the privatisation programme. There are still significant numbers of privatised companies that have some of their shareholding reserved for flotation in the future once they attain a certain level of profitability. The flotation will also depend on the improvement of the liquidity position of the stock market. We shall further explore innovative ways of achieving domestic capital participation in the state- owned enterprises so that our objectives are fully attained.

While the privatisation process is on-going, public and parastatal sector officials must realize that Government interests are protected. It is critical to run these companies commercially and effectively so as to improve Government’s return on investment and supplement the Government’s financial requirement.

The Government will continue to support and foster the culture of competition in the market place. The competition law and policy is important at our stage of economic development as it allows the country to create conditions that are conducive to the enhancement of productivity. Additionally, abuse of dominant positions by large companies is restricted. It is also an important element of a successful industrial strategy as it opens up markets and places appropriate pressures on producers to become more efficient. Lastly, it enhances a country’s credibility as a stable and predictable environment in which to conduct business.

The Mining Sector

Mr Speaker, I would like to take this opportunity to inform the House on the predicament that we find ourselves in with regard to Konkola Copper Mines (KCM). On 24th January, 2002, Anglo American Corporation, informed the Zambian Government that the shareholders of that corporation had decided not to fund Konkola Copper Mines (KCM) beyond the commitments they had previously made. This actually meant that there were funds left to run and thereafter a different set of options had to be faced. The options given to us were as follows:

Firstly, we should find a third buyer who would take over KCM on-going concern basis;

Second was for KCM to hand over the mine to the Zambian Government,

Third was Government to find concession funding from parties in order to continue operating; and

Lastly, it was suggested that the mine be closed.

On studying these operations, Government immediately informed the Anglo American Corporation that the last option of closing the mines would not be entertained under any circumstances. The corporation was informed that the purpose of privatisation ZCCM in the year 2000 was not to hand over the mine so that it could be closed down with undesirable and far-reaching consequences to the Zambian economy. The corporation was further informed that Government would not accept the implied massive loss of jobs, the devastation caused on the foreign exchange window and the consequential effects on all the operating companies on the Copperbelt including the mining companies in the province. It was, therefore, imperative that a more accommodating solution is perceived.

On the realisation that concession funding would not be easy to realise, the Government embarked on the creation of a task force with broad representation of public and private sector to address the issue of how to continue with the operations of KCM. The task force has made an interim report suggesting separation of Konkola Deep Copper Project (KCDM) from the operations of KCM. It has further suggested a deeper study on the technical, financial and legal aspect of the Anglo American withdrawal from KCM. Government with the support of co-operating partners is working on these aspects.

Mr Speaker, the decision by Anglo American Corporation to withdraw further investment in KCM has put Zambia and all the lives of Zambians at risk. It is, therefore, not the time to start pointing fingers at each other but rather to work together to ensure that a lasting solution is found. I am confident, Mr Speaker, that a solution is not far off. A number of well-wishers with capacity in the mining area from the rest of the world are coming out indicating to us how best to keep KCM alive. A number of financial institutions have also indicated their willingness to support the Zambian efforts in preserving this asset intact.

Let me now turn to the mining sector, generally. As one of its key objectives, Government shall promote private sector initiative in the development of new mines in order to increase and diversify mineral and mineral-based products and exports. It shall play a facilitative role to enable the private sector invest. To this end, emphasis shall be on enhancing capacity to provide geological, geophysical and geochemical data based covering the whole country has been updated and upgraded.

With the support of our co-operating partners, Government has put in place a
mechanism for the orderly development and enhanced competitiveness of the small-scale mining sector. The sector’s export earning potential will be strengthened and thus create employment in rural areas as well as contribute to poverty reduction.

Mr Speaker, it is encouraging to note that leading international mining companies are actively engaged in exploration in and around the Copperbelt and in other parts of the country. The minerals being searched for include copper, cobalt, gemstone, precious metals, zinc, nickel, lead, uranium and other minerals. These exploration activities have revealed enormous potential for new mines to be developed in Zambia.

In order to achieve long term sustainable growth, the diversification of the mining industry will be directed at the exploration of the very diverse range of metal deposits industrial minerals, gemstones and energy resources that are widespread in Zambia. With the opening of new mines and recapitalisation of the existing major mining entities, production is expected to be sustained at current levels in the short-term and assume upward trends in the long-run.

Tourism, Environment and Natural Resources

Mr Speaker, there is no doubt in my mind that if fully exploited, the tourism sector can serve as a major contributor to economic growth and development. Zambia has considerable untapped natural resources for tourism development that include abundant wildlife, rich cultural and natural heritage sites, abundant water resources and above all, peace and tranquility. Government is determined to realise the benefits associated with tourism.

We are now witnessing a lot of interest in the tourism industry. New investments have been attracted and jobs are being created. Whilst we take pride that the tourism industry is showing signs of revival, I am concerned with the low level of Zambian participation. Tourism is associated with minimal capital investments. This should be an area in which we can make substantial local participation.

Mr Speaker, the Government has made significant progress to address the five major environmental issues with the greatest social costs to the country. These are deforestation, water pollution and inadequate sanitation, soil degradation, air pollution in copper mining towns and wildlife depletion. Strategies and actions to address these issues have been identified and are under implementation.

In preserving the country’s biological resources, Government will embark on implementing the natural bio-diversity strategy and action plan approved last year. This plan forms Zambia’s response to the obligations spelt out in the convention on bio-diversity which Zambia became party to in 1993.

On the whole as a way of tackling environmental challenges of the new millennium, priority will be placed on developing a natural environmental policy for the country. The policy will aspire to harmonise all national policies relating to or having a bearing on the management of environment and natural resources. This would entail a comprehensive review of sector legislation in order to provide for new principles and approaches.

Energy

Mr Speaker, in the energy sector, efforts will continue to be directed at ensuring that the provision and supply of energy in all its various forms is managed in the most efficient and cost-effective manner. Government is further determined to promote private sector participation in the energy sector in order to supplement Government efforts. We will also continue with the policy of increasing accessibility by accelerating the pace of electrification so that the number of Zambians with access to electricity increases. In this respect, management of the Rural Electrification Fund shall be improved in order to enhance the Rural Electrification Programme.

Hon. Members: Hear, hear!

The President: This programme is important to our desire to take development to the rural areas. Provision of electricity means that we empower rural people to participate in new technology: they are enabled to engage in irrigation domestic lighting, electric hammer mills and, above all, it facilitates our desire to introduce television to all parts of Zambia.

Hon. Members: Hear, hear!

Science and Technology

The President: Mr Speaker, in our quest for achieving sustainable growth and development, we cannot afford to ignore or sideline the development of science and technology. This faculty is a catalyst in the exploitation of available resources. Therefore, as a Government, our policy aims at promoting and exploiting Science and Technology as an instrument for developing an environmentally friendly indigenous technological capacity. This will help to improve the quality of life of our people.

To this effect, this year, the National Technology Business Centre and the National Remote Sensing Centre will become operational. The Technology Business Centre will promote and facilitate technology transfer in order to foster the growth of the small and medium industry in the country.

The Remote Sensing Centre will promote the application of space science and technology in areas such as agriculture, resource management, town and country planning, and weather forecasting. This will, indeed, help us exploiting our rich natural resources for the benefit of our people.

Government will also, in 2002, examine the feasibility of establishing a training centre for gemstone processing. This centre will train gemstone miners in adding value to the stones instead of exporting them in raw in raw form. This should be able to create more employment and earn more foreign exchange for the country.

Mr Speaker, you may wish to note that science and technology is already playing a big role in our society. A few examples are the sterilised biological tissue grafts from pig skins used in treatment of burns on people, and the fortification of foodstuff where fortification of maize meal with Vitamin A and other micro-nutrients is to be adopted by milling firms.

Government is also fully committed to apply indigenous knowledge and practice in the areas of medicine, food preservation, farming methods and construction. The idea is to assess the technologies to see how they can be improved upon and then commercialised within the local communities. Already, the study of some traditional botanical knowledge has been documented into an inventory of plants with pesticidal, repellant and medicinal properties.

Transport

Mr Speaker, we have to accept that geography has put us at a disadvantage in the global economy. But with determination, we shall be able to transform a disadvantage into an advantage. The economic and social life of people depends, to a large extent, on the condition of their transportation system. Government will continue implementing the ROADSIP and the comprehensive and co-ordinated road construction and maintenance programme. Weigh bridges will be introduced at borders and other strategic points to ensure that overweight trucks are kept off Zambian roads to minimise damage. We will also continue with the road maintenance initiative and build capacity of Local Authorities to enable them oversee programmes funded through the National Roads Board. Local communities will be encouraged to participate in the maintenance of roads and road signs in their communities. I would like to see an increased number of Zambian companies and contractors participating in road construction and maintenance programmes.

Hon. Member: Hear, hear!

The President: In this respect, I would like to see that preference is given to locally based contractors and to those who employ labour-based methods so as to create jobs and enhance livelihoods of our people.

Mr Speaker, no part of Zambia should feel isolated from the rest of the country. I, therefore, would like to see priority given to all major roads linking the provinces to the capital city in order to facilitate speedy and efficient movement of people and goods. Alongside these efforts, the relevant authorities will ensure that road safety standards are raised to guarantee the safety of the travelling public. Traffic laws should, therefore, be vigorously enforced. The quality of public buses should be maintained at high standards to ensure comfort and safety of passengers.

Mr Speaker, in order for us to sustain this very important programme of rehabilitating our road network, fuel levy will continue being a major source of funding. However, we shall examine alternative means of fund-raising for road construction and maintenance such as, for example, introduction of tolls on roads and weigh bridges at border and other strategic points. Weigh bridges, culverts and feeder roads will continue being rehabilitated through funding under HIPC, the National Treasury too will continue to source funds for required rehabilitation works on our major roads and for construction of new roads.

Mr Speaker, the present state and future development of Zambia’s economy is dependent on a multi-modal transportation system, especially road, railways, air and waterways. In the recent past, however, there has been a downward slide of rail transportation due to lack of investment in the rail sub-sector in the areas of maintenance and replacement of the rolling stock and the rail track. As a result, the railways have not contributed significantly to bulk transportation.

In order to revitalise railway infrastructure, Government shall focus on facilitating private sector participation. This will be done through concessions and joint ventures, in the management and provision of railway infrastructure and operations in order to improve the viability of railways. Coupled with this, Government shall review the regulatory structure in order to facilitate appropriate concessioning of the railways. In addition, we shall apply the “user pays principle” in the provision and maintenance of railway infrastructure.

Mr Speaker, air transport infrastructure too is being and will continue to be addressed. You are aware that since 1991, the Government has pursued a policy of liberalising the economy. Air transport has not been an exception. Liberalisation of the civil aviation industry has resulted in the formation of private local airlines. Indeed there has been slow growth in the industry but that can be attributed particularly to the unattractiveness of the Zambian market caused mainly by poor infrastructure, namely, airports, aerodromes and terminal buildings.

Government will embark on a comprehensive rehabilitation programme of airports and aerodromes. We shall also ensure that provincial airports are developed to international standards to encourage usage. In addition, we shall pursue legal and institutional reforms aimed at revamping the civil aviation industry so as to meet the challenges of a liberalised environment.

Mr Speaker, inland waterways transport plays a vital role, especially in those areas that are inaccessible by other modes of transport other than water transport. In this regard, we shall explore ways of utilising the abundant masses of water that are available in our country in form of canals, rivers and lakes.

Telecommunication

Many strides have been made in the provision of telephones and telefax services over the last decade. The Government intends to intensify this and we will encourage providers of these services to reach rural or less serviced areas and farmsteads so as to facilitate speedy and efficient communications with the urban areas. This is essential to boost marketing, business and social interaction.

Social Sector

Mr Speaker, we are all aware of the difficulties the social sector has continued to face in our country. In recognising this fact, Government acknowledges the adverse impact which the austere macro-economic policies have had on the general public. We shall endeavour to change the situation for the better.

Education

Mr Speaker, it has long been recognised that the greatest asset of any country is its people. An educated people is the leading force in the overall development of the country. Education is a basic human right for each individual in society. It also holds the key to the reduction of poverty and prevention of HIV/AIDS, the two problems that overshadow all other problems in Zambia today.

At present Zambia is facing two major challenges in this sector, namely, access to education at all levels and quality of education. Under the theme of continuity with change, my administration is determined to meet these challenges.

At basic education level, implementation of Basic Education Sub-Sector Investment Programme (BESSIP), whose objectives are increasing access and improving learning achievement will continue. The programme will now be extended to Grades Eight (8) and Nine (9). Specifically, and as a matter of priority, Government will implement free education for Grades one (1) up to Seven (7) …

Hon. Members: Hear, hear!

The President: … and give all Basic Schools grants towards purchase of school requisites. For Grades Eight (8) and Nine (9), bursaries for vulnerable children will be provided specifically to cater for uniforms, school fees and other related costs. Furthermore, the Government will deploy newly trained teachers to rural areas which in the past have not been fully staffed.

Mr Speaker, at secondary school level, the Government is anxiously making efforts to find funds to enable us to continue with the rehabilitation of schools and teacher-training colleges which started in 2001 under the HIPC Initiative. Under this programme, school laboratories will be renovated and equipped to enhance the teaching of science. Water and sanitation facilities, classrooms and teachers’ houses will also be rehabilitated. In addition pupils’ textbooks and teachers’ guides in all subjects will also be supplied.

One of the Government’s area of emphasis in the provision of education services, and which will be given even more attention in the new deal, is the promotion of equity between boys and girls. Under the Programme for Advancement of Girl Education (PAGE), we shall seek to further improve the retention, participation and performance of the girl-child in education.

At university level, our two universities have had no chancellors for quite a long time. I will soon be making appointment of prominent but competent personalities in these positions.

Hon. Members: Hear, hear!

The President: We shall soon appoint university councils to ensure effective operations of the universities. Particular attention will also be paid to the rehabilitation of infrastructure such as lecture theatre laboratories and student hostels which are dilapidated. The backlog of university retirees and retrenchees will be paid off so that the available resources are ploughed into academic programmes.

Universities which are the highest institutions of learning in the land have been losing lecturers to the private sector and to other countries at an alarming rate. We must stem this brain drain. The Government is, therefore, considering the issue of the conditions of service for the university lecturers and support staff to see if this is the primary cause and take measures which mitigates this development.

Mr Speaker, plans to open a third university will be pursued with vigour. In the meantime, I would like to urge the two universities to expand their evening classes and part-time programmes and take any measures necessary to increase access to university education.These measures will not succeed if the frequent closures of the universities as a result of volatile situations from time to time continue. I, therefore, urge the Ministry of Education, the administrations of these institutions, the student bodies and other stakeholders to put their heads together to resolve any problems. University closure should be a very last resort and I want us to eradicate this costly tendency.

Hon. Members: Hear, hear!

The President: I also appeal to my colleagues in the political arena to desist from using students in our battles.

Interruptions.

The President: Surely, how can you morally justify a situation in which you send your own children abroad from school and then at home instigate instability in colleges and universities which necessitates closure and unneccessary delays of other peoples children to finish studies?

Interruptions.

The President: Under the New Deal, we shall improve the quality of teaching service in our colleges and universities but we also want to make academic programmes predictable.

Mr Speaker, education has no end. I sometimes wonder when people stand on anti hills and proclaim that they qualify to do this and that because they are highly qualified. A human mind has no limit to what it can stretch itself in learning. In civil service we have decided to re-introduce entry and up-grading examination so that people can continuously improve on their academic and professional qualifications. It is in this regard that in our MMD Manifesto, we stated that we were to re-introduce night schools. My administration will do just that.

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

Health

The President: Mr Speaker, Malaria, has for a long time now, caused great concern for the health sector. It has been the leading cause of morbidity and mortality being experienced in our communities. Following the declaration in support of roll-back Malaria, Government established a Malaria Task Force to coordinate a multi-sectoral response to this problem. In addition to that, Government has strengthened community involvement through training of community health workers throughout the country. These measures will continue.

The fight against Malaria and other diseases in general, and the implementation of the health reforms in particular have suffered serious set-backs mainly as a result of the shortage of financial resources. In this regard, following the introduction of cost sharing in the sector, measures have been taken to protect the vulnerable groups and ensure that they have access to health facilities.

Under the public welfare assistance scheme, for instance, funds are set aside to cover health costs for the poor and vulnerable in health institutions. Further, Government has put in place measures to exempt under-fives and those over 65 from paying for health services. However, due to certain factors, the system has not worked very well and, under the New Deal, measures will be taken to strengthen the existing scheme in order to ensure that our people in these categories have free access to health services.

Mr Speaker, Government has been concerned with the poor state of medical equipment in our health facilities. To address the situation, Government signed an agreement for the supply and rehabilitation of diagnostic equipment for the next seven (7) years. In addition, the Ministry of Health is currently developing a capital fund within the framework of pooled funding mechanisms. Government and our co-operating partners will contribute resources into the fund which will be used to procure capital equipment for all levels of health care.

HIV/AIDS

Mr Speaker, the HIV/AIDS scourge has continued to take away many of our people in the productive age groups, thus impacting negatively on our overall national development efforts and threatening the country’s prospects for sustained growth. Apart from its negative impact on the country’s labour force, it has created a high number of orphans many of whom have no means of looking after themselves. Consequently, we have many child-headed households and street kids, a situation which is not conducive to national development because it exerts additional pressures on Government through the provision of support to such vulnerable groups. While Government will continue with these intervention programmes, I wish to pay tribute to the Non-Governmental Organisations, (NGOs), that are involved in resolving some of these problems. Please continue with the good work.

Hon. Opposition Members: Hear, hear!

Mr Speaker, in our multi-sectoral approach in the fight against this scourge, Government will encourage research in traditional and other medicines. Researchers, therefore, will be encouraged to play their role through the National HIV/AIDS/STD/TB Council which has been created to coordinate the national effort to fight the pandemic.

While research measures will be on-going in this sphere, the relevant authorities must ensure that anti-retroviral medicines are brought into the country to help abate the suffering of those already infected.

Mr Speaker, the responsibility for prevention and control of HIV/AIDS is not for Government alone. All the citizens should take the challenge to stop the spread of this deadly disease.

Regional Cooperation and International Relations

Mr Speaker, I wish to assure this august House that Government will not only maintain and enhance the existing close bilateral and multilateral relations with our cooperating partners but also forge new links with the rest of the international community.

Zambia’s task of presiding over the Organisation of African Unity (OAU) during its transition to the African Union, coupled with the SADC mandate of being the overall coordinator of the peace process in the Democratic Republic of Congo (DRC), entails playing a pivotal role in international relations.

As the current Chairman of the OAU, Zambia will ensure that there is a smooth transition to the African Union by giving the required guidance. Thereafter, as an ordinary member State of the Organisation, we will be actively engaged in the activities of the Union to realise the goal of capacity of Local Authorities to enable them oversee programmes funded through the national Roads Board. Local communities will be encouraged to participate in the maintenance of roads and road signs in their communities. I would like to see an increased number of Zambian companies and contractors participating in road construction and maintenance programmes.

Hon. Member: Hear, hear!

Mr speaker, in order for us to sustain this very important programme of rehabilitating our road network, fuel levy will continue being a major source of funding. However, we shall examine alternative means of fund-raising for road construction and maintenance. For example, introduction of tolls on roads and weigh bridges at border and other strategic points. Weigh bridges, culverts and feeder roads will continue being rehabilitated through funding under HIPC, the National Treasury too will continue to source funds for required rehabilitation works on our major roads and for construction of new roads.

Mr Speaker, the present state and future development of Zambia’s economy is dependent on a multi-modal transportation system especially road, railways, air and waterways. In the recent past, however, there has been a downward slide of rail transportation due to lack of investment in the rail sub-sector in the areas of maintenance and replacement of the rolling stock and the rail track. As a result, the railways have not contributed significantly to bulk transportation.

In order to revitalise railway infrastructure, government shall focus on facilitating private sector participation. This will be done through concessions and joint ventures, in the management and provision of railway infrastructure and operations in order to improve the viability of railways. Coupled with this, government shall review the regulatory structure in order to facilitate appropriate concessioning of the railways. In addition, we shall apply the “user pays principle” in the provision and maintenance of railway infrastructure.

Mr Speaker, air transport infrastructure too is being and will continue to be addressed. You are aware that since 1991, the government has pursued a policy of liberalising the economy. Air transport has not been an exception. Liberalisation of the civil aviation industry has resulted in the formation of private local airlines. Indeed there has been slow growth in the industry but that can be attributed particularly to the unattractiveness of the Zambian market caused mainly by poor infrastructure, namely, airports, aerodromes and terminal buildings.

Mr Speaker, inland waterways transport plays a vital role especially in those areas that are inaccessible by other modes of transport other than water transport. In this regard, we shall explore ways of utilising the abundant masses of water that are available in our country in form of canals, rivers and lakes.

Telecommunication

Many strides have been made in the provision of telephones and telefax services over the last decade. The Government intends to intensify this and we will encourage providers of these services to reach rural or less serviced areas and farm steads so as to facilitate speedy and efficient communications with the urban areas. This is essential to boost marketing, business and social interaction.

Social Sector

Mr Speaker, we are all aware of the difficulties the social sector has continued to face in our country. In recognising this fact, Government acknowledges the adverse impact which the Austere Macro-Economic Policies have had on the general public. We shall endeavour to change the situation for the better.

Education

At present Zambia is facing two major challenges in this sector namely, access to education at all levels and quality of education. Under the theme of continuity with change, my administration is determined to meet these challenges.

Hon. Members: Hear, hear!

The President: … and give all Basic Schools grants towards purchase of school requisites. For Grades Eight (8) and Nine (9), bursaries for vulnerable children will be provided specifically to cater for uniforms, school fees and other related costs. Furthermore, the Government will deploy newly trained teachers to rural schools which in the past have not been fully staffed.

Mr Speaker, at secondary school level the Government is anxiously making efforts to find funds to enable us to continue with the rehabilitation of schools and teacher-training colleges which started in 2001 under the HIPC Initiative. Under this programme, school laboratories will be renovated and equipped to enhance the teaching of science. Water and sanitation facilities, classrooms and teachers’ houses will also be rehabilitated. In addition pupils’ textbooks and teachers’ guides in all subjects will also be supplied.

At university level, our two universities have had no chancellors for quite a long time. I will soon be making appointment of prominent but competent personalities in these positions. We shall soon appoint university councils to ensure effective operations of the universities. Particular attention will also be paid to the rehabilitation of infrastructure such as lecture theatre laboratories and student hostels which are dilapidated. The backlog of university retirees and retrenchees will be paid off so that the available resources are ploughed into academic programmes.

Universities which are the highest institutions of learning in the land have been losing lecturers to the private sector and to other countries at an alarming rate. We must stem this brain drain. The Government is therefore considering the issue of the conditions of service for the university lecturers and support staff to see if this is the primary cause and take measures which mitigates this development.

These measures will not succeed if the frequent closures of the universities as a result of volatile situations from time to time continue. I, therefore, urge the Ministry of Education, the administrations of these institutions, the student bodies and other stakeholders to put their heads together to resolve any problems. University closure should be a very last resort and I want us to eradicate this costly tendency.

Interruptions.

The President: I also appeal to my colleagues in the political arena to desist from using students in our battles. Surely how can you morally justify a situation in which you send your own children abroad from school and then at home instigate instability in colleges and universities which necessitates closure and unneccessary delays of iother peoples children to finish studies?

Interruptions.

The President: Under the new deal we shall improve the quality of teaching service in our colleges and universities but we also want to make academic programmes predictable.

Mr Speaker, education has no end. I sometimes wonder when people stand on anti hills and proclaim that they qualify to do this and that because they are highly qualified. A human mind has no limit to what it can stretch itself in learning. In civil service we have decided to re-introduce entry and up-grading examination so that people can continously improve on their academic and professional qualifications. It is in this regard that in our MMD Manifesto we stated that we were to re-introduce night schools. My administration will do just that.

Health

Mr Speaker, Malaria, has for a long time now, caused great concern for the health sector. It has been the leading cause of morbidity and mortality being experienced in our communities. Following the declaration in support of roll-back Malaria, Government established a Malaria Task Force to coordinate a multi-sectoral response to this problem. In addition to that, Government has strengthened community involvement through training of community health workers throughout the country. These measures will continue.

The fight against Malaria and other diseases in general, and the implementation of the Health Reforms in particular have suffered serious set-backs mainly as a result of the shortage of financial resources. In this regard, following the introduction of cost sharing in the sector, measures have been taken to protect the vulnerable groups and ensure that they have access to health facilities.

Under the public welfare assistance scheme, for instance, funds are set aside to cover health costs for the poor and vulnerable in health institutions. Further, Government has put in place measures to exempt under-fives and those over 65 from paying for health services. However, due to certain factors, the system has not worked very well and, under the new deal, measures will be taken to strengthen the existing scheme in order to ensure that our people in these categories have free access to health services.

Mr Speaker, Government has been concerned with the poor state of medical equipment in our health facilities. To address the situation Government signed an agreement for the supply and rehabilitation of diagnostic equipment for the next seven (7) years. In addition, the Ministry of Health is currently developing a capital fund within the framework of pooled funding mechanisms. Government and our cooperating partners will contribute resources into the fund which will be used to procure capital equipment for all levels of health care.

HIV/AIDS

Mr Speaker, the HIV/AIDS scourge has continued to take away many of our people in the productive age groups, thus impacting negatively on our overall national development efforts and threatening the country’s prospects for sustained growth. Apart from its negative impact on the country’s labour force, it has created a high number of orphans many of whom have no means of looking after themselves. Consequently, we have many child-headed households and street kids, a situation which is not conducive to national development because it exerts additional pressures on Government through the provision of support to such vulnerable groups. While Government will continue with these intervention programmes, I wish to pay tribute to the Non-Governmental Organisations (NGOs) that are involved in resolving some of these problems. Please continue with the good work.

Mr Speaker, the responsibility for prevention and control of HIV/AIDS is not for Government alone. All the citizens should take the challenge to stop the spread of this deadly disease.

Regional Cooperation and International Relations

My Government recognises that no meaningful development can be achieved in Zambia without regional co-operation. The promotion of regional integration and development co-operation with other countries on the African continent will, therefore, remain a priority. In order to exploit the existing development co-operation and integration opportunities within the established mechanisms, we will continue to participate in various events at bilateral and multilateral levels.

Mr Speaker, Government believes that a standing bilateral arrangement provides a good framework for cementing relations. Accordingly, we will endeavour to enhance the operations of Joint Permanent Commissions of Co-operation.

Mr Speaker, the new African partnership for African Development, (NEPAD), which aims at fostering economic well being of our continent is considered to be a core element of the African Union and enjoys support of Africa’s co-operating partners. This initiative is in its infancy thereby giving us the opportunity to contribute ideas for its success. Apart from the aforementioned, Zambia will continue to play its role in COMESA and SADC and ensure that its citizens benefit from these regional organisations.

Mr Speaker, the defence force of the Republic of Zambia is tasked to protect the sovereignty and national security of the country and to safeguard the national’s assets. This is a very heavy responsibility we have placed in the hands of the men and women in uniform but it is gratifying to observe that they have a good track record both domestically and internationally. Over and above, its core responsibility, our Defence Force has performed diligently in diverse national duties of providing assistance to civil society.

Instability in some neighbouring countries has caused disturbances along some parts of our borders. Through our non-aggressive defence policy, we have prevented the importation into our country of raging conflicts that ravage these countries. Clearly,the good governance of the defence force needs to continue and Government will endeavour to provide the necessary logistical and other support needed for further improvement of their performance.

Mr Speaker, I pointed out in my inaugural speech that we will continue to pursue the policy of peace, friendship and good neighbourliness. Zambia’s resolve to respect the independence and sovereignty of other African countries in accordance with the OAU’s ‘Red Card Principle’ still stands. Furthermore, we shall respect the territorial integrity of all our neighbours and in all this we expect the international principle of reciprocity to be practised by the other countries.

The House would be pleased to learn that my Government will maintain the operations of Joint Permanent Commissions on Defence and Security and other regional initiatives as a diplomatic means of resolving potential conflict situations. Our men and women in uniform will, however, continue to vigilantly man our borders in order to contain any possible external situations.

Mr Speaker, in addition to fulfiling its obligations in conflict prevention, resolution and management in Africa, Government will strive to add new impetus to current mechanisms that are failing to achieve the intended objectives. In this regard, we will call on the international community to supplement our efforts in finding lasting solutions to the various conflicts in Africa.

This House will agree that relative peace if achieved in countries such as Angola and the Democratic Republic of Congo will contribute to the achievement of border security of our nation, assist the affected countries to develop and lighten Zambia’s task of looking after refugees. In the meantime, we will appreciate international support for the many refugees fleeing into Zambia.

As a member of the United Nations system, Zambia has participated and shall continue to contribute to the UN peace-keeping operations. We view this as a clear demonstration of our commitment to world peace. It is for this reason that we have sent troops to Ethiopia, Angola, Eritrea, the DRC, Kosovo and Sierra Leone.

Mr Speaker, Zambia will be an active participant in multilateral diplomacy. It is the intention of this Government to particularly play a prominent role in the United Nations, the Commonwealth of Nations, the Non-aligned Movement and the Africa, Caribbean and Pacific Countries Organisation. Most of these organisations are undergoing significant changes such as institutional reforms in the UN and review of the role of the Commonwealth in the 21st Century. These changes are intended to revitalise the efficiency and effectiveness of the organisation’s delivery of their services to the international community. We will keep abreast and contribute towards these developments.

Government will also pursue economic and technical co-operation in its diplomatic interaction. It is our intention to take stock of all agreements signed with our co-operating partners so that we can review them, where possible, and strengthen co-operation. Some of the agreements signed in the past may not be appropriate for the new world order, which is driven by the forces of globalisation. In this regard, I urge all the functionaries to monitor developments in the world economy so that we take advantage of opportunities that will sustain development in Zambia.

Mr Speaker, the House is aware of the importance of debt cancellation and its potential to resuscitate fragile economies such as ours. My Government will, therefore, actively participate in advocating for debt cancellation through our interaction with the international community. I am pleased to observe that Zambia has benefited from debt cancellations by some of our co-operating partners. Allow me, on behalf of my Government and the people of Zambia, to thank these partners and appeal to those who have not done so yet, to do the same.

Hon. Members: Hear, hear!

The President: Mr Speaker, two major issues that undermine peace and international security cannot go without mention. Firstly, the Middle East crisis escalates in spite of the many efforts by the international community towards the search for an acceptable and lasting solution. It is our hope that the two sides will narrow their differences and move the peace process forward in accordance with existing agreements.

Secondly, terrorist attacks, the most severe in the recent past being the September 11, 2001 attack in the United States of America, have far-reaching implications for world peace. Zambia condemns such acts and supports the global efforts in the fight against terrorism.

Hon. Members: Hear, hear!

The President: Mr Speaker, since being sworn in, I have been reflecting seriously on several aspects of governance. The style which I bring in the New Deal is that Ministers will be allowed freedom to discharge their functions. As President, my role will be to supervise and provide guidance to all Ministers. State House will not be an extension of ministries …

Hon. Opposition Members: Hear, hear!

The President: … nor do I want to interfere unnecessarily in the running of ministries. I have faith and confidence in the men and women that I have mobilised to form Government. With the support of you, Mr Speaker and this august House, we shall work together and make a positive change on the living conditions of our people.

Mr Speaker, let just say a word or two about Non-Government Organisations, the NGOs. We appreciate very much the contributions he NGOs have made to Zambia. We value the work being done in various fields in our society and in different parts of the country.

Mr Speaker, here again, it is the wish of the Government to enter into dialogue with them. This is intended:

1.   to achieve co-ordination in the planning and implementation of their projects;
2.   to ensure there is also transparency in the management of the affairs of the NGOs; and
3.   to ensure accountability and inform the Zambian public through properly audited accounts of their contributions which they may have been making to the people of Zambia.

We would like to dispel the concerns we encountered as we went around the country that:

(a)   some NGOs do not hold elections for their executives. They are bamuyaya, in other words continue in perpetuity on posts as ‘Personal to Holder’ and that there is lack of good governance in the management of their affairs;
(b)   some spend more money on trips abroad or seminars and workshops than they actually spend on projects that benefit the people with actually nothing to show on the ground; and
(c)   some are said to have executives who buy themselves luxury cars, live in mansions in town, merely send false reports to their sponsors abroad, portraying what a good job they are doing for Zambia, and Zambians and yet nothing is really going on. When the sponsors come to Zambia they put them in an expensive hotel, they take them to a project or programme run by their spouses, relatives or friends. They write a short report on the computer and the sponsor goes back home satisfied on how the money is being spent.

Hon. Opposition Members: Hear, hear!

The President: Mr Speaker, as partner in our development efforts, we would like these concerns to be put aside. Government would like NGOs to join hands with us. After all, our constituency, ‘the people of Zambia’ is the same. Let us work together. We should co-ordinate our efforts to achieve maximum results. If we do not, we are bound to clash.

Mr Speaker, in conclusion, I would urge all Members of Parliament to work together to promote the interests of this nation. Many experts have told us that this nation is endowed with good soil, minerals, water, natural resources and manpower. Why then are we still poor?

Hon. Opposition Members: Answer!

The President: The answer really lies with us. It is up to us now to show a difference. This administration is offering the people of Zambia a New Deal. Please, join in this effort in peace and tranquility. Let us not rock the boat for selfish ends.

Hon. Opposition Members: Hear, hear!

The President: Our people now want to see change and progress. Let us deliver these to them. On my part and that of my administration, we promise to do whatever is necessary to achieve these goals for the Zambian people.

I thank you.

Hon. Members: Hear, hear!

The President left the Assembly Chamber.

Mr Speaker took the Chair.

__________

MOTIONS

ADJOURNMENT OF THE HOUSE

The Vice-President (Mr Kavindele): Mr Speaker, I beg to move that at its arising today, the House do adjourn until Tuesday, 26th February, 2002.

Mr Speaker, permit me at this moment on behalf of all hon. Members and indeed on my own behalf to congratulate His Excellency the President, Mr Levy Patrick Mwanawasa, State Counsel, for having delivered to this august House and indeed through this House to the whole nation a very resounding and important speech.

Hon. Members: Hear, hear!

Mr Kavindele: Mr Speaker, I am encouraged by the response of hon. Members of Parliament to His Excellency the President’s Speech.

Hon. Members: Hear, hear!

Mr Kavindele: It is important, therefore, that all hon. Members should study thoroughly the policy issues and the other guidelines contained in His Excellency the President’s Speech. You will also agree with me that his Speech has not only been brilliant and thought provoking, but also significant in that His Excellency the President has given this House and indeed the nation a great challenge to come up with tangible solutions to the social, economic and security problems that have beset our nation.

Sir, I propose that enough time be given to hon. Members of this House to study and reflect upon the speech and thereafter come back to give meaningful and constructive contributions during the debate on the Motion of Thanks to His Excellency’s Address. In this regard, the adjournment will assist not only the returning hon. Members to meticulously go through the speech, but also those who have been elected to this House for the first time to study not only His Excellency’s Speech, but the valuable materials you have provided to acquaint them with parliamentary procedures. It is in this light, Mr Speaker, that I commend this non-controversial motion to the House.

Mr Speaker, I beg to move.

Hon. Members: Hear, hear!

Mr Shepande (Nangoma): Mr Speaker, in seconding the motion of adjournment, I wish to just merely second the debate to come later.

Thank you, Sir.

Hon. Members: Hear, hear!

The Vice-President: Mr Speaker, I wish to thank the House for the unanimous support given to the motion and the President’s words of wisdom which have been thought-provoking.

Mr Speaker, I thank you.

Hon. Members: Hear, hear, !

Question put and agreed to.

ADJOURNMENT

The Vice-President: Mr Speaker, I beg to move that the House do now adjourn.

Question put and agreed to.

_________________

The House adjourned at 1238 hours until 1430 hours on Tuesday, 26th February, 2002.

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