By NATION REPORTER
THE Inter-Africa Governance Network (AFRINET) has expressed confidence that the agreed deal between Government and Vedanta Resources Limited on Konkola Copper Mines (KCM) will have positive strides on the economy.
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AFRINET Executive Director, Maurice Malambo, is also expectant of positive strides that the deal would have on the Copperbelt economy.
Government on Tuesday announced that it had handed over KCM to Vedanta Resources Limited for continued operations.
Commenting on the development, Mr. Malambo said AFRINET was confident and expectant of the positive impact on both the Copperbelt and national economy the commitment of Vedanta Resources Limited to its investment expansion.
“This is through the capitalisation of Konkola Copper Mine to the tune of US$1 billion over a stretch of one year, US$220 million payment owed to contractors and suppliers, 20 percent salary increment to the employees across the board, the retention of 10, 000 direct workers and the US$20 million annual expenditure on Corporate Social Responsibility,” he said.
Following this deal, Mr. Malambo implored the relevant stakeholders to exercise patience, flexibility and industrial harmony towards the Zambia Consolidated Copper Mine Investment Holding (ZCCM-IH) and Vedanta Resources Limited as they collaborated.
He said they should be given time as they worked together in the actualisation of their individual commitment and obligation in returning KCM to full production.
“In this regard, AFRINET commends both the government administration of President Hakainde Hichilema and the collective management of Vedanta Resources Limited for the decision to resolve the standoff through an out of court settlement, the decision has saved time and resources on both parties.
“As such, going forward both the government and Vedanta Resources Limited have learnt some lessons regarding the need for mutual dialogue because out of this standoff, none of the parties has benefitted. On the contrary both have undeniably lost revenue,” Mr. Malambo said.
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