Chambishi Copper Smelter-'Don't Politicise K8.4 Billion Debt
21 June 2010
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MINISTRY of Local Government and Housing Deputy Minister Moses Muteteka has advised Kalulushi Municipal Council to stop politicising the K8.4 billion it is owed by Chambishi Copper Smelter (CCS) in property rates.
Mr Muteteka, who was reacting to council's decision to seize property from CCS, said other means of recovering the money should be found.
He, however, said the Government was depending on companies to support councils because their revenue base was weak.
"I must state here that all councils are direct babies of my ministry, which is Government, and there is no difference between the two.
"This is why as Government, we are trying to attach a business mindset to all councils to improve their revenue and this needs the support of every citizen," he said.
Mr Muteteka advised Kalulushi Municipal Council to meet urgently with CCS and discuss how the money would be recovered as seizing property was not a solution.
He said the Government would not interfere in the matter in any way but that it was there to provide guidance to both parties since they need each other in service provision.
"CCS must be able to put on the table how much it could afford to pay in installments, we know that it cannot afford to pay K8.4 billion at once because of the financial difficulties the company is facing, especially that it is just recovering from the economic downturn," Mr Muteteka said.
He appealed to other companies owing councils to commit themselves to reducing their debts by paying in installments.
He said while residents and companies were complaining of poor service delivery by the councils, they should bear in mind that the local authorities could only provide better services if they were paid their money.
When contacted for a comment, Kalulushi Town Clerk Maxwell Kabanda said the council shared Mr Muteteka's view not to politicize the matter.
Mr Kabanda said the council had also resolved to meet CCS management and discuss how the money would be recovered.
"So for now let us work in the background and stop talking about the issue," Mr Kabanda said.
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( Pierre Mac Orlan )
( Pierre Mac Orlan )