Thu, 13 Apr 2017 09:46:55 +0000
By Jackson Mapapayi
CONSTRUCTION of a modern market, intercity bus station and Three Star Hotel in Solwezi district has taken a new twist with the contractor developing cold feet to execute works.
According to documents obtained by the Daily Nation, the three projects were costing about US$ 20,013, 765 and would have taken a period of two to three years to be completed.
Initially, the contractor Rotary Construction Zambia Limited Company would use its own funds to finance the projects as a loan facility to Solwezi municipal council and eventually recoup their investments through the proceeds made from the three projects when they were completed and operational.
This was premised on the undertaking of the Council guaranteeing the security of rates from Kalumbila mine and Lumwana at the time.
However, there is a shift in the way the project would be handled now that the anticipated rates are no longer available to Solwezi municipal council.
In view of this, a new contract has to be entered into with Solwezi council financing the project through a bank loan facility and his own cash revenues.
The contract would also be phased to enable the council meet the payments of the contractual sum of US$ 5,000,000.
And in the recently held council meeting, it was resolved that the Council would go for a US$ 5,000,000 scope of work project due to the current financial status.
Meanwhile, the Council is still grappling with the land stand number 922 belonging to the Zambia National Service (ZNS) where the market and bus station were supposed to be constructed.
ZNS is demanding for an alternative land of the same size and construct similar model of structures to what is obtaining on stand number 922.
