MOPANI, CEC STANDOFF OVER

Thu, 31 Aug 2017 09:57:21 +0000

…AS PRESIDENT LUNGU MEETS CEC, GLENCORE DIRECTORS

By Oscar Malipenga and Charles Musonda

COPPEBELT Energy Corporation (CEC) has restored the full 250 watts of power to Mopani Copper Mines (MCM), following President Edgar Lungu’s intervention yesterday.

The move allows the giant mining company to resume full operations. Yesterday, the President met Glencore directors and CEC chief executive officer to discuss the situation at Mopani.

This came to light yesterday after a court sitting in Kabwe before Kitwe High Court Judge Timothy Katanekwa in a matter where MCM sued CEC for contempt of court for disobeying an injunction that compelled the power utility company to restore full power supply to Mopani.

CEC lead lawyer Elijah Banda told journalists in Kabwe yesterday that the two parties had reached an agreement after a deal brokered by other stakeholders.

“We have arrived at a settlement on various issues that were in contention. This settlement was facilitated by various stakeholders, including government, most importantly.

“Actual details on the new agreed tariffs are in a document but as lawyers we don’t have details. We have informed the court that the matter has been resolved based on that agreement. Consequently we will come before court on another date to record the fact and the details. I can confirm that the issues have been resolved,” Mr. Banda said.

Mr. Banda, who was assisted by lawyers Grace Kumwenda and Harrison Zulu, however said the MCM’s court actions against CEC had not been formally discontinued and the case would come up on September 8, 2017 in Kitwe.

Special assistant to the president for press and public relations Amos Chanda told the Daily Nation that the agreement which had been facilitated by Government was to be amicably concluded between MCM and CEC over an agreed period of six weeks.

Mr Chanda said during the same period, Mopani and Government would also conclude other outstanding matters on Value Added Tax (VAT) refunds and transfer pricing disputes.

He said Minister of Finance Felix Mutati, Energy Minister David Mabumba and Mines Minister Christopher Yaluma facilitated the Mopani-CEC talks that went on late into the night in Lusaka on August 29, 2017.

“Mopani will today (yesterday) inform labour unions that negotiations are taking place in good faith and therefore, there was no cause for panic.

“All other matters incidental to the power impasse will be addressed by Mopani management,” Mr Chanda said.

He said Glencore Limited directors, the owners of Mopani were represented by Mr. Telis Mistakidis who flew in from Geneva, whilst CEC was led by Chief Executive Officer Mr. Owen Silavwe.