CEC DEFIES COURT ORDER

Thu, 17 Aug 2017 10:04:54 +0000

…AND DEFIES A COURT INJUNCTION ON RESTRAINING POWER SUPPLY TO MINES

By Bennie Mundando

COPPERBELT Energy Corporation (CEC) has defied  court order to restore power to Mopani Copper Mines, putting thousand of jobs on the line.

The court granted an exparte injunction restraining the power company from withdrawing supply to the mines.

However, CEC defied the order and reduced supply to Mopani and other mines.

According to a statement of claim filed in the Kitwe High Court, MCM wanted the court to make a declaratory order that the attempt by CEC to obtain tariff increment outside the process that was clearly outlined in the Power Supply Agreement (PSA) was null, void, and unlawful.

The mining firm also wanted CEC to pay damages for breach of contract arising from the manner CEC has attempted to obtain a tariff increment outside the process stipulated in the PSA entered into between the two companies and the injunction was granted.

But speaking to the Daily Nation yesterday, MCM public relations manager Nerbet Mulenga said the situation had remained the same despite a court injunction as CEC had continued restricting power supply to the mining company.

“The situation has remained the same. CEC has not restored power but has continued to restrict supply to the mine. We will let you know when and if there will be any change,” Mr. Mulenga said.

So far, Mopani Copper Mine (MCM) has sent its workers home after its power supply was reduced from 190 megawatts to a meagre 94 megawatts while Kansanshi mine is only getting 153 megawatts from its previous allocation of 187.

First Quantum (FQM’s) Kalumbila mine is also facing the same predicament as its power allocation has been reduced from 155 megawatts to 110 megawatts.

CEC has allegedly refused to reverse its decision despite MCM obtaining a court injunction against the move which has been described as illegal.

And the Mineworkers Union of Zambia (MUZ) has called for level-headedness among stakeholders in ending the impasse to prevent a repeat of the 2014 mass job losses from repeating itself due to their carelessness as jobs and national revenue collection were at stake.

MUZ president Chishimba Nkole said he expected a permanent solution to be found over the current stand-off before the mining company lays off workers, adding that all stakeholders stood to lose if the situation was left to go to extremes.

“Whenever such stand-offs come, the easiest thing to do is to sacrifice the workforce and so, we do not want the workers to be sacrificed and we expect all the stakeholders involved to manage the issue in the interest of the community, the workers, and the economy itself.

Three days ago, Energy Minister David Mabumba said no amount of blackmail will deter Government from implementing cost-reflective electricity tariffs and that mines should just pay but his comment was received with sharp reactions from stakeholders who called for his immediate resignation together with his Mines counterparty Christopher Yaluma for being careless and toying around with the economy.