The 32 kilometers Chingola-Kasumbalesa road which is the first deal that the New Dawn UPND administration has clinched after taking over government will not deliver the cost savings that were anticipated as the final cost per kilometer will also cost about US$1 million per kilometer.
The Ministry of Infrastructure development has disclosed following a concession agreement singed to design, finance, build and maintain the Chingola to Kasumbalesa road through a Public Private Partnership – PPP model will be done at a total cost of about US$31 million.
The total cost of US$31 million for 32km roads works out to about US$1 million per kilometer, a rate that was thought to have been exhorbitant. The Zambian government on 31st October signed ab 18 years concession agreement with a Chinese consortium Turbo Investment Consortia –TIC to design, finance, build and maintain the Chingola to Kasumbalesa road.
Mininister of infrastructure Charles Milupi said, the “government on 14 February 2022 received a proposal from private partnership for the design financing building operation maintenance and transfer of the 35 kilometeres of the T3 mining transportation channel of the Chingola Kasumbalesa on the Copperbelt province.”
“Following evaluation of the proposal and negotiations in line with the provisions of the private public partnership, act NO. 14 of 2009 and as amended, government agreed to enter into a concession agreement with the preferred bidder for execution on the design finance build maintain operate and transferee basis.” Milupi said.
He explained to the Zambian Business Times -ZBT – that the construction cost of the 3 kilometres concrete dual courage way leading into Kasumbalesa and the rehabilitation of approximately 32 kilometers of the Chingola Kasumbalesa road has been agreed at US$31,037,030.96 without taxes.
Milupi said the scope of works and notable features to be done on the project include rehabilitation and widening of 32km of the existing road with the cross section to be adopted shall comprise a 3.5 meter lane with a 2.5 shoulder 2 meters of which are paved and the point 5 meters is unpaved on the both side of the courage way affecting 12 meters.
He said the project also comprise the Construction of 3 kilometres concrete dual courage way in Kasumbalesa town and construction of 2 trucking areas and laybys for both north and south bound trucks.
“Others include the construction of lanes that will allow for accommodation of traffic during construction, repaving of the bridge, construction of 1 toll plaza and construction 1 type 2 weigh bridge with in motion weighing station in accordance to the SADC standards specifications which costs will be shared with government.” He said.
Milupi said the parties have agreed to a 18 year concession period with the construction period of 1 year but could not disclose when the concessionaire will begin to collect tolls or if the current toll rates would be maintained.
He however said Public infrastructure shall be at the right price quality and timeline adding that this was on the understanding that all the risks associated with funding mechanisms are to be bon by the concessionaire and could also not make mention of the quality.
He said the scope of work include, “a 32 kilometres from the section to be rehabilitee and 6 kilometers that’s the dual the last 3 kilometers to be dualised from the section in kasumbalesa. 14 kilometers worked out from the widening cross section is usually 6.8 meters comprising of 3.4 meter lanes. The adopted cross section for the project is 11 meters with 3.5 meters lane and 2 meters sealed shoulders which alone works out to be 21 kilometers compared to an ordinary road.”
Milupi mentioned that the 32 km is an asphalt road and the last 3 kilometres which will be dual courage way will be concrete. When averaged over 35km, the cost per kilometer comes to about US$885k. When in opposition, the UPND promised to negotiate roads contract cost to below US$500k per km.
“The agreement is on the understanding that all the risks associated with funding mechanisms will be bon by the concessionaire itself with no assistance from the government of the republic of Zambia.” He said.