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Sport

The Football Association of Zambia – FAZ has had its offices raided by the Drug Enforcement Commission – DEC in a sting operation that caught the Football Association by surprise.

The Drug Enforcement Commission is mandated with the responsibility of investigating both drug and money laundering activities.

FAZ informed its membership and stakeholders that its operations have been partially paralyzed following a raid by Drug Enforcement Commission (DEC) officers.

FAZ stated that the Drug Enforcement Commission officers descended on the institution and got away with a laptop and a CPU (server) from the office of the General Secretary Adrian Kashala and a desktop from his personal assistant.

In a statement made available to the Zambian Business Times- ZBT, FAZ Communications Manager Sydney  Mungala said officers from the Drug Enforcement Commission presented a search warrant looking for drugs and narcotics and other related substances.

But sources spoken to by ZBT have indicated that the FAZ Secretary General is being investigated on money laundering and funds related matters. DEC however is yet to issue its official statement on this developing matter.

FAZ stated that is however disturbed by the nature of the operations conducted by DEC especially that it has set the benchmark of conducting its business above board.

“As FAZ we wish to reiterate that we operate on an open door policy and remain available to whoever wishes to seek information within the law,” Mungala added.

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The Football Association of Zambia - FAZ

Tech

The Zambia Information and Communications Technology Authority – ZICTA is expected to identify a replacement player as the 4th Mobile Network Operator – MNO for Zambia following the failure by UZI to commence its operations.

Communications Minister Mutotwe Kafwaya disclosed to the Zambian Business Times – ZBT on June 11, 2020, that the decision to direct ZICTA to come up with an alternative willing player comes after UZI formally wrote to the Authority that they would not be entering the market following the expiry of their license.

The Minister said UZI had in May 2020 requested for further extension for a period of 120 days which was rejected by ZICTA adding that this is after the network provider kept pushing forward the date to launch its network and the last timeline given to them was end of May 2020.

Kafwaya has since assured Zambians that government remains open and committed to ensuring that there is enough competition in the telecommunication sector in particular and ICT sector in general. “It remains government’s policy to enhance competition in the ICT sector for the benefit of the Zambian people”, he told ZBT.

“It is in this regard that ZICTA will go back to the market to find another player and government will support the process to enhance competition and promote improved quality of services as well as lower the tariff for the benefit of the Zambian consumers,” He added.

In 2017, Cabinet approved a new licensing framework for the ICT sector which was aimed at promoting competition in the sector. Following Cabinet’s approval, the Ministry of Transport and Communications through ZICTA issued new licensing guidelines and invited proposals which culminated into issuance of a notification of wards to UZI Zambia in March 2018.

UZI was then requested to commence operation by March 2019, but in February 2019, the company requested ZICTA for an extension of the commencement date which was granted to them up-to November 2019.

The company again requested for further extensions in November 2019 on grounds that it preferred to roll out 5G as opposed to 4G for which the spectrum was allocated. ZICTA granted UZI’s request up to end of May 2020 on condition that UZI submits monthly progress reports to ZICTA to include the implementation date, update on contracts with vendors and updates of acquisition of equipment.

Then finally in May 2020, it became clear that despite the last and final extension given, as well as the challenges that the parent company UNITEL had gone through, UZI had failed to meet the obligations and the milestones set by the Authority. Their last ditch request for a further extension of 120 days in May 2020 was then rejected and their license has since been cancelled.

Zambia currently has only three mobile network operators that include a local unit of India’s Bharti Airtel, South Africa’s MTN and state owned Zamtel. The telco market in Zambia is largely a two horse race which analyst have said leads to lower levels of competition and makes its imperative for ZICTA to allow in more players.

To further enhance competition, ZICTA has been urged to introduce number porting were subscribers can switch to another network without the need to have their personal phone number changed, a service that is common in other markets.

As it stands now, MNOs are able to ‘lock in’ customers using phone numbers as switching requires customers to acquire a completely different phone number which acts as an artificial barrier. This has also led to some customers carrying two to three handsets at great inconvenience.

As for Zamtel, there has been calls to list the State owned MNO on the Lusaka Securities Exchange – LuSE to infuse a market orientation, enhance financial reporting and corporate governance as the company has struggled to post profits in a lucrative telco market, were its peers (Airtel and MTN) post back to back profits.

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The Zambia Information and Communications Technology Authority

Lifestyle

In a time where we are advised to stay home, people are in need of something new. Watching the same shows can be rather boring. Zambia is in need of a show that sees celebrities flexing their cooking skills to cook up something that can tickle your taste buds

Speaking during an exclusive interview with Zambian Business Times –ZBT House of cakes C.E.O Fazila Lulat says they have come with a brilliant initiative of hosting Zambia’s first ever cake bake show live on social media platforms.

“It’s the first time that we have done this so we want to see how this will work on social media platforms. So far we’ve had very good reviews. People are really getting excited about this. The first day when we put the opening one we had 12 thousand views”,

Lulat disclosed that they are not putting the whole show online and says the first day was a teaser to hook people’s attention that’s why they showed the 1 hour show online. But even though they are only showing bits of the show, they are still getting over a thousand views

The first day we did a full on 1 hour 30 minutes live show. But yesterday we didn’t do a full show because the first day was a teaser for everybody to see what’s coming up. Yesterday we only did small shot bits for people to have an idea of what’s coming. We are not putting the whole show every day online. Even though we had shot bits, we still had over thousand eight hundred viewers.

However she says that next week they will put up full episodes. When asked how house of cakes recruits the musicians, Lulat explained that most of celebrities are clients and inviting them was not a challenge.

“Most of these celebrities are our clients at house of cakes. So we sent them invitations if they were willing to participate and all these celebrities where happy to participate in the challenge”, she said.

The competition is a combination of professional and experienced bakers and they were enrolling when house of cakes announced the challenge two weeks ago. A celebrity is paired with a baker during the bake off.

“They are paired in twos. What we did is that people were enrolling when we put it up two weeks ago. It’s a mixture of bakers. One baker and one celebrity are paired together and every day two teams are challenged together”, she said

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In a time where we are advised

Companies

The Ministry of Energy has proceeded to implement the approved policy framework which supports an open Electricity Supply Industry (“open ESI”) that eliminates monopolistic tendencies.

The open ESI entails that neither ZESCO nor any other owner of Transmission or Distribution Infrastructure can claim exclusivity for their use as third parties will now be able to supply power across Zambia.

This move is intended to encourage participation of various players in the three key segments of the value chain, i.e. Generation, Transmission and Distribution and deliver the much needed efficiencies for the country. Wheeling charges in the new framework will be set by the Energy Regulation Board – ERB.

And ZESCO has since welcomed this competitive environment and the opportunity to prove that it can compete on a leveled playing field with the best competitors in the market.

According to information made available to the Zambian Business Times – ZBT, ZESCO Director for Strategy and Corporate Services Patrick Mwila said the future is brighter for the electricity trade if new entrants are free to setup a power plant, negotiate for direct supply with any willing consumer, negotiate for the wheeling of their power with owners of infrastructure on commercial terms across all transmission and distribution lines as long as capacity is available, and regardless of the ownership.

Mwila further stated that the agreement between ZESCO and Konkola Copper Mines – KCM is part of ZESCO’s long-term strategy of correcting imbalances in the power supply chain. He added that ZESCO is now in a position to compete for the supply of power directly to those mining consumers on the Copperbelt who are able and willing to enter into new commercial relationships.

“Supply to such consumers was previously the preserve of CEC, but with the lapse of the BSA, the consumers, ZESCO and CEC are free to buy and sell power from anywhere and supply to anyone as long as the terms are commercially competitive.

ZESCO also notes that under these circumstances, ZESCO’s traditional consumers may also be subject to competitive bids or solicitations from other potential suppliers, but we firmly support the new market framework and we are ready to prove that we can supply power more competitively than anyone else in the Southern African region,” He added.

Meanwhile, he said despite the company’s initial failure to finalize a new power supply agreement to replace the now expired BSA, ZESCO continues to make power available to CEC to allow it to continue supplying its consumers who have already contracted for power supply from CEC and to supply ZESCO’s existing consumers in the Copperbelt.

Mwila added that this is despite the fact that CEC continues to owe ZESCO millions of dollars in unpaid arrears under the recently expired Bulk Supply Agreement.

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The Ministry of Energy has proceeded to

Markets

Stockbrokers Zambia limited has warned that the recent developments between Copperbelt Energy Corporation – CEC and Konkola Copper Mines – KCM may have a material effect on the price of the Company’s securities and shareholders hence advised to exercise caution when dealing in the Company’s securities.

In a statement made available to the Zambian Business Times – ZBT, CEC company secretary Julia Chaila stated that the combination of these developments may have an effect on CEC’s securities and shareholders.

Chaila stated that “the CEC Board of Directors has since informed shareholders and the market that the Power Supply Agreement (“PSA”) between CEC and Konkola Copper Mines Plc – KCM came to an end on 31 March 2020 but was extended, through mutual agreement of the parties, to 31 May 2020. Consequently, effective 1 June 2020, there is no contractual basis upon which CEC can continue to supply electricity to KCM”.

Chaila further said that the market is further advised that KCM has accumulated a US$145 million debt to CEC in unpaid power charges representing twelve (12) months of consumption, which remained unresolved at expiry of the PSA.

“Further, on 29 May 2020, KCM notified CEC that they had signed a term sheet for power supply with ZESCO Limited (“ZESCO”). The same day, the Government of the Republic of Zambia issued Statutory Instrument No. 57 of 2020 declaring CEC transmission and distribution infrastructure as “Common Carrier” to enable ZESCO distribute or wheel power through the CEC infrastructure to supply KCM”.

“Subsequently, on 31 May 2020, the Energy Regulation Board – ERB set a wheeling tariff equivalent to about 30% of CEC’s current network tariff,” She added. CEC is listed on the Lusaka Securities exchange – LuSE.

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Stockbrokers Zambia limited has warned that the

Companies

The Zambezi River Authority – ZRA has confirmed that its rehabilitation works at the Kariba dam has been slowed down.

The River Authority has taken measures to mitigate against the risks associated with the Covid -19 pandemic on its major worksite, the Kariba Dam Rehabilitation Project site although it poses challenges in project implementation schedules.

The Authority is fully aware of the health risks associated with large projects like the Kariba Dam Rehabilitation Project (KDRP) which requires input from bi-national and international experts.

ZRA Chief Executive Eng. Munyaradzi Munodawafa says the US$294 million project has been classified as essential, therefore works continued at the project site with strict adherence to health guidelines from the World Health Organization and the Contracting States.

He disclosed that there is substantial human traffic around the KDRP site by local and international workers, contractors and service providers which include some staff who had traveled to their home countries on leave hence this has temporarily left some gaps in the smooth schedule of the operations.

According to information made available to the Zambian Business Times – ZBT on June 10, 2020 by ZRA Public Relations and Communications Manager Elizabeth Karonga, Munodawafa added that with the progressive easing of lockdowns under specified conditions, some of the affected team members have been quarantined and should return to the site soon.

Meanwhile, no cases of Covid – 19 have been recorded in the Kariba and Siavonga areas, hence the Authority has remained vigilant in adherence to statutory and corporate procedures on testing, isolation and working from home on a rotational basis.

“There is also a reduction of direct contact meetings like Joint Missions of experts and site visits, relying more on video conferencing. This is the only solution for now, although it poses challenges in project implementation schedules since the inspection visits are instrumental in guiding the works, “He said.

He added that a hand washing procedure and a temperature check at main entrance for all employees has been effected and transport movement times have been adjusted to reduce waiting time and minimize impact on work schedules.

Another area that is closely monitored is the transportation of employees to and from work site by reducing the number of occupants in vehicles during transportation.

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The Zambezi River Authority – ZRA has

Tech

For some years now, three mobile network operators have dominated the Zambian mobile network sector, Airtel, MTN and Zamtel. Zamtel is state owned and has struggled to be profitable, leaving this lucrative sector to practically be a two horse race between Airtel and MTN in Zambia.

The addition of a fourth mobile operator, Unitel’s Uzi was seen as inevitable, but this has gone horribly wrong. Though a big name brand and global telcos like Orange which has massive experience in Africa would have been better to bring in a healthy battle and deliver more innovative services and world class standards to benefit consumers, the ZICTA team opted for little know Unitel.

UZI license extension expired at the end of May 2020 and the Zambian Business Times – ZBT confirmed with ICT regulator ZICTA that indeed, there were no more extensions to be made. This is why the Consumer Unity and Trust Society (CUTS) has expressed its disappointed by the mobile network operator Unitel/ UZI’s failure to enter the Zambian market.

In a statement made available to Zambian Business Times – ZBT, CUTS researcher Aquila Ng’onga says the entry of the fourth telecommunication company would have brought up the much needed competition and would give consumers a fair price and more choice

“The entry of Unitel/Uzi Zambia into the mobile phone network sector would have been beneficial for consumers by providing them with choice, the possibility of better-quality voice and data service, and the setting of better price points”, he said.

Ng’onga says that in the wake of COVID-19, there has been an increase in digital and online platforms to maintain and promote social distancing and that majority of the consumers in Zambia access the internet through mobile phone services.

“Most consumers in Zambia (over 7 million) access internet through mobile broadband services via a mobile phones while only  less than 2.7 percent of Zambian consumers access internet through other means as fixed internet services”, he said.

He stated that this shows the importance of  having a third (non-state owned) mobile network operator to ensure that consumers get data at the best price and stressed that people make wise decisions during this time when we depend heavily on mobile network services.

“Our observations show that Airtel and MTN seem to have a similar pricing mechanism around their daily, weekly and monthly data bundles and are higher than Zamtel’s pricing for bundles”, according to CUTS.

In addition, he disclosed that the mobile network providers have several attractive promotions like Ikali, Cheza 4eva and Local Ni Laka offered by Airtel, Zamtel and MTN respectively, however he says that CUTS research reveals that Zamtel has more options in terms of 30 day bundles.

As we try to cope with the covid 19 pandemic, CUTS urges mobile network operators to reduce the data prices, zero rate relevant websites for educational purposes to support low-income households and consider to provide such offerings even beyond the pandemic period.

“We also urge the government, ZICTA as well as MNOs to take steps to addressing the digital divide by increasing access in rural areas in response to the low internet penetration rate that unfairly disadvantages learners, businesses and individuals located there”, he said.

UZI Zambia whose majority shareholder is Unitel International Holdings BV registered in the Netherlands secured a very competitive mobile phone network license in March 2018 and was first scheduled to launch in December 2018.

Zamtel has the potential to rival Airtel and MTN, and offer credible competition, but the state owned mobile network operator has some work to do in driving efficiently and it’s average earnings per user. The IDC and Minister of Finance had given an ultimatum for Zamtel to turn around its financial performance but it remains to be seen if the telco will become profitable this year.

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For some years now, three mobile network

Lifestyle

Engineering Institute of Zambia – EIZ has established that the client who was contracted to construct the Iolanda Water facility in Kafue under the bulk water supply project has not been able to be provided the necessary funding for the project resulting in the project stalling.

Recently President Edgar Lungu expressed dissatisfaction at works by engineers who planned for the construction of the Iolanda Water Facility as the project did not include the component of electricity in the contract.

The clarification from EIZ perhaps shows that the president may have been deliberately misled or miss-informed to shield some incompetent government officers who were part of the entourage from taking responsibility.

EIZ president Eugene Haazele has also shared the republican president’s concerns that such an important and expensive facility has been completed without power supply which is key to commissioning it for people to immediately start benefiting from improved water supply.

He said EIZ has established through discussions with the implementation agents that the Design and Build Contract placed the responsibility of power supply on the client, the Ministry of Water Development, Sanitation and Environment Protection.

In a statement made available to the Zambian Business Times – ZBT on June 9, 2020, Haazele has since implored the ministry to play its role and ensure that the project is completed and starts serving the people of Zambia.

President Lungu complained to EIZ about the unprofessional conduct by some engineers in Zambia saying it is such conduct that has made government to be redoing a number of works on various projects at a great cost across the country.

Meanwhile, the Kafue water project is expected to expand the water supply in Lusaka. The contractor started execution of the civil works at the Iolanda intake on Kafue River in October 2016 at a cost US$150 million.

Upon review of the presidential tour of the facility, the minister of water development was present, and should have taken responsibility but seem to have opted to mislead the head of state by blaming the engineers.

Lack of accountability by some senior government officials and the tendency to deflect blame needs to be routed out as it now results in embarrassing the head of state. This new attempt to blame it on professionals has backfired and Dr. Wanchinga and his team at the ministry of water development should take full responsibility for the Iolanda water project mess.

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Engineering Institute of Zambia – EIZ has

Lifestyle

The Zambia Association of Musicians – ZAM has requested for a goodwill grant that will help the association and their members lessen the economic impact that COVID 19 health restriction has put on their work.

The health restrictions imposed due to the COVID 19 pandemic has affected many areas of the economy, and players in entertainment industry are one of the most adversely hit. Musicians to be specific have now gone for over four months without being able to perform and get in their much needed incomes.

In the Zambian set up, most musicians generate the bulk of their revenues through live performances, through stage shows at restaurants, night clubs and other places that require some form of social gathering. But with the ban on mass gathering and closure of bars and nightclubs, many musicians (especially upcoming musicians) have found it hard to make ends meet.

The Zambia Association of Musicians – ZAM has encouraged their members to try the digital platforms like social media, YouTube as an alternative channel to generate incomes during this pandemic period.

Speaking in an exclusive interview with the Zambian Business Times – ZBT, president of the Zambia Association of Musicians Tivo Shikapwasha stated that musicians must utilize digital platforms like social media to advertise and generate some income.

“We need to explore the digital platform and it is more imperative now more than ever. He further said that more and more people are using mobile phones and our pages are getting more and more visitors, so this is an opportunity for our musicians to interface with corporate entities through for instance advertising to create some sort of revenue stream for ourselves”, he said.

Shikapwasha confirmed that it is not currently mandatory for all musicians to join the association but the benefits of joining are numerous’. He said that an association is more important in times like this, as it makes it easier for a profession and its members to lobby for its interests and development.

“It’s an association not a regulatory body. So it’s not mandatory for an artiste to join but having said that, it is in the best interest for the artist to join. Some stakeholders or promoters would rather deal with an association that deals with the artist’s interests than work with an individual”,

Joining the association will help the artist travel to many place in and out of the country, so that the association also helps to develop skills necessary for the Musicians as well as help the members come to agreement on matters of common interest. However, Shikapwasha stressed that joining the association is not a route to get rich but it’s the best place to be if you wish to have access to many and much bigger opportunities as an artist and industry.

He reassured the musicians that the association will always be supportive and they understand that these are trying times. We will always support the musicians and our members from start to finish.

“We know that these are difficult times and it is easy for one to lose focus on the plans we had for the year in terms of input and output, in regards to production. Its very easy for us to get side tracked as we think of how we think of how we will feed our family. It is understandable but it’s important to know that the plans we made for this season may be affected but we must never lose focus”, he said.

The Zambian government has only given a meaningful stimulus package to mostly big corporate entities through the K10 billion covid 19 facility that is being administered through the bank of Zambia – BOZ.

Calls for coming up with a package for small and medium size enterprises – SMEs and some of the most affected sectors like the case of Musicians, bar and restaurant owners, lodge and private school businesses, media houses and others that have been adversely hit have been made but technocrats seem to be ignoring this perhaps most important need at this time.

Stimulus should not only be thought off as handing over cash grants or loans, but even specific industry and sector incentives that could lessen the impact of covid 19. As the lagged effects of the pandemic now start kicking in, government will come under severe pressure if no proactive actions are taken.

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The Zambia Association of Musicians - ZAM

Tech

The 100 megawatts (MW) solar power project that was earmarked for development in the western province has stalled. The solar power project was to be implemented via a joint venture between Toyota Tusho of Japan and Elsewedy Electric of Egypt with funding from Japan.

Speaking during an exclusive interview with Zambian Business Times – ZBT, Elsewedy Country Manager Mohammad Hassan stated that Elsewedy’s joint project with Toyota Tusho is to generate a total of 100 megawatts in western province, that is 50 megawatts in Sesheke, and 50 megawatts in Mongu. He however stated that because of the covid 19 pandemic, the project has stalled.

When ZBT reached out to Toyota Tusho to independently give their side of the story on the stalled solar power project, the Japanese based conglomerate declined to comment, neither could their local representative, who stated that he is not authorized to comment on this solar deal.

“Elsewedy and Toyota Tusho have worked on many projects together in Countries like Egypt, Nigeria, Iraq and Lebanon. We engaged local contractors to do a soil investigation in Sesheke and Mongu where the solar panels will be placed. The project is financed by the bank of Japan with very low interest from the government,” Hammad told ZBT.

He also disclosed that the duration of the project has been affected and will be rescheduled because of the pandemic, it might go longer than initially planned. “As we agreed with the government last year in August 2019, commencement of the project was December 2019 to April 2021. But because of the corona virus, it might go further than that”, he said.

Elsewedy Electric in partnership with the Japanese conglomerate, Toyota Tusho Corporation, sign a memorandum of understanding with the Zambian Ministry of Energy to build two solar photovoltaic projects of with total capacity of 100 megawatts with battery storage system.

The signing ceremony took place in Yokohama – Japan along the “TICAD7” (The Seventh Tokyo International Conference on African Development). The project was agreed to be financed by JBIC – Japan Bank of International Cooperation.

The signing Ceremony has been witnessed by President Edgar Lungu, Zambia’s foreign affairs minister Joseph Malanji, Egyptian Minister of Investment and International Cooperation Sahar Nasr, Japanese Minister of Economy, Trade and Industry Yoshihiro Seki and Ahmed Elsewedy CEO Elsewedy Electric group.

On the other hand, Elsewedy electric Zambia country manager stated that his company is currently implementing a solar power project that is envisaged to provide electricity in rural areas. Electricity provision has been a far cry for most people living outside the major cities of Zambia.

He told ZBT that they are working in corroboration with ZESCO and that they enquired from the power utility which areas to place the containers. “Elsewedy has already invested over US$500 million to carry out various projects in Zambia”, he said.

“We agreed with the government to make 30 “Sun Square’s” in the country. One in Luangwa, the other in Kachula and a third one in Kachumini and we are now going to Chipata, in the Eastern province.

The sun square container is one third (1/3) equipment which contains among others solar converters and cables etc and the other two thirds (2/3) of the container is empty and used for provision of various services. The Sun Square is placed in the middle of the village and the people will be able to rent space in the container”, he said.

Hassan said that once this container is activated, the rural areas will now be able to do business. Some can own Barber shops, some can open restaurants. Others rent space to place a TV so people can watch. These containers will provide services that each particular area needs like One container, which was even converted into a clinic.

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The 100 megawatts (MW) solar power project