Economy

Vedanta, KCM face-off hurting Copperbelt economy, group petitions government

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Two non-state organisations have petitioned Government over the delay to resolve the standoff between Vedanta and the Konkola Copper Mine (KCM).

The two organisations are the Zambia for Peace, Unity and Development (ZUPED) and Advocates for National Development and Democracy.

They have petitioned the Ministry of Mines to state Government positions on when the negotiations between KCM and Vedanta will conclude, according to ZUPED President Ronnie Jere.

Jere said the negotiations could not go in perpetuity when people on the Copperbelt were suffering.

Read more: Zambia’s mining industry on growth path —President

“Last week we commended the New Dawn Government for having engaged Vedanta into an outside court dialogue. We expressed our fears as regards to the uncertainties surrounding these negotiations this includes the time that these negotiations have taken.

“We have now followed this up with a petition to prompt the minister of mines to state government position on when these negotiations will conclude. We cannot continue discussing in perpetuity while our brothers and sisters continue to suffer the consequences of a non-functioning KCM,” he said

And Advocates for National Development and Democracy executive director Samuel Banda indicated the deteriorating economic situation on Copperbelt province, as a result of the continued delayment by the government to address the matter.

“Government should state its position when if Vedanta Resources will take over KCM operations to protect jobs and create business opportunities for Copperbelt residents. Our concern emanates from the fact that this issue has been protracted for too long leading to a lot of uncertainties on the future of the mining firm.

“Our brothers and sisters on the Copperbelt have lost employment, business opportunities and so much more due to this KCM and Vedanta Resources impasse, hence we feel it is time for the government to promptly act on the future of our national strategic investment KCM,” Banda said.

The Court of Appeal in 2021 stayed hearing by a state-appointed provisional liquidator for splitting up KCM and selling the assets.

The stay on KCM liquidation proceedings had been granted to allow Vedanta and the Zambian government to proceed to arbitration.

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