2 partner to streamline road traffic management
By MUKOSELA KASALWE
THE Road Transport and Safety Agency has entered a Concession Agreement with Intelligent Mobility Solutions Limited, a consortium of Kapsch International and Lamise Trading who will invest US$500 million to advance road traffic management solutions and services, says Minister of Transport and Communications Brian Mushimba.
Mr Mushimba said the private sector engagement was aimed at providing services such as advanced Road Safety Management Solution and Services through Public Private Partnerships and reduce pressure on Government fiscal space.
Mr Mushimba said the company would recover its investment over a duration of 17 years through receipts of a portion pegged at 15 percent of user charges related to the project such as traffic fines and vehicle inspection fees collected. The minister said yesterday in Lusaka at a press briefing that 85 percent of the collections would be remitted to the government Treasury.
He said RTSA would retain its core mandate of regulation, education and collection of road tax, driver licensing fees and carbon tax.
Mr Mushimba said the procurement process for the project was in line with the dictates of the Public Private Partnership Act of 2009 where unsolicited bids were subjected to an open tender in line with Section 42(6) of the Act.
He said the process was advertised in the print media for a month.
Mr Mushimba said five competing bids applied and were evaluated and that Intelligent Mobility Solutions was successful.
He dismissed assertions of alleged corruption and that the paper trail was in the public domain as proof. Mr Mushimba said the partnership would improve the performance of RTSA to use modern methods of law enforcement using electronic systems. Mr Mushimba said the process would bring about seasonal and long term job creation for youths and engineers.
He said government would benefit infrastructure such as Vehicle Inspection Centres to be erected by the firm once the 17-year contract elapsed.
Meanwhile, Mr Mushimba has appointed new board members for the Zambia Cargo and Logistics Limited and Mpulungu Harbour Corporation Limited. He urged the two boards to bring initiatives and innovations to accelerate the key institutions to grow Zambia’s economy.