NORTH TO GET $700 MILLION ENERGY INVESTMENT
ABOUT US$700 million investment is expected to be injected in an energy plant this year in Northern Province by the private sector.
And Minister of National Development Planning, Alexander Chiteme, said all public investment projects will have to go through an appraisal system before implementation to lessen pressure from the budget.
The energy project, to be called the Kalungwishi Hydro Power Plant, will connect the Province to Tanzania once operational.
According to Minister of Finance, Felix Mutati, Government had received assurance from the investors that the project would commence in August 2018.
“Among the things we want to do here (Northern Province) is in the power sector. There are two key projects that are going to happen here. The first one is Kalungwishi Hydro Power Plant. An investment of almost US $7 00 million by the private sector, creating immerse opportunities not only for jobs but also adding to the stability and security of the power generation.
“We are pushing the investors and they have assured us that by August this year, they are going to begin to work. This will be the interconnector that we are going to do from Kasama to Nakonde to connect the Northern Power system to Tanzania,” he said.
Mr. Mutati was speaking at the 2018 national budget sensitisation meeting in Mbala.
The minister, who could not give more details on the project, said Government believed that it could create opportunities for more taxes if investments were placed.
“The issue of debt can only be solved if you generate resources in an economy and I think we have that in Northern Province, to take a lead in growing the economy. We want to bring in investors this year, both local and international to share opportunities,” he said.
Mr. Mutati also announced that Government had paid the last K172 million to all farmers who supplied maize to the Food Reserve Agency (FRA).
He explained that Government currently was not owing any farmers.
“As we stand now, we have fully made our obligation to the farmers in terms of FRA. I think this will be the first time that Governments commitment has been met,” Mr. Mutati said.
While still at the meeting, Mr. Mutati launched the 2018 Citizens National Budget.
And Mr. Chiteme emphasised that no project would be implemented without going through a full process of appraisal system.
Mr. Chiteme explained this process would assist Government to reduce pressure from the national budget.
“The Government intends to enhance privatisation of the national programmes and projects at a hidden threshold through establishment of an appraisal systems for public investments,
“As Government, we will only invest in economic projects which could have gone through a full appraisal process. This will surely put less pressure on the budget,” Mr. Chiteme said.