UPND challenges Govt over ‘idle’ Indeni, Tazama

THE United Party for National Development (UPND) has challenged the government to clarify the future of Indeni Petroleum Refinery and Tazama Pipelines Limited which are lying idle due to lack of crude oil.

According to the opposition party, it was concerned about the lack of activity at Indeni and Tazama in Ndola because hundreds of workers were now uncertain about the future. UPND Presidential spokesperson Anthony Bwalya said in Kitwe that Government should explain state if it had lost the ability to procure crude oil for processing at Indeni after allegedly failing to pay $727m owed to international oil suppliers.

"We note that the company continues to experience heightened risks associated with demand letters from international suppliers in respect of chemicals supplied, as well as a heightened risk to the safety and security of the plant associated with mechanical failure.

"What is also very clear is that the continued closure of Indeni and Tazama Pipelines

Ltd is a recipe for an inevitable rise in the pump price of fuel, a move which will harm the economy and the welfare of both citizens and businesses in Zambia," he said.

Mr Bwalya urged the government to procure crude oil for local processing, while supporting the constructive participation of Oil Marketing Company (OMCs) in the procurement and distribution of finished products.

He said this was a way of supplementing robust Government efforts to stabilize both the supply and price of fuel in the country.

Since last year, Indeni has not been processing crude oil while Tazama had been idle as there was not feedstock to pump from Dar-es-Salaam in Tanzania to Ndola.

Recently, the National Union of Transport and Allied Workers complained that workers’ morale at Indeni and Tazama had reached its lowest ebb as they was no explanation as to when feedstock would be procured.

There were no major activities going on at Indeni as workers were only reporting to maintain and clean up machinery.