REMOVAL OF SUBSIDIES SINCE 2013 WHERE TO NOW

THROW BACK 2013
STATE HOUSE PRESS RELEASE :
Media Statement for Immediate Release
PRESIDENT SATA ON THE REMOVAL OF FUEL
SUBSIDY
LUSAKA, Thursday, May 2, 2013 – His Excellency,
Mr. Michael Chilufya Sata, President of the Republic
of Zambia, has said the removal of the subsidy on
petroleum products will enable the state to have
more finances available for spending and guarantee
proper implementation of all government
programmes and projects.
President Sata said it is necessary that the subsidy
on petroleum products, which has been a burden on
state coffers for a longtime, is removed and
consequently the price of fuel adjusted upwards in
order to attract wider social benefits for the general
populace.
“In 2012 alone, the Treasury redirected resources
amounting to KR754 Million (K754 Billion) from
implementation of other government programmes
and activities in the Budget to finance the fuel
subsidy,” the Head of State said.
“For the 2013 budget, the Government has already
paid a sum of KR571.5 Million (K571.4 Billion) in
fuel subsidies as at 18th January, 2013. It is
estimated that more than K1.1 Trillion (KR1.1
Billion) will be paid in 2013 as subsidies if no
adjustment is made to the price build up and/or the
pump price.
“Our people may wish to know that the estimated
K1.1 Trillion (KR1.1 Billion) subsidy can go a long
way in financing the construction of more than 100
new rural primary schools or over 120 new rural
health centres to help the majority marginalized
Zambians.”
The President has further explained that these funds
are diverted from expenditure on social sectors and
infrastructure development that if spent would have
accelerated poverty reduction and employment
creation especially for the youths.
“The removal of the subsidy will make more
finances available for spending and guarantee job
creation and the development of infrastructure such
as schools, universities, hospitals as well as the
Link Zambia 8000 project, which will open up the
rural areas for increased trade and investment,”
President Sata said.
“The decision will also make funds available for the
upgrading of the Indeni Oil Refinery to enable it
process pure crude oil, which is cheaper to import
and will result in cheaper imports by about US$10
Million while providing other by-products to be used
in the plastic, road and fertilizer industries. I believe
the overall short and long-term benefits to
Zambians of this action, outweighs by far any
perceived negative consequences.”
President Sata said in its pursuit to improve the
livelihood of all Zambians, the PF government
remains committed to ensuring that there is a
transparent and equitable distribution of resources
to all sectors to facilitate greater economic growth.
Meanwhile, President Sata is this Friday [tomorrow]
expected to flag off the commencement of the
construction of the 61Km Chalimbana Road project.
This is another project under the Link Zambia 8000,
which will provide a shorter route to the Leopards
Hill Road passing through Chiawa to Chirundu.
The same day, the Head of State is also expected
to lay a foundation stone for the construction of
Chalimbana University.
This is part of President Sata’s vision to overhaul
and develop the education system by increasing the
number of public universities as espoused in the PF
manifesto.
Issued by:
GEORGE CHELLAH
SPECIAL ASSISTANT TO THE PRESIDENT
PRESS AND PUBLIC. Now the question is from 2013 after the partial removal of subsidies have the Zambian people benefitted ? what assurance does the ordinary man on the street have that he or she will benefit from the removal of subsidies in 2016 , only posterity will judge us .