THE Zambia Association of Manufacturers (ZAM) has expressed concern over the recent increases in council fees and rates by the Local Authorities.
ZAM President Ashu Sagar, in a statement made available to ZANIS today, has described the move by the Local Authorities, particularly in Lusaka as arbitrary.
Mr Sagar alleged that the actions by the municipalities are imposing a significant burden on businesses already navigating a challenging economic environment.
“Reports from our members in Lusaka, highlight dramatic hikes in rates and valuations, in some cases tripling previous charges. Similarly, in Mazabuka, a steep rise in cane levies from K0.4 per tonne to K25 per tonne has been reported, further exemplifying the financial strain caused by unregulated fee adjustments,” said Mr Sagar.
He disclosed that the increases have been implemented without transparent consultation or a clear justification, thereby exacerbating financial pressures on manufacturers and other businesses.
“While local authorities are within their rights to periodically review fees, ZAM is alarmed by the lack of corresponding improvements in service delivery. Businesses and residents in Lusaka continue to face substandard municipal services, including irregular waste collection, poor road maintenance, insufficient street lighting, and ineffective zoning enforcement,” he added.
He noted that the said gaps highlight the disconnection between fee adjustments and the actual value provided to stakeholders.
Mr Sagar has since urged City Councils to suspend implementation of new rates, that is halt the enforcement of increased fees and valuations until comprehensive consultations are conducted with affected stakeholders, including business associations.
“Audit Service Delivery by conducting an independent audit of municipal services to ensure that fee adjustments are tied to measurable improvements in performance as well as adopt a Phased Approach by implementing any necessary adjustments gradually to avoid overburdening businesses and communities,” he added.
He pointed out that the success of Zambia’s economy relies on a cooperative and mutually beneficial relationship between businesses and local councils.
He further said ZAM remains committed to engaging with the Lusaka City Council and other municipalities to address pressing challenges and work towards sustainable solutions that support economic growth while ensuring accountability in service delivery.