Current mining model not benefiting Zambia – Dodia

By Jane Chanda

Economic analyst Yusuf Dodia says the current mining model does not adequately benefit the Zambian people.

And Dodia says despite the ongoing energy crisis, the economy was expected to register positive growth, driven largely by activity in the mining sector, where copper prices remain attractive on the global market.

Meanwhile, energy expert Boniface Zulu has criticised the Zambezi River Authority (ZRA) for belatedly considering additional dams to boost power generation, saying the country should have invested in such projects long ago to avert the current power crisis.

In an interview with Daily Revelation yesterday, Dodia said the current model was not in the best interest of Zambians.

“In as much as the country promotes foreign direct investment in the mining sector, the current model is not in the best interest of Zambians, because the bulk of the revenue remains in foreign banks, leaving the local economy struggling,” he said.

Dodia noted that most of the foreign revenue generated from copper exports was externalised.

He urged the government to create a framework that allowed for greater local participation in copper exports, warning that foreign investment which failed to benefit the Zambian people amounted to exploitation of the national economy.

He said the Ministry of Finance and National Planning’s projection that Zambia’s economy would grow by 6.2 percent by the end of December 2025, was attainable.

“We anticipate a resilient economic performance, with the mining sector’s strong growth and favorable global copper prices helping to balance out challenges posed by the energy crisis,” said Dodia.

And Zulu also encouraged Zambians to invest in alternative sources of energy like solar to cushion the impact of ongoing load shedding.

A recent announcement was made by ZESCO Limited that load shedding would not end this year, although the power utility anticipated a reduction in blackouts beginning July, 2025.

“Zambezi River Authority’s consideration of constructing additional dams to boost power generation comes too late, and the country have invested in such projects long ago. The authority’s decision should have been made before the country faced a power crisis,” he said.

He believed that relying solely on the national grid was no longer a viable option.

Zulu called for households to consider alternative energy sources like solar, which was a timely reminder of the need for innovative solutions to the nation’s power challenges.

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