Economy

Mineworkers union laments rising cost of living, highlights energy crisis as 2024’s key challenge

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The Mineworkers Union of Zambia (MUZ) has expressed deep concern over the persistent high cost of living, worsened by frequent load shedding and rising fuel prices, which have severely impacted miners’ purchasing power and livelihoods.

In a year-end statement on Tuesday, MUZ president, Joseph Chewe, said miners continued to face significant challenges despite the mining sector’s crucial role in the country’s economy.

“The Union is deeply concerned with the continued high cost of living, exacerbated by load shedding and fuel price hikes, which has eroded the purchasing power of miners and reduced their standard of living,” Chewe stated.

He highlighted that load shedding had significantly increased operational costs for mining companies, while rising fuel prices have driven up transportation costs, further burdening miners.

He also cited issues related to occupational health and safety, poor working conditions, long hours, and denial of benefits as additional challenges facing the workforce.

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Despite these hurdles, Chewe praised notable achievements in the mining sector, including the reopening of the Euro Africa Kalengwa Mine in Mufumbwe, expected to produce 150 tonnes of copper annually, with the potential to increase production to 150,000 tonnes from its stockpiles.

He also lauded the US$2 billion Super Pit Expansion project by Barrick Lumwana Mine and the US$1.25 billion Kansanshi Mine S3 Expansion project by First Quantum Minerals.

These investments are expected to extend the mines’ operational lifespans and enhance Zambia’s copper production capacity into the 2040s.

“The revival of these mines and major investments mark significant milestones for the industry, contributing to job creation and economic growth,” Chewe said.

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