Two Scandals: Fuel Scandal and Luampa CDF Controversy
Lusaka – March 13, 2025
Today Zambians woke up to yet another jaw dropping article on corruption. The Zambian government particularly Ministry of Energy is facing renewed scrutiny over massive corruption allegations linked to fuel procurement. At the center of both scandals is Energy Minister who is also the Luampa MP Makozo Chikote.
According to a Facebook post by Nkonkomalimba Kapumpa it has been revealed that over 20 billion Kwacha in single-sourced fuel contracts were awarded to Agro Fuel through TAZAMA and the Ministry of Energy, significantly inflating fuel prices and crippling the economy.
“With over 20 billion Kwacha in single-sourced fuel contracts awarded to Agro Fuel through TAZAMA and the Ministry of Energy, it appears that the economy has been severely impacted. The doubling of fuel prices due to single sourcing has reportedly made billions for those involved, while the nation suffers.
The recent reduction of fuel transportation costs from $113 to $54 per metric ton after opening the tender process suggests that the country was losing over 2 billion per year under single sourcing.They also got a contract at TAZAMA a contract for 2.6 billion Kwacha ($100 million) for cleaning the pipeline ,a further 1.3 billion Kwacha ($50 million) from Mpulungu Habour in these Government settlement. The list is endless”
The revelation that fuel transportation costs were cut from $113 to $54 per metric ton after opening the tender process suggests that Zambia was losing over 2 billion Kwacha annually. Additional contracts awarded under questionable circumstances include:
- 2.6 billion Kwacha ($100 million) for pipeline cleaning
- 1.3 billion Kwacha ($50 million) from Mpulungu Harbour
This mismanagement led to higher costs of essential goods, increased inflation, and economic slowdown from 4.7% to 2% GDP growth.
“Several individuals in government must explain how we lost this money,” said whistleblower Nkonkomalimba Kapumpe, pointing to State House aides Jito Kayimba and Lawrence Mwananyanda, Deputy Secretary to the Cabinet Siakalenga, and Permanent Secretary Peter Mumba as key figures.
While the fuel scandal, yesterday PACRA documents emerged clearly showing that the Minister was still a shareholder of Chika investment a company that was awarded CDF contracts and despite Luampa Council’s defense, legal expert Dickson Jere also weighed in, stating:
“The PACRA printout is required at the tender stage to verify company ownership. How was this overlooked?”
With growing public outrage, Zambians are demanding accountability from those responsible for both scandals. Whether President Hichilema will act remains to be seen.