adminZvamaida Murwira Harare Bureau
THE government plans to introduce electronic insurance cover where firms will be linked to Zinara and the Central Vehicle Registry databases as a way of clamping down on corruption and fake insurance policies, legislators heard yesterday.
The Secretary for Transport and Infrastructural Development, Munesu Munodawafa, said the move would ensure that no motorists would get a vehicle licence disc without a valid insurance policy.
He was giving oral evidence before a parliamentary portfolio committee on Transport and Infrastructural Development chaired by Chegutu West MP Cde Dexter Nduna (Zanu-PF).
Munodawafa said most holders of third-party insurance policies were failing to access services in the event of accidents owing to fake insurance policies that had flooded the market.
“That’s why we are having a lot of people selling insurance policies. That’s not normal. Over the past three months we have engaged insurance companies. Our idea is to link all insurance companies to Zinara and CVR so that one can’t get a vehicle licence without a valid insurance policy,” said Munodawafa.
Warren Park MP Engineer Elias Mudzuri (MDC-T) accused Ministry officials of complicity in the fake insurance racket given that most dealers accosted motorists with impunity, right in front of government offices like the Vehicle Inspectorate Department and Zinara.
If the programme is implemented, more than $36 million will be raised per term through third party insurance given that about 1,2 million vehicles are currently on the Zinara database.
Insurance firms levy vehicle owners $30 per term.
Responding to another question, Munodawafa said his Ministry abandoned a financing deal to fund the Norton-Kadoma dualisation project to the tune of $150 million after the Development Bank of South Africa proposed a two cents increase in the price of fuel and diesel in order for the financial institution to recover its money.
Munodawafa said Cabinet noted that the increase would have an adverse effect on inflation and the cost of living as it had ripple effects on downstream end-users.
Turning to the Plumtree-Mutare Road, Munodawafa said out of the $206 million indebtedness to DBSA, only $9 million was outstanding.
He said the government, through the Department of Roads, would take over management of the road after 10 years in terms of their agreement with Group Five, and any defects that had been identified on the road, the contractor was obliged to attend to them.
“Group Five as the contractor is obliged to maintain the road to acceptable standards for the next 10 years,” said Munodawafa.
Turning to the parastatals falling under his Ministry, Munodawafa said they were still in the process of identifying strategic partners for Air Zimbabwe and National Railways of Zimbabwe.
In a related matter, the National Assembly was forced to adjourn after failing to secure a quorum as some Zanu-PF MPs walked out just before MDC-T legislators were about to move a motion on the whereabouts of journalist-turned MDC-T activist, Itai Dzamara.
Kuwadzana East MP, Nelson Chamisa wanted to move the motion but was unsuccessful owing to the absence of the 75 legislators that constitute a quorum.
Online Reporter