adminPhinias Tafa Infrastructure Report
Government’s aim is to raise operating efficiencies to reduce infrastructure costs across all sectors. Recently, the Government started a drive to have greater private sector participation in the infrastructure sector.
Policy Statements
Issue 1: Greater private sector participation
The Government, both at national and local level, is currently playing a major role in the country’s infrastructure development.
It provides the national infrastructure for transport services, public energy infrastructure, and oversees the operation of the country’s airports and boarder points.
It controls water and sewer reticulation pipes and related architecture.
Although the communications sector is still predominately controlled by the public sector, private companies are now significant investors, especially in the telecommunications area.
Government’s aim is to raise operating efficiencies to reduce infrastructure costs across all sectors.
Recently, the Government started a drive to have greater private sector participation in the infrastructure sector. To that end, a number of sector specific policies have been developed to address this specific aspect.
Policy
1.1 The Government will encourage participation of private players in the development and growth of infrastructure services through joint operations and concessions for toll roads and other user charges.
1.2 The Government has identified strategic infrastructure assets that will remain in state ownership: national transport infrastructure like roads, railway, air and boarder properties.
1.3 Where the private sector is involved in infrastructure services provision, the Government will set long-term lease terms that secure the above position, whilst allowing the private sector sufficient time to recoup its investment.
1.4 In order to facilitate private sector investment, Government will remove unnecessary legal or regulatory impediments.
Issue 2: Co-ordination of public infrastructure provision
2.1 Responsibilities for the provision and management of public infrastructure services are shared between the Ministry of Transport and Infrastructure Development, Ministry of Environment and Water Resources, Ministry of Energy and Power Development, Ministry of Local Government, Public Works and National Housing, Ministry of Information Communication Technology and Courier Services, Ministry of Information, Media and Broadcasting and public organisations directly dependent on the infrastructure industry.
There is need for cooperation and coordination between the various ministries and related agencies in order for this policy to be effective.
Policy
2.1 Government will put in place a seamless infrastructure system that improves co-ordination between its related ministries, agencies and private sector.
2.2 This will be done through platforms that promote broad based participation of all actors, like consultation forums on policy implementation.
2.3 To create and sustain an integrated approach to infrastructure development, the Government, with the participation of other players will set clear objectives for each sector.
Issue 3: Users should pay for the costs of transport services
Infrastructure users should pay for the facilities and services that are provided either by the public or private sector.
Policy
3.1 Each sector will establish a user fund which will collect and channel licence fees and user charges directly into its part of infrastructure maintenance. For example, listener fees will not be collected by a player but by the industry regulator and used to build infrastructure capacities.
3.2 Government will put in place legislation that ensures that damaged infrastructure will fully be compensated and repaired either by insurance or the user
Issue 4. Provision of subsidies on infrastructure services for social and economic benefit
Vulnerable people require cheap sources of infrastructure services so that they live well.
Policy
4.1 Through the various ministries and departments, Government will continue to regulate licence fees and user charges, with the aim of placing the lowest possible financial burden on consumers.
4.2 There will be transparent and fair appraisal mechanisms to allocate public funds as subsidies. The cost of each established subsidy will be guided by economic and social benefits to the country and its citizenry.
4.3 There will be similar participation conditions for public and private sector actors seeking subsidies.
Issue 5: Create policy awareness
Given a constantly altering environment, an infrastructure policy is a dynamic intervention which will be attended to all the time. Public awareness will ensure the policy remain known, valid and appropriate. This will also strengthen transparency and good governance.
Policy
5.1 Information dissemination and public policy awareness will be done in a two pronged approach:
General policy level — To publicise Government’s infrastructure vision, aims and objectives and encourage the public to be involved in policy review
Users’ level — To conscientise users that this policy is targeted at them, either as users or society as a whole
Issue 6: Integration across modes
The integration of infrastructure policy across all infrastructure modes is vital to the success of infrastructure growth in Zimbabwe.
Policy
6.1 Regulated user tariffs will be reviewed across all sectors to ensure that costs to users are at a minimum and aligned to other policy objectives.
6.2 Government will ensure that investment decisions across all infrastructure sectors are subject to the same level of financial, economic, legal, environmental and regulatory assessment..
6.4 In the spirit of integration and where possible, operators within a sector and across sectors will be encouraged to share infrastructure facilities
6.5 Financial support for sector integration will be under-written by Government to avoid unwillingness of individual sectors to pay.
Issue 7: Integrate infrastructure policy planning, appraisal and implementation across all sectors
The development of an integrated infrastructure policy is fundamental. Strengthening of Government’s capabilities in the infrastructure sector will require specialist skills and research. The development of expertise in infrastructure management, consulting and operations is also required.
Policy
7.1 The Office of the President and Cabinet (OPC) will be responsible for the co-ordination and implementation of infrastructure across all sectors.
7.2 The OPC will create a new infrastructure forecasting and planning capability in data collection and statistical analysis together with economic and financial appraisal.
7.3 Long-term infrastructure planning will be treated as a priority. The National vision for infrastructure will be translated into a physical strategy for the next 25 years and beyond. A multi-sector infrastructure strategy will be commissioned in the first quarter of 2016.
Issue 8: Increase access to infrastructure facilities and services in rural and marginalised areas to reduce poverty and scale up agricultural development.
Policy
Issue 8.1 Improve accessibility to infrastructure facilities and rural mobility. Infrastructure facilities will be more closely linked to local economic development objectives.
Issue 9: Ensure that rules and regulations are adequate and are enforced to meet international environmental and safety standards.
The infrastructure sector is regulated by a number of agencies. These will be given clear mandated to regulate their areas of jurisdiction.
Policy
9.1 The Government will establish a National Infrastructure Regulatory Commission (NIRC) which will oversee, co-ordinate and superintend infrastructure development.
9.2 The Government, through the NIRC will engage in continued dialogue with all sector based infrastructure regulators when setting policies.
9.3 The Government, through NIRC will strengthen the capacity, through revised regulations, of all sector based infrastructure regulators and monitors
9.4 The NIRC will ensure that regulations remain current and appropriate through regular consultation with stakeholders and international best practices.
Issue 10: To promote energy conservation and environmental protection
Zimbabwe experienced is experiencing a severe energy due to strained generation capacities. Faced with this harsh reality, energy conservation has become a high priority under National Energy Policy of 2012.
Policy
10.1 Government will scale up the national energy conservation thrust in a bid to reduce the budget on energy consumption.
10.2 Prominence will be given to cleaner and renewable sources of energy.
As a follow-up to the recently announced 2016 budget, next week we will discuss the meaning of the budget in terms of infrastructure development.
As this happens to be my last article on infrastructure report for 2015, let me take this opportunity to wish the country and all of you a happy infrastructure development 2016.
Online Reporter