The Copperbelt Energy Corporation (CEC) says it has commenced the process of discontinuing power provision to Konkola Copper Mine due to lack of contractual basis to provide the service.
Company Senior Manager Corporate Communication Chama Nsabika said the move comes on the back of two critical issues which include KCM’s outstanding indebtedness to the company of about 144 million US Dollars as at the end of May 2020 and CEC’s lack of contractual basis to continue providing service to the Mine.
Ms. Nsabika stated that the decision has been taken to protect and enforce CEC’s commercial rights as a business and ensure that the Company does not engage in reckless trading.
“As a listed business, CEC has an obligation to all its shareholders to preserve whatever value is left of its business at this stage. Without this important action, the continuing risks may cause irreparable damage to the business,” Ms. Nsabika said.
Ms. Nsabika assured that CEC will not endanger any national assets or those of its customers because the company’s interest is to ensure that its business and that of customers operate optimally.
“As a responsible business and corporate citizen, CEC will not interfere with or endanger any national assets or those of its customers. CEC’s interest at all times is to ensure that its business and that of its customers operate optimally and to each party’s best interest, having regard for the mutual obligations that underpin commercial business relationships,” she stated.