Development of Lupane gas can help Zimbabwe reduce donor dependency, repay external debt

Bulawayo legislator Illos Nyoni says exploitation of Zimbabwe’s natural resources such as the Lupane gas will help the country reduce donor dependency and to repay its external debt.

Contributing to the motion on domestic resource mobilization, Nyoni said the gas could be used to improve fertilizer production at Sable Chemicals and also reduce the country’s import bill on LPG gas.

Full contribution:

HON. I. NYONI: Thank you Madam Speaker for giving me the opportunity to deliberate on the motion on domestic resource mobilisation by Hon Dr. Khupe and seconded by Hon Gabbuza. It is indeed true that it will help the country move away from donor dependency, for example the US$10bn dollar external debt that our country is now facing will be difficult to extinguish in the short term hence it is difficult for any country to access external funding with this kind of debt. Therefore, we have to look internally for resources.

My understanding of the definition by Hon. Dr. Khupe, of financial resources, raw materials, skills manpower and other assets that can be drawn by our country for the economy to function effectively, the issue of raw materials and skills manpower can pull our country out of the woods. For example, we have the gas deposit that was mentioned by Hon. Dr. Khupe in Lupane and Muzarabani areas. The exploiting of gas might go a long way in helping to improve the production of fertiliser at our country’s sole manufacturer, Sable Chemicals in Kwekwe.

Currently, Sable Chemicals imports their major raw material which is ammonium gas from South Africa. This can be substituted by natural gas that can come from Lupane or Muzarabani. The availability of locally sourced gas can help in reducing the import bill from this raw material and in a way this is import substitution. The local availability of this gas will increase production at Sable Chemicals, be able to meet local demand and generate the much needed forex through export of the excess fertiliser.

I will proceed to some of the products that can come out of the local gas resources from Lupane and Muzarabani.  Here we are looking at liquefied petroleum gas, LPG. Currently, LPG is locally used as a source of energy for cooking and other uses. Almost every home in the urban area has a gas stove because it is cheaper than electricity. All the LPG is being imported from South Africa and it is obvious that the exploitation of gas deposits at Lupane and Muzarabani will result in the reduction of the import bill and also export of the excess gas will earn our country the scarce foreign currency. In brief, that is my contribution on this very important motion. Again I would like to thank the mover Hon. Dr. Khupe and the seconder Hon. Gabbuza.

(127 VIEWS)