PUBLIC-PRIVATE PARTNERSHIP ACT

to promote and facilitate the implementation of privately financed infrastructure projects and effective delivery of social services by enhancing transparency, fairness and long term sustainability and removing undesirable restrictions on private sector participation in the provision of social sector services and the development and operation of public infrastructure; establish a Public Private Partnership Department and provide for its functions; establish the Public-Private Partnership Council and provide for its functions; provide for public-private partnerships for the construction and operation of new infrastructure facilities and systems and the maintenance, rehabilitation, modernisation, expansion and operation of existing infrastructure facilities and systems and the provision of social sector services; develop general principles of transparency, economy and fairness in the award of contracts by public authorities through the establishment of specific procedure for the award of infrastructure projects and facilities and provision of social sector services and rules governing public-private inception, procurement, contracting and management of public-private partnerships; provide for the implementation of public-private partnership agreements between contracting authorities and concessionaires; and provide for matters connected with, or incidental to, the foregoing.

[Long title am by s 14(a) of Act 9 of 2018.]

[4th December, 2009]

Act 14 of 2009,

SI 103 of 2009,

Act 9 of 2018.

PART I
PRELIMINARY

1. Short title

This Act may be cited as the Public-Private Partnership Act.

2. Application

This Act applies to infrastructure projects and facilities, and the provision of social sector services as may be prescribed by the Minister, implemented through the Public-Private Partnership Department, but does not apply to the following infrastructure projects or infrastructure facilities-

[S 2 am by s 14(a) of Act 9 of 2018.]

(a) projects which are undertaken by any joint venture between any statutory body, Government Ministry or department, statutory body or local authority;

(b) projects between any statutory body and any Government Ministry or department;

(c) projects which may be taken over by any concessionaire or private sector entity on privatisation or dis-investment by any Government Ministry, department, statutory body, State corporation, local authority or agency; or

(d) projects which have been expressly excluded from the provisions of this Act or which are not prescribed by the Minister.

3. Interpretation

In this Act, unless the context otherwise requires-

"affordable" in relation to an agreement, means a contractual arrangement where a contracting authority is able to meet any financial commitment likely to be incurred under the agreement from its existing or future budgetary funds;

"agreement" means a public-public partnership agreement entered into in accordance with this Act which may incorporate any approvals, licences, permits and authorisations necessary for its implementation;

"asset" includes an existing asset of a relevant contracting authority or a new asset to be acquired for the purposes of entering into an agreement;

"bid" means a tender, an offer, a proposal or price quotation, given in response to an invitation to participate in an infrastructure facility or infrastructure project;

"bidder" means any person, including a group of persons, that participates in selection proceedings relating to a project;

"bidding documents" means the tender solicitation documents or other documents for solicitation of bids, on the basis of which bidders are to prepare their bids;

"bidding consortium" means a situation where a proposal for an infrastructure project or infrastructure facility is made by more than one person, and "bidding consortia" shall be construed accordingly;

"concessionaire" means a person from the private sector who undertakes an infrastructure project or infrastructure facility or the provision of any social sector services under a public private partnership agreement, other than a contracting authority;

"Consolidated Fund" means the consolidated fund established under the Constitution;

[Ins by s 2(b) of Act 9 of 2018.]

"contracting authority" means the public authority that has the power to enter into an agreement for the implementation of an infrastructure project or infrastructure facility or the provision of any social sector services under any law, and includes any Ministry, Government department, local authority or statutory body;

"contingent liability" includes Government's guarantee for loan and foreign currency transfer and step in function in the event of default by the relevant contracting authority;

"Council" means the Public-Private Partnership Council established under section 6;

"Department" means the department established under section 4 which performs the functions of a Public-Private Partnership Unit for the purposes of Public-Private Partnerships undertaken under this Act;

[Ins by s 2(b) of Act 9 of 2018.]

"generic risks" means any circumstances that have the potential to adversely affect the development of, or interests of the parties to, an infrastructure project or infrastructure facility or the provision of any social sector services or the interest of a contracting authority, in the nature of construction period risk, finance risk, legal risk and miscellaneous risk, as prescribed by the Minister;

"infrastructure facility" means any physical facility and systems that directly or indirectly provide services to the general public;

"infrastructure project" means the design, construction, development and operation of any new infrastructure facility or the rehabilitation, modernisation, expansion or operation of any existing infrastructure facility;

"local authority" has the meaning assigned to the words in the Constitution;

[Subs by s 2(b) of Act 9 of 2018.]

"material default" means any failure of a concessionaire to perform any duty under a public-private agreement which affects or will affect the delivery of service to the public, and remains unsatisfied after a reasonable period of time and after the concessionaire has received written notice of the failure from the Department;

[Am by s 14(a) of Act 9 of 2018.]

"National Council for Construction" means the Council established under the National Council for Construction Act;

"preferred bidder" means a bidder, including any bidding consortium, selected as a successful bidder during the competitive, selection process;

"project" means an infrastructure project, an infrastructure facility, or the provision of any social sector service, as the case may be;

"public-private partnership" means investment through private sector participation in an infrastructure project or infrastructure facility;

"public-private partnership agreement" means a contractual arrangement between a contracting authority and a concessionaire, made in accordance with this Act, in which the concessionaire-

(a) undertakes to perform or undertake any infrastructure project or infrastructure facility as specified in the First Schedule or as prescribed;

(b) undertakes to provide or provides such social sector services as may be prescribed;

(c) assumes substantial financial, technical and operational risks in connection with the performance of the institutional function or use of State property; and

(d) receives consideration for performing a public function or utilising State property, either by way of-

(i) a fee from any revenue fund or a Ministry's budgetary funds;

(ii) user levies collected by the concessionaire from users of customers for a service provided by it; or

(iii) a combination of the consideration paid under sub-paragraphs (i) and (ii);

"regulatory agency" means a public authority that is entrusted with the power to issue and enforce the laws governing infrastructure development or the provision of services;

"Technical Committee" means the Public-Private Partnership Technical Committee established under section 10;

...;

["Unit" rep by s 2(a) of Act 9 of 2018.]

"unsolicited proposal" means any proposal relating to the implementation of an infrastructure project or infrastructure facility that is not submitted in response to a request or solicitation issued by the Department or a contracting authority within the context of a competitive selection procedure;

[Am by s 14(a) of Act 9 of 2018.]

"user levy" means the right or authority granted to a concessionaire by the contracting authority to recover investment and a fair return on investment and includes tolls, fees, tariffs, charges or other benefit whatsoever called;

"value for money" means the carrying out of the institutional function of a contracting authority or the use of State property by a concessionaire, in terms of an agreement, which results in a net benefit to the contracting authority or consumer, defined in terms of cost, price, quality, quantity, risk transfer or a combination thereof; and

"Zambia Development Agency" has the meaning assigned to in the Zambia Development Agency Act.

PART II
THE PUBLIC-PRIVATE PARTNERSHIP DEPARTMENT, COUNCIL AND TECHNICAL COMMITTEE

[Part II am by s 14(a) of Act 9 of 2018.]

4. Establishment of Department

(1) There is established the Public-Private Partnership Department, which is responsible for the implementation of the provisions of this Act.

(2) The Department shall be under the control and supervision of the Ministry responsible for finance.

[S 4 subs by s 3 of Act 9 of 2018.]

5. Functions of Department

(1) The functions of the Department are to-

(a) recommend to the Government on the use of public-private partnerships in the financing, construction, maintenance and operation of any project;

(b) advise Government on administrative procedures in relation to project development and on matters of policy relating to public-private partnerships;

(d) co-ordinate with contracting authorities in respect of any project;

(e) develop technical and best practice guidelines in relation to all aspects of public-private partnerships, standardised bidding documents and public-private partnership agreement provisions for purposes of this Act;

(f) receive and make an assessment of any proposed project submitted to it and give its recommendations to the contracting authority as to whether the project or facility-

(i) is affordable to a contracting authority;

(ii) provides value for money for the Republic; and

(iii) presents optimum transfer of technical, operational and financial risks to the concessionaire;

(g) examine the request for proposals to ensure conformity with the feasibility study and legal and regulatory requirements;

(h) monitor the competitive selection process and provide for review of the process, if so required, under this Act;

(i) in liaison with the ministry responsible for national planning and development, monitor progress of implementation of public-private partnership agreements in order to facilitate timely completion;

(j) approve terms of reference for consultancy assignments for a project; and

(k) facilitate training and provide advisory services to contracting authorities.

(2) The Department shall exercise and perform such other powers and functions as are conferred or imposed on it by, or under, this Act or any other law.

[S 5 subs by s 4 of Act 9 of 2018.]

6. Establishment of Public-Private Partnership council

(1) There is hereby established the Public-Private Partnership Council.

(2) The provisions of the Second Schedule apply to the Council.

7. Functions of Council

(1) The functions of the Council are to-

(a) formulate policies relating to public-private partnerships for purposes of this Act;

(b) approve projects for purposes of this Act as prescribed;

(d) ensure competition, transparency and equity in the selection process under this Act; and

(e) give directives to any contracting authority, or concessionaire regarding the implementation of any project.

(2) The Council shall, on receipt of a recommendation from the Technical Committee, approve or reject a project or award of an agreement.

(3) The Council may, in the discharge of its functions under this Act-

(a) commission any study relevant to the determination of the award of any agreement;

(b) request any contracting authority, regulatory agency, concessionaire or any other body or person to furnish the Council with information, details, documents and particulars required in connection with or relating to any project;

(d) inspect, visit, review and monitor any project and its implementation, execution, operation and management.

[S 7 subs by s 5 of Act 9 of 2018.]

8. Composition of Council

The Council shall consist of the following part-time members:

(a) the Minister responsible for finance, who shall be the Chairperson;

(b) five Ministers appointed by the President, one of whom shall be designated the Vice-Chairperson;

[S 8(b) subs by s 6 of Act 9 of 2018.]

(c) not more than four other persons who shall be appointed by the President on such conditions as the President may determine.

9. Secretary to Council

(1) The Permanent Secretary in the Ministry responsible for finance shall be the Secretary to the Council.

(2) The Secretary shall be responsible for the day-to-day affairs of the Council under the general supervision of the Chairperson.

10. Constitution of Public-Private Partnership Technical Committee

(1) There is constituted the Public-Private Partnership Technical Committee, which consists of the following part-time members-

(a) the Secretary to the Treasury, as Chairperson;

(b) a representative of the Attorney-General;

(d) the Permanent Secretary of the Ministry responsible for industry;

(e) the Permanent Secretary of the Ministry responsible for infrastructure;

(f) the Permanent Secretary of the Ministry responsible for land;

(g) the Permanent Secretary of the Ministry responsible for local government;

(h) a representative of the Engineering Institution of Zambia;

(i) a representative of the National Council for Construction;

(j) a representative of the Zambia Environmental Management Agency;

(k) a representative of the Zambia Public Procurement Authority;

(l) a representative of the Zambia Institute of Chartered Accountants;

(m) a representative of the Economics Association of Zambia; and

(n) one person appointed by the Minister.

(2) The Minister shall appoint the members under sub-section (1)(b), (h), (i), (j), (k), (l) and (m).

(3) The members shall elect the Vice-Chairperson from amongst themselves.

(4) Subject to sub-section (2), the members of the Technical Committee appointed by the Minister under sub-section (2) shall hold office for a period of three years from the date of appointment and are eligible for appointment for a further term of three years.

(5) The office of a member becomes vacant-

(a) if the member is absent, without reasonable excuse, from three consecutive meetings of the Technical Committee of which the member has had notice;

(b) upon the member's death;

(d) if the member ceases to hold the office by virtue of which the member was appointed;

(e) if the member becomes incapable of performing the duties of a member;

(f) if the member is removed by the Minister;

(g) if the member is convicted of an offence involving dishonesty or fraud under this Act or any other law; or

(h) upon the expiry of one month's notice of the member's intention to resign from office, given by the member to the Minister.

(6) A member may resign from office by giving one month's notice in writing to the Minister.

(7) Where a vacancy occurs in terms of sub-section (4), the Minister shall appoint another person to replace the member who vacates office, but that person shall hold office for the remainder of the outgoing member's term.

(8) A member of the Technical Committee shall be paid allowances that the Minister may determine with the approval of the Emoluments Commission.

[S 10 subs by s 7 of Act 9 of 2018.]

11. Functions of Technical Committee

(1) The Technical Committee shall advise the Council and the Department on all technical matters relating to public-private partnerships and projects under this Act.

[S 11(1) am by s 14(a) of Act 9 of 2018.]

(2) Despite the generality of sub-section (1), the Technical Committee shall-

[S 11(2) am by s 14(c) of Act 9 of 2018.]

(a) recommend to the Council the award of agreements under this Act;

(b) evaluate and select projects for award for recommendation to the Council;

(d) perform such other functions provided for under this Act, or as may be assigned by the Council.

12. Proceedings of Technical Committee

(1) Subject to the other provisions of this Act, the Technical Committee may regulate its own procedure.

(2) The Technical Committee shall meet for the transaction of business at least once in every three months at such places and at such times as the Chairperson may determine.

(3) Upon giving notice of not less than 14 days, a meeting of the Technical Committee may be called by the Chairperson and shall be called if not less than five members so request in writing:

Provided that if the urgency of any particular matter does not permit the giving of such notice, a special meeting may be called upon giving a shorter notice.

(4) Six members shall form a quorum at any meeting of the Technical Committee.

(5) There shall preside at any meeting of the Technical Committee-

(a) the Chairperson;

(b) in the absence of the Chairperson, the Vice-Chairperson; and

(c) in the absence of both the Chairperson and the Vice-Chairperson, such member as the members present may elect from among themselves for purposes of the meeting.

(6) The determination of any matter before the Technical Committee shall be according to the votes of the majority of the members present and considering the matter.

(7) The Technical Committee may invite any person whose presence is in its opinion desirable to attend and to participate in the deliberations of a meeting of the Technical committee but such person shall have no vote.

(8) The Technical Committee shall cause minutes to be kept of the proceedings of every meeting of the Technical Committee.

13. Disclosure of interest

(1) A person present at a meeting of the Technical Committee at which any matter is the subject of consideration and in which matter that person is directly or indirectly interested shall, as soon as is practicable after the commencement of the meeting, disclose the interest and shall not, unless the Technical Committee otherwise directs, take part in any consideration or discussion of or vote on, any question touching that matter.

(2) A disclosure of interest made under sub-section (1) shall be noted in the minutes of the meeting at which it is made.

14. Director and other public officers

(1) There is a Director for the Department who is a public officer appointed by the Civil Service Commission.

(2) The Director shall, subject to the general or specific directions of the Council-

(a) be responsible for the administration of the Department;

(b) be an ex officio member of the Technical Committee; and

(3) The Civil Service Commission shall appoint such other officers as are necessary for purposes of this Act.

[S 14 subs by s 8 of Act 9 of 2018.]

15. Conciliation, mediation and arbitration

Despite section 64, the Council may act as mediator, conciliator or arbiter with regard to any dispute, arising under this Act or an agreement, between a contracting authority and a concessionaire at the request of the parties.

[S 15 am by s 14(c) of Act 9 of 2018.]

16. Appointment of mediator or arbitrator

Notwithstanding section 15, the Council may appoint a suitable person to act as mediator or arbitrator for the settlement of disputes on its behalf, if accordance with this Act or the Arbitration Act, and any action or decision of a person so appointed shall be deemed to be an action or a decision of the Council.

PART III
PROJECT IDENTIFICATION AND FEASIBILITY STUDY

17. Participation in project

Any person in the private sector may participate in the financing, construction, rehabilitation, maintenance, operation and management of any projects as enumerated in the First Schedule or as prescribed, despite any other law to the contrary.

[S 17 am by s 14(c) of Act 9 of 2018.]

18. Project identification and feasibility study

The Minister may, by statutory instrument, make regulations to provide for-

(a) the identification, evaluation, operation and management of projects under this Act;

(b) the undertaking of feasibility studies for purposes of this Act;

(d) any other matter to ensure that agreements provide value for money and afford the optimum transfer of appropriate technical, operational or financial risks to concessionaire.

19. Approval by Council

(1) Subject to sub-section (5), a contracting authority shall, after undertaking a feasibility study and in accordance with the advice of the Department, submit a project proposal together with the proposed agreement to the Technical Committee for evaluation.

[S 19(1) am by s 14(a) of Act 9 of 2018.]

(2) The Technical Committee shall consider the project proposal and the proposed agreement submitted under sub-section (1) and submit the feasibility study, the project proposal and the proposed agreement to the Council which shall-

(a) accept the project proposal and agreement with or without amendments, within the prescribed time;

(b) return the project proposal and agreement to the contracting authority for re-consideration and re-submission for approval, within the prescribed time; or

(3) If at any time, after the Council has approved a feasibility study for a project, any assumption in the feasibility study is materially revised, including any assumption concerning affordability, value for money and substantial technical, operational and financial risks transfer, the contracting authority shall immediately-

(a) provide the Technical Committee with details of the intended revision including a statement regarding the purpose and impact of the intended revision of the affordability, value for money and risk transfer evaluation contained in the feasibility study; and

(b) ensure that the Technical Committee is provide with a revised feasibility study for submission to the Council for consideration in accordance with sub-section (2).

PART IV
COMPETITIVE SELECTION PROCESS AND AWARD PROCEEDINGS

20. Procurement procedure

(1) The procurement procedure relating to public private partnerships provided for under this Act shall be as follows-

(a) the procurement system shall be fair, equitable, transparent, competitive and cost effective;

(b) the procurement process shall be in accordance with-

(i) this Act or the bidding documents; or

(ii) where this Act or the bidding documents do not specifically provide for a process, commission, omission, offence or penalty in relation to any aspect of the procurement process relating to public-private partnership, the Public Procurement Act, shall apply; and

(c) take into account the Citizens Economic Empowerment Act, regarding preferential treatment for certain categories of citizens that have been disadvantaged or marginalised, as defined under that Act, in accessing and being awarded tenders for the procurement of goods and services.

21. Pre-selection proceedings

A contracting authority may engage in pre selection proceedings with a view to identifying bidders that are suitably qualified to implement the proposed project.

22. Request for expression of interest

(1) A contracting authority shall prepare a request for submission of expressions of interest, after the approval of the feasibility study.

(2) A contracting authority shall submit the request for submission of expression of interest prepared by it to the Department for written authorisation to advertise, invite, solicit or call for bids for the purposes of engaging in pre selection proceedings.

[S 22(2) am by s 14(a) of Act 9 of 2018.]

(3) A contracting authority shall not issue any bidding document for a public private partnership to any prospective bidder before obtaining the approval of the Department.

[S 22(3) am by s 14(a) of Act 9 of 2018.]

(4) The invitation for submission of expressions of interest shall be published in accordance with regulations issued under it.

(5) The invitation to submit expressions of interest for participation in the pre selection proceedings shall include at least the following-

(a) a description of the infrastructure project or facility;

(b) an indication of other essential elements of the project, such as the-

(i) services to be delivered by the concessionaire; and

(ii) financial arrangements envisaged by the contracting authority;

(d) the manner and place for the submission of applications for pre-selection and the deadline for the submission, expressed as a specific date and time, allowing sufficient time for bidders to prepare and submit their expressions of interest;

(e) the manner and place for solicitation of the pre selection bidding documents; and

(f) an appropriate statement to the effect that the contracting authority reserves the right to request proposals upon completion of the pre selection proceedings only from a limited number of bidders that best meet the pre selection criteria.

(6) The pre-selection bidding documents shall include at least the following information-

(a) the pre-selection criteria in accordance with section 23;

(b) whether the contracting authority intends to waive any limitation on the participation of consortia in accordance with section 24;

(c) whether the contracting authority intends to request only a limited number of pre selected bidders to submit proposals upon completion of the pre selection proceedings and, if applicable, the manner in which this selection shall be carried out; and

(d) whether the contracting authority intends to require the preferred bidder to establish an independent legal entity under any other law in accordance with section 41.

23. Pre-selection criteria

Any person who meets the criteria stated in the pre selection bidding documents shall qualify for the pre selection proceedings which criteria shall include the following-

(a) adequate professional and technical qualifications, human resources and equipment and other physical facilities as may be necessary to carry out all the phases of the project; and

(b) appropriate managerial and organisational capability, reliability and experience, including previous experience in operating similar infrastructure facilities.

24. Participation of consortia

(1) A contracting authority when requesting for submission of expressions of interests for the pre selection proceedings, may allow bidders to form bidding consortia and in such a case the bidding consortium shall demonstrate its qualifications, in accordance with section 23, relating to the consortium as a whole as well as to individual members.

(2) Unless otherwise authorised by a contracting authority in the pre selection bidding documents, each member of a consortium may participate, either directly or indirectly, in only one consortium at the same time.

(3) When considering the qualifications of bidding consortia, a contracting authority shall consider the capabilities of each of the consortium's members and assess whether the combined qualification of the consortium's members are adequate to meet the needs of all phases of the project.

25. Evaluation of pre-selection bids

(1) A contracting authority shall evaluate the qualifications of each bidder that has submitted an expression of interest for pre-selection, applying only the criteria that are ser forth in the pre-selection bidding documents and this Act.

(2) All pre-selected bidders shall, after the approval of the Department, as specified in section 26, be invited by the contracting authority to submit proposals in accordance with this Act.

[S 25(2) am by s 14(a) of Act 9 of 2018.]

26. Single stage and two stage procedures for requesting proposal

(1) After the evaluation of the pre-selection bids, the contracting authority shall submit a report for approval to the Department, demonstrating how the pre-selection criteria specified under section 23 has been met.

(2) The report shall contain the following statements-

(a) that the bids explain the capacity of the concessionaires and their proposed mechanisms and procedures to effectively implement, manage, enforce, monitor and report on the proposed infrastructure project and facility; and

(b) that a satisfactory due diligence including a legal due diligence has been completed by the Department and the selected concessionaires in relation to matters of their respective competence and capacity are qualified to enter into the public-private partnership agreement.

[S 26 subs by s 9 of Act 9 of 2018.]

27. Content of request for proposals

(1) A contracting authority shall provide a set of the request for proposals and related documents issued in accordance with section 28 to each pre-selected bidder that pays the fee, if any, charged for those bidding documents.

(2) Despite sub-section (1), a contracting authority may use a two stage procedure to request for a proposal from pre-selected bidders when the contracting authority does not consider it to be feasible to describe the characteristics of the project in the request for a proposal.

(3) Where a two stage procedure is used, the following shall apply-

(a) the initial request for proposals shall call on the bidders to submit, in the first stage of the procedure, initial proposals relating to project specifications, performance indicators, financing requirements or other characteristics of the project as well as the main contractual terms proposed by the contracting authority or Department;

(b) the contracting authority may convene meetings and hold discussions with any of the bidders to clarify questions concerning the initial request for proposals or the initial proposals and accompanying documents submitted by the bidders which shall be recorded in minutes of the meeting or discussion;

(c) following evaluation of the proposals received, the contracting authority may review and, as appropriate, revise the initial request for proposals by removing, modifying or adding to any aspect of the initial project specifications, performance indicators, financing requirements or other characteristics of the project, including the main contractual terms and any criterion for evaluating proposals and ascertaining the preferred bidder, as set out in the initial request for the proposals;

(d) the contracting authority shall indicate in the record of the selection proceedings, to be kept pursuant to section 39, the justification for any revision to the request for proposals and which shall be communicated in the invitation to submit final proposals; and

(e) at the second stage of the procedure, the contracting authority, shall invite the bidders to submit final proposals with respect to a single set of project specifications, performance indicators or contractual terms in accordance with sections 28 to section 34.

[S 27 subs by s 9 of Act 9 of 2018.]

28. Content of request for proposal

To the extent not required by, or under, the Public Procurement Act, a request for proposals shall include the following-

(a) general information as may be required by the bidders in order to prepare and submit their proposals;

(b) project specifications and performance indicators, as appropriate, including the contracting authority's or Department's requirements regarding safety and security standards and environmental protection;

(c) contractual terms proposed by the contracting authority or Department including an indication of which terms are considered to be non-negotiable; and

(d) criteria for evaluating proposals, and the thresholds, if any, set by the contracting authority for identifying non-responsive proposals, the relative weight to be accorded to each evaluation criterion and the manner in which the criteria and thresholds are to be applied in the evaluation and rejection of proposals.

[S 28 subs by s 9 of Act 9 of 2018.]

29. Bid securities

(1) A request for a proposal shall set out the requirements with respect to the issue of, and the nature, form, amount and other principal terms and conditions of the required bid security.

(2) A bidder shall not forfeit any bid security that it may have been required to provide, other than in cases of a-

(a) withdrawal or modification of a proposal after the deadline for submission of proposals and, if so stipulated in the request for a proposal, before that deadline;

(b) failure to enter into final negotiations with the contracting authority pursuant to section 34(1);

(c) failure to submit its best and final offer within the time limit prescribed by the contracting authority pursuant to section 34(2);

(d) failure to sign the agreement, if required by the contracting authority to do so, after the technical proposal has been accepted; or

(e) failure to provide the required security for the fulfilment of the agreement after the proposal has been accepted or to comply with any other condition prior to signing the agreement as specified in the request for a proposal.

[S 29 subs by s 9 of Act 9 of 2018.]

30. Clarifications and modifications

(1) A contracting authority may, whether on its own initiative or as a result of a request for clarification by a bidder, review and, as appropriate, revise any element of the request for a proposal as set out in section 28.

(2) A contracting authority shall indicate in the record of the selection proceedings, to be kept pursuant to section 39, the justification for any revision to the request for a proposal and which shall be communicated to the bidders, in the same manner as the request for a proposal, at a reasonable time prior to the deadline for submission of proposals.

[S 30 subs by s 9 of Act 9 of 2018.]

31. Evaluation criteria

(1) The criteria for evaluating technical proposals shall include the following-

(a) technical soundness;

(b) compliance with environmental standards under any law;

(d) quality of services and measures to ensure their continuity; and

(e) any other prescribed criteria.

(2) The criteria for evaluating financial and commercial proposals shall include, as appropriate-

(a) the present value of proposed user levies, unit prices, and other charges over the agreement period;

(b) the present value of proposed direct payments by the contracting authority, if any;

(c) the costs for design and construction activities, annual operation and maintenance costs, present value of capital costs and operating and maintenance costs;

(d) the extent of financial support, if any, expected from a public authority in Zambia;

(e) the soundness of the proposed financial arrangements;

(f) the extent of acceptance of the negotiable contractual terms proposed by the contracting authority in the request for technical proposals;

(g) the social and economic development potential offered by the technical proposals; and

(h) any other prescribed criteria.

[S 31 subs by s 9 of Act 9 of 2018.]

32. Evaluation of proposal

(1) A contracting authority shall evaluate each proposal in accordance with the evaluation criteria, the relative weight accorded to each such proposal criterion and the evaluation process set out in the request for proposals.

(2) For the purposes of sub-section (1), a contracting authority may establish thresholds with respect to quality, technical, financial and commercial aspects of the proposal.

[S 32 subs by s 9 of Act 9 of 2018.]

33. Further demonstration of fulfilment of qualification criteria

(1) A contracting authority may require any bidder that has been pre-selected to demonstrate again its qualifications in accordance with the same criteria used for pre-selection.

(2) A contracting authority shall disqualify any bidder that fails to demonstrate its qualifications again if requested to do so.

[S 33 subs by s 9 of Act 9 of 2018.]

34. Final negotiations

(1) A contracting authority shall rank all responsive proposals on the basis of the evaluation criteria and invite, for final negotiation of the agreement, the bidder that has attained the best rating, except that the final negotiations shall not include those contractual terms, if any, that were stated as non-negotiable in the final request for a proposal.

(2) Where a bidder puts forward its best and final offer and the contracting authority does not find that offer acceptable, it shall terminate the negotiations with the bidder concerned.

(3) Where a contracting authority terminates negotiations under sub-section (2), the contracting authority shall invite the other bidders for negotiations, in the order of their ranking, until the parties conclude an agreement or the contracting authority rejects all the remaining proposals.

(4) A contracting authority shall not resume negotiations with a bidder with whom negotiations have been terminated in accordance with this section.

[S 34 subs by s 9 of Act 9 of 2018.]

35. Circumstances authorising award without competitive procedures

A contracting authority may negotiate an agreement, subject to the approval of the Council, without using the procedure set out in this Part in the following cases-

(a) where the project is of short duration and the anticipated initial investment value does not exceed an amount prescribed;

(b) where the project involves national defence or national security;

(c) where there is only one source capable of providing the required service, such as, when the provision of the service requires the use of intellectual property, trade secrets or other exclusive rights owned or possessed by a certain person or persons;

(d) where an invitation to the pre-selection proceedings or a request for a proposal has been issued but no proposals were submitted or all proposals failed to meet the evaluation criteria set out in the request for proposals and if, in the opinion of the contracting authority, issuing a new invitation to the pre-selection proceedings and a new request for technical proposals is not likely to result in an infrastructure project or facility award within the required time frame; or

(e) in any other case where the Council authorises such an exception for compelling reasons of national or public interest.

[S 35 subs by s 9 of Act 9 of 2018.]

36. Procedures for negotiation of agreement

Where an agreement is negotiated without using the procedures set out in this Part, a contracting authority shall-

(a) except for an agreement negotiated pursuant to sub paragraph (c) of section 35, cause a notice, of its intention to commence negotiations in respect of the agreement, to be published in the prescribed manner;

(b) engage in negotiations with as many person as the contracting authority considers capable of carrying out the project, as circumstances permits; and

37. Confidentiality

(1) A contracting authority and the Department shall treat proposals in such a manner as to avoid the disclosure of their content to competing bidders and any discussion, communication or negotiation between the contracting authority and a bidder shall be confidential.

[S 37(1) am by s 14(a) of Act 9 of 2018.]

(2) Unless required by law or by a court order or permitted by the request for proposals, a party to a negotiation shall not disclose, to any other person, any technical or financial matter or any other information in relation to any discussion, communication or negotiation submitted, received or done, as the case may be, under this Act, without the consent of the other party.

38. Notice of contract award

(1) Subject to sub-section (3) and except for a contract awarded pursuant to paragraph (c) of section 35, a contracting authority shall cause a notice of the contract award to be published in the prescribed manner.

(2) A notice issued under sub-section (2) shall identity the concessionaire and include a summary of the essential terms of the agreement.

(3) A contracting authority shall not award any project or sign any agreement unless the-

(a) award of the project has been approved by the Department; and

[S 38(3)(a) am by s 14(a) of Act 9 of 2018.]

(b) agreement relating to the project has been approved by the Council.

39. Record of selection and award proceedings

A contracting authority shall keep an appropriate record of information pertaining to the selection and award proceedings in the prescribed manner.

40. Review procedures

A bidder that claims to have suffered, or that may suffer, loss or injury due to a breach of a duty imposed on a contracting authority under this Act or any other written law, may seek review of the contracting authority's acts or failure to act.

41. Organisation of concessionaire

(1) A contracting authority may require that the preferred bidder establish a legal entity incorporated under the laws of Zambia.

(2) Where a preferred bidder establishes a legal entity in accordance with sub-section (1), the bidder shall make a statement to that effect in the pre selection bidding documents or in the request for technical proposals, as appropriate.

(3) Any requirement relating to the minimum capital of a legal entity established under sub-section (1) and the procedures for obtaining the approval of a contracting authority to the legal entity's Articles of Association or any significant changes in the Articles shall be set out in the agreement consistent with the terms of the request for proposals.

42. Unsolicited proposal

(1) A contracting authority may receive, consider, evaluate and accept an unsolicited proposal for a public private partnership if the proposal-

(a) is independently originated and developed by the proposer;

(b) shall be beneficial to the public

[S 42(1)(c) am by s 14(a) of Act 9 of 2018.]

(d) includes sufficient details and information for a contracting authority to evaluate the proposal in an objective and timely manner.

(2) A contracting authority shall, within 14 days after receiving an unsolicited proposal, undertake a preliminary evaluation of the unsolicited proposal to determine if the proposal complies with the requirements of sub-section (1).

(3) A contracting authority or the Department shall take appropriate action to protect confidential or proprietary information that a person provides as part of an unsolicited proposal.

[S 42(3) am by s 14(a) of Act 9 of 2018.]

(4) A contracting authority shall, where an unsolicited proposal does not comply with sub-section (1), return the proposal without further action.

(5) A contracting authority may, if an unsolicited proposal complies with sub-section (1), continue to evaluate the proposal in accordance with the section.

(6) A contracting authority shall, if an unsolicited proposal complies with sub-section (1), advertise the unsolicited proposal for the purpose of receiving competitive proposal for the same project.

(7) An advertisement issued under sub-section (6), shall outline the general nature and scope of the unsolicited proposal, including the location of the project, if appropriate and the work to be performed on or in connection with the project and shall specify an address to which a competing proposal may be submitted.

(8) An advertisement, issued under sub-section (6), shall specify a reasonable time period by which competitors shall submit a competing proposal to the contracting authority.

(9) A contracting authority may charge, the original proposer or any competing proposer, a reasonable fee to cover its costs for processing, reviewing and evaluating an unsolicited proposal and any competing proposals, as the case may be.

(10) A contracting authority shall-

(a) determine if any competing proposal is comparable in nature and scope to the original unsolicited proposal;

(b) evaluate the original unsolicited proposal and any comparable competing proposal; and

(11) A contracting authority shall evaluate an unsolicited proposal and any comparable competing proposal using the following criteria-

(a) novel methods, approaches or concepts demonstrated by the proposal;

(b) scientific, technical, or socio economic merits of the proposal;

(d) capabilities, related experience, facilities, or techniques of the private entity or unique combinations of these qualities that are integral factors for achieving the proposal objectives;

(e) qualifications, capabilities, and experience of the proposed team leader or key personal, who are critical to achieving the proposal objectives;

(f) how the proposal benefits the public; and

(g) any other factors appropriate to a particular proposal.

(12) After evaluating an unsolicited proposal and any competing proposals, a contracting authority may-

(a) accept the unsolicited proposal and reject any competing proposals;

(b) request the originator of the proposal to match any competing proposal or make a best and final offer and if the originator of the proposal does so, the project shall be awarded to the originator of the proposal;

(c) reject the unsolicited proposal and accept a comparable competing proposal if the contracting authority determines that the comparable competing proposal is the most advantageous to the Government;

(d) accept both the unsolicited proposal and a competing proposal if accepting both proposals is advantageous to the Government; or

(e) reject the unsolicited proposal and any competing proposal.

(13) Sub-section (3) shall apply to any unsolicited proposal or competing proposal that has been rejected.

PART V
PUBLIC PRIVATE PARTNERSHIP AGREEMENTS

43. Contents and implementation of agreement

An agreement shall provide for such matters as the parties consider appropriate, but shall include-

(a) the nature and scope of works to be performed and services to be provided by the concessionaire;

(b) the conditions for provision of services and the extent of exclusivity, if any, of the concessionaire's rights under the agreement;

(c) the assistance that a contracting authority may provide to the concessionaire in obtaining licences and permits to the extent necessary for the implementation of the project;

(d) the return of assets, if any, to a contracting authority, at the termination or expiry of the agreement, in such manner as may be provided for in the agreement, as specified in section 45;

(e) procedures for the review and approval of engineering designs, construction plan and specifications by the contracting authority and the procedure for testing and final inspection, approval and acceptance of the project;

(f) the Department's contracting authority's or other regulatory agency's right to monitor the works to be performed and services to be provided by the concessionaire and the conditions and extent to which the Department, contracting authority or the regulatory agency may order variations in respect of the works and conditions of service or take such other reasonable actions as they may find appropriate to ensure that the project is properly operated and the services are provided in accordance with the applicable legal and contractual requirements;

[S 43(f) am by s 14(a) of Act 9 of 2018.]

(g) the extent of the concessionaire's obligation to provide the Department, contracting authority or regulatory agency, as appropriate, with reports and other information on its operations;

[S 43(g) am by s 14(a) of Act 9 of 2018.]

(h) mechanisms to deal with additional costs and other consequences that might result from any order issued by the Department, contracting authority or another public authority under this Act including any compensation to which the concessionaire might be entitled;

[S 43(h) am by s 14(a) of Act 9 of 2018.]

(i) any rights of the Department or contracting authority to review and approve major contracts to be entered into by the concessionaire, in particular with the concessionaire's own shareholders or other affiliated persons;

[S 43(i) am by s 14(a) of Act 9 of 2018.]

(j) guarantees of performance to be provided and insurance policies to be maintained by the concessionaire in connection with the implementation of the project;

(k) remedies available in the event of default of either party;

(l) the extent to which either party may be exempt from liability for failure or delay to comply with any obligation under the agreement owing to circumstances beyond its reasonable control;

(m) the duration of the agreement and the rights and obligations of the parties upon its expiry or termination;

(n) the manner for calculating compensation under this Act as provided under section 61;

(o) the governing law and the mechanisms for the settlement of disputes that may arise between the Department or contracting authority and the concessionaire;

[S 43(o) am by s 14(a) of Act 9 of 2018.]

(p) the rights and obligations of the parties with respect to confidential information;

(q) the relevant financial terms including proceeds arising from the projects;

[S 43(q) am by s 10 of Act 9 of 2018.]

(r) the sharing of generic risks between the contracting authority and the concessionaire;

(s) the payment to the concessionaire by way of compensation from a revenue fund or of user levies collected by the concessionaire for a service provided by it as provided under section 48; and

(t) such other information as may be prescribed.

44. Governing law

Every agreement shall be governed by and construed in accordance with the laws of Zambia unless otherwise provided in the agreement.

45. Ownership of assets

(1) An agreement shall specify, as appropriate, which assets are or shall be public property and which assets are or shall be the private property of the concessionaire.

(2) An agreement shall, in particular, identify which assets belong to the following categories-

(a) assets, if any, that the concessionaire is required to return or transfer to the contracting authority or to another entity indicated by the contracting authority in accordance with the terms of the agreement;

(b) assets, if any, that the contracting authority, at its option, may purchase from the concessionaire; and

46. Acquisition of rights related to project side

(1) A contracting authority or other public authority, under the terms of any relevant law and an agreement, shall make available to the concessionaire or, as appropriate, shall assist the concessionaire in obtaining such rights related to the project side, including title thereto, as may be necessary for the implementation of the project.

(2) Any compulsory acquisition of land that may be required for the implementation of a project shall be carried out in accordance with the Land Acquisition Act.

47. Easements

A contracting authority or other public authority, under the terms of any law and an agreement, shall make available to the concessionaire or, as appropriate, shall assist the concessionaire to enjoy the right to enter upon, transit through or do work or fix installations upon, property of third parties, as appropriate and required for the implementation of the project.

48. Financial arrangements

(1) A concessionaire shall have the right to charge, receive or collect user levies for the use of an infrastructure facility or its services in accordance with an agreement, which shall provide for methods and formulas for the establishment and adjustment of users levies in accordance with any rules established by the competent regulatory agency.

(2) A contracting authority may agree to make direct payments to the concessionaire as a substitute for, or in addition to, user levies for the use of the project or its services.

49. Security interest

(1) Subject to any restriction that may be contained in an agreement, a concessionaire shall have the right to create security interests over any of its assets, rights or interests, including those relating to the project, as shall be required to secure any financing needed for the project, including, in particular, the following-

(a) security over movable or immovable property owned by the concessionaire or its interests in project assets; and

(b) a pledge of the proceeds of, and receivables owed to the concessionaire for, the use of the project or the services it provides.

(2) The shareholders of a concessionaire's company shall have the right to pledge or create any other security interest in their shares in the company.

(3) No security under sub-sections (1) and (2) may be created over public property or other property, assets or rights needed for the provision of a public service, where the creation of such security is prohibited by the laws of Zambia.

50. Assignment of agreement

(1) Except as otherwise provided in section 49, the rights and obligations of the concessionaire under an agreement may not be assigned to a third party without the prior written consent of the appropriate contracting authority.

(2) An agreement shall set out the conditions under which a contracting authority shall give its consent to an assignment of the rights and obligations of the concessionaire under the agreement, including the acceptance by the new concessionaire of all obligations there under and evidence of the new concessionaire's technical and financial capability as shall be necessary for providing the service or undertaking the project.

51. Transfer of controlling interest in concessionaire

(1) Except as otherwise provided in an agreement, a controlling interest in the concessionaire's company shall not be transferred to third parties without the consent of the appropriate contracting authority.

(2) An agreement shall set forth the conditions under which the consent of a contracting authority shall be given.

52. Operation of infrastructure facility

(1) An agreement shall set out, as appropriate, the extent of a concessionaire's obligation to ensure-

(a) the modification of the service so as to meet the demand for the service;

(b) the continuity of the service;

(d) the non discriminatory access, as appropriate, of other service providers to any public infrastructure network operated by the concessionaire.

(2) A concessionaire shall have the right to issue and enforce rules governing the use of the infrastructure facility, subject to the approval of the appropriate contracting authority or regulatory agency.

53. Compensation for specific changes in legislation

An agreement shall set out the extent to which a concessionaire is entitled to compensation in the event that the cost of the concessionaire's performance of the agreement has substantially increased or that the value that the concessionaire receives for such performance has substantially diminished, as compared with the costs and the value of performance originally foreseen, as a result of changes in legislation or regulations specifically applicable to the project or the services it provides.

54. Revision of agreement

(1) Without prejudice to section 63, an agreement shall set out the extent to which a concessionaire is entitled to a revision of the agreement with a view to providing compensation in the event that the costs of the concessionaire's performance of the agreement has substantially increased or that the value that the concessionaire receives for such performance has substantially diminished, as compared with the costs and the value of performance originally foreseen, as a result of-

(a) changes in economic or financial conditions; or

(b) changes in legislation or regulations not specifically applicable to the project or the services it provides:

Provided that the economic, financial, legislative or regulatory changes-

(i) occur after the conclusion of the agreement;

(ii) are beyond the control of the concessionaire; and

(iii) are of such a nature that the concessionaire could not reasonably be expected to have taken them into account at the time the agreement was negotiated or have avoided or overcome their consequences.

(2) An agreement shall establish procedures for revising the terms of the agreement following the occurrence of any changes.

55. Takeover of project

(1) A contracting authority shall have the right, under the circumstances set out in an agreement, to temporarily take over the operation of an infrastructure project or facility, for the purpose of ensuring the effective and uninterrupted delivery of a service or timely completion of the project, in the event of the material default by the concessionaire in the performance of its obligations and to rectify the breach within a reasonable period of time after having been given notice by the contracting authority to do so.

(2) In the event that a contracting authority elects to take over a project under sub-section (1), the contracting authority-

(a) shall collect and pay any revenues that are subject to lien to satisfy any obligation;

(b) may develop and operate the project, impose user levies and comply with any service contract existing; and

56. Substitution of concessionaire

(1) The Department may agree with any entity extending financing for a project and a concessionaire to provide for the substitution of the concessionaire with another person appointed to perform under the existing agreement, upon a material default by the concessionaire or other event that could otherwise justify the termination of the agreement.

[S 56(1) am by s 14(a) of Act 9 of 2018.]

(2) The Government may facilitate a concessionaire to securitise any project receivables and assets in favour of a lender subject to such terms as the Government may determine in order to safeguard the successful implementation, completion, working, management and control of the project.

57. Duration and extension of agreement

The duration of a public private partnership shall be set forth in an agreement and the contracting authority may not agree to extend its duration except as a result of the following circumstances-

(a) delay in completion or interruption of operation due to circumstances beyond the reasonable control of either party;

(b) project suspension brought about by acts of the Department or a contracting authority or other public authority;

[S 57(b) am by s 14(a) of Act 9 of 2018.]

(c) increase in costs arising from requirements of the Department or a contracting authority not originally foreseen in the agreement, if the concessionaire would not be able to recover such costs without such extension; or

[S 57(c) am by s 14(a) of Act 9 of 2018.]

(d) on agreement with the concessionaire, for reasons of national or public interest, as justified in the record to be kept by the Department.

[S 57(d) am by s 14(a) of Act 9 of 2018.]

58. Termination of agreement by contracting authority

A contracting authority or the Department may terminate an agreement-

[S 58 am by s 14(a) of Act 9 of 2018.]

(a) in the event that it can no longer be reasonably expected that the concessionaire will be able or willing to perform its obligations, owing to insolvency, material default or otherwise; or

(b) for compelling reasons of national or public interest, subject to payment of compensation to the concessionaire as agreed in the agreement.

59. Termination of agreement by concessionaire

A concessionaire shall not terminate an agreement except under the following circumstances-

(a) in the event of material default by the Department or a contracting authority or other public authority of its obligations under the agreement;

[S 59(a) am by s 14(a) of Act 9 of 2018.]

(b) if the conditions for a revision of the agreement under sub-section (1) of section 54 are met but the parties have failed to agree on a revision of the agreement; or

(c) if the cost of the concessionaire's performance of the agreement has substantially increased or the value that the concessionaire receives for such performance has substantially diminished as a result of acts or omissions of the Department or a contracting authority or other public authority and the parties have failed to agree on a revision of the agreement.

[S 59(c) am by s 14(a) of Act 9 of 2018.]

60. Termination of agreement by either party

Either party has the right to terminate an agreement by mutual consent or if the performance of its obligations is rendered impossible by circumstances beyond either party's reasonable control.

61. Compensation upon termination of agreement

An agreement shall stipulate how compensation due to either party shall be calculated in the event of termination of the agreement and shall provide, where appropriate, for compensation for the fair value of works performed under the agreement, costs incurred or losses sustained by either party, including, as appropriate, lost profits.

62. Management of public private partnerships

A contracting authority shall be responsible for ensuring that the agreement is properly implemented, managed, enforced, monitored and reported on by the concessionaire.

63. Winding up and transfer measures

An agreement shall provide, as appropriate, for-

(a) mechanisms and procedures for the transfer of assets to a contracting authority in case of a winding up;

(b) the compensation to which the concessionaire may be entitled in respect of assets transferred to a contracting authority or to a new concessionaire or purchased by a contracting authority;

(d) the training of a contracting authority's personnel or of a successor concessionaire in the operation and maintenance of project; and

(e) the provision, by the concessionaire, of continuing support services and resources, including the supply of spare parts, if required, for a reasonable period after the transfer of the project to a contracting authority or to a successor concessionaire.

PART VI
SETTLEMENT OF DISPUTES AND GENERAL PROVISIONS

64. Disputes between contracting authority or department and concessionaire

Any disputes between the Department or a contracting authority and the concessionaire shall be settled through the dispute settlement mechanisms agreed by the parties in the agreement or, failing such agreement, in accordance with the Arbitration Act.

[S 64 am by s 14(a) of Act 9 of 2018.]

65. Disputes involving customers or users

The Department may, where a concessionaire provides services to the public or operates an infrastructure facility which is accessible to the public, require the concessionaire to establish simplified and efficient mechanisms for handling claims submitted by its customers or users of the infrastructure facility.

[S 65 am by s 14(a) of Act 9 of 2018.]

65A. Remission of funds

A contracting authority shall remit such percentage of the fees, as determined by the Council, collected under sections 27(1) and 42(9) to the Department to defray the costs of undertaking due diligence, reviewing, evaluating reports, processing recommendation or handling projects on behalf of the contracting authority.

[S 65A ins by s 11 of Act 9 of 2018.]

66. Regulations

(1) The Minister may, by statutory instrument, make regulations for the carrying out of the purposes of this Act.

(2) Without prejudice to the generality of sub-section (1), the Minister may make regulations for-

(a) any thresholds relating to the procurement process;

(b) any matter relating to competitive public bidding and direct negotiations;

(d) the imposition, revision and collection of user levies; and

(e) anything that is required to be prescribed under this Act.

67. Savings

(1) Where an agreement was entered into before the commencement of this Act, and that agreement or arrangement would have been a public-private partnership arrangement if this Act was in operation on such date, then the agreement shall have effect as if this Act was in operation when the agreement or arrangement was entered into.

(2) ...

[S 67(2) rep by s 12 of Act 9 of 2018.]

FIRST SCHEDULE

[First Sch am by s 14(a) of Act 9 of 2018.]

[Sections 3 and 4]

INFRASTRUCTURE PROJECTS AND FACILITIES

The following public private partnership arrangements with their variations and combinations may be entered into by the Department or contracting authority for undertaking any project. The arrangements enumerated in this Schedule are indicative in nature and the Department or contracting authority may evolve and arrive at such agreement or arrangement incorporating any of the arrangement enumerated hereinafter or any other arrangements as are necessary or expedient for any specific project-

1. Build and Transfer (BT)

A contractual arrangement whereby a concessionaire undertakes the financing and construction of a given project and after its completion hands it over to the Government or a contracting authority. The Government or the contracting authority would reimburse the total project investment, on the basis of an agreed schedule. This arrangement may be employed in the construction of any project, including critical facilities, which for security or strategic reasons must be operated directly by the contracting authority.

2. Build Lease and Transfer (BLT)

A contractual arrangement whereby a concessionaire undertakes to finance and construct any project and upon its completion hands it over to the Government or a contracting authority concerned on a lease arrangement for a fixed period, after which ownership of the project is automatically transferred to the Government or the contracting authority concerned.

3. Build Operate and Transfer (BOT)

A contractual arrangement whereby a concessionaire undertakes the construction, including financing, of a given infrastructure facility, and the operation and maintenance thereof. The concessionaire operates the facility over a fixed term during which the concessionaire is allowed to collect user levies fees, rentals and other charges not exceeding those proposed in the bid or as negotiated and incorporated in the agreement or regulations to enable the recovery of the investment in the project. The concessionaire transfers the project to the Government or the contracting authority concerned at the end of the fixed term that shall be specified in the agreement. This shall include a supply and operate situation which is a contractual arrangement whereby the supplier of equipment and machinery for a given project, if the interest of the Government or the contracting authority so requires, operates the facility providing in the process technology transfer and training to Government, regulatory agency or the contracting authority nominated individuals.

4. Build Own and Operate (BOO)

A contractual arrangement whereby a concessionaire is authorised to finance, construct, own, operate and maintain a project from which the concessionaire is allowed to recover this total investment by collecting user levies. Under the project, the concessionaire owns the assets of the project and may choose to assign its operation and maintenance to a project operator. The transfer of the project to the Government or the contracting authority is not envisaged in this structure. However, the Government or contracting authority may terminate its obligations after specified time period.

5. Build Own Operate Transfer (BOOT)

A contractual arrangement whereby a concessionaire is authorised to finance, construct, maintain and operate a project and whereby the projects is to vest in the concessionaire for a specific period. During the operation period, the concessionaire will be permitted to charge user levies specified in the agreement, to recover the investment made in the project. The concessionaire is liable to transfer the project to the Government or the contracting authority after the expiry of the specified period of operation.

6. Build Transfer and Operate (BTO)

A contractual arrangement whereby the Government or a contracting authority contracts out a project to a concessionaire to construct the facility on a turn key basis, assuming costs overruns, delays and specified performances risks. Once the facility is commissioned satisfactorily, the concessionaire is given the right to operate the project and collect user levies under an agreement. The title of the project always vests with the Government or the contracting authority in this arrangement.

7. Contract Add and Operate (CAO)

A contractual arrangement whereby the concessionaire adds to an existing project which it rents from the Government or a contracting authority and operates the expanded project and collects user's levies, to recover the investment over an agreed franchise period. There may or may not be a transfer arrangement with regard to the added facility provided by the concessionaire.

8. Develop Operate and Transfer (DOT)

A contractual arrangement whereby favourable conditions external to a new project which is to be built by a concessionaire are integrated into the BOT arrangement by giving that entity the right to develop adjoining property and thus, enjoy some of the benefits the investment creates such as higher property or rent values.

9. Rehabilitate Operate and Transfer (ROT)

A contractual arrangement whereby any existing facility is handed over to the private sector to refurbish, operate and collect user levies in the operation period to recover the investment and maintain for a franchise period, at the expiry of which the facility is turned over to the Government or a contracting authority. The term is also used to describe the purchase of an existing facility from abroad, importing, refurbishing, erecting and consuming it within the host country.

10. Rehabilitate Own and Operate

A contractual arrangement whereby an existing facility is handed over to the concessionaire to refurbish and operate with no time limitation imposed on ownership. As long as the concessionaire is not in violation of its franchise, it can continue to operate the facility and collect user levies in perpetuity.

11. Build Own Operate and Maintain contract

A contractual arrangement whereby a concessionaire undertakes to finance, construct, operate and maintain a project and whereby such project is to vest in the concessionaire for a specified period. During the period of operation of the project, the concessionaire may be permitted to charge users charges as specified.

12. Lease Management Contract

A contractual arrangement whereby the Government or a contracting authority leases a project owned by the Government to the person who is permitted to operate and maintain the project for the period specified in the agreement and to charge user charges therefore.

13. Management Contract

A contractual arrangement whereby the Government or a contracting authority entrusts the operation and management of a project to a person for the period specified in the agreement on payment of specified consideration. In such agreement, the Government or the contracting authority may charge the user charges and collect the same either itself or entrust the collection, for consideration, to any person who shall after collecting the user charges pay the same to the Government or the contracting authority.

14. Service Contract

A contractual arrangement whereby an existing project is vested in a person to renovate, operate and maintain. The concessionaire shall be permitted to charge levies as specified in the agreement.

15. Supply Operate and Transfer

A contractual arrangement whereby a person undertakes to provide services to the Government or contracting authority for a period. The Government or the contracting authority shall pay the person on amount according to the agreed schedule.

16. Supply Operate and Transfer

A contractual arrangement whereby a person supplies to the Government or a contracting authority the equipment and machinery for a period and undertakes to operate the project for a period and consideration specified in the agreement. During the operation of the project, the person shall undertake to train employees of the Government or contracting authority to operate the project.

SECOND SCHEDULE

[Section 6(2)]

ADMINISTRATION OF THE COUNCIL

1. Tenure of office and vacancy

(1) Subject to the other provisions of this Schedule, a member of the Council, shall hold office for a period of three years from the date of appointment and may be re-appointed for a further period of three years.

(2) Subject to the other provisions of this Schedule, a member shall, on the expiration of the period for which the member is appointed, continue to hold office until another member is appointed to succeed that member.

(3) The office of a member becomes vacant-

(a) upon the member's death;

(b) if the member is adjudged bankrupt;

(c) if the member is absent from three consecutive meetings of the Council of which the member has had notice, without the prior approval of the Council;

(d) upon the expiry of one month's notice of the member's intention to resign from office, given by the member in writing to the Council;

(e) if the member becomes mentally or physically incapable of performing the duties of a member of the council; or

(f) if the member is convicted of an offence involving dishonesty or fraud under this Act or any other written law.

(4) A member may resign from office by giving not less than one month's notice in writing to the President.

(5) The President shall, where the office of a member becomes vacant, appoint another member in place of the member who vacates office, and such member shall hold office for the remainder of the term.

2. Proceedings of Council

(1) Subject to the other provisions of this Act, the Council may regulate its own procedure.

(2) The Council shall meet for the transaction of business, at least once in every three months at such places and times as the Chairperson may determine.

(3) The Chairperson may, upon giving notice of not less than 14 days, call a meeting of the Council and shall call a special meeting upon receiving a written request from at least five members of the Council.

(4) If the urgency of any particular matter does not permit the giving of the notice required under sub-paragraph (3), a special meeting may be called by the Chairperson upon giving a shorter notice.

(5) Five members shall constitute a quorum at a meeting of the Council.

[Para 2(5) subs by s 13 of Act 9 of 2018.]

(6) There shall preside at any meeting of the Council-

(a) the Chairperson

(b) in the absence of the Chairperson, the Vice-Chairperson; and

(c) in the absence of both the Chairperson and the Vice-Chairperson, such member as the members present may elect from amongst themselves for the purpose of that meeting.

(7) A decision of the Council on any question shall be by a majority of votes of the members present and voting at the meeting and, in the event of an equality of votes, the person presiding at the meeting shall have, in addition to a deliberative vote, a casting vote.

(8) The Council may invite any person whose presence in its opinion is desirable to attend and to participate in the deliberations of a meeting of the Council but such person shall have no vote.

(9) The validity of any proceedings, act or decision of the Council shall not be affected by any vacancy in the membership of the Council or by any defect in the appointment of any member or by reason that any person not entitled so to do, took part in the proceedings.

(10) The Council shall cause minutes to be kept of the proceedings of every meeting of the Council and every meeting of any sub-committee established by the Council.

3. Committees of Council

(1) The Council may, for the purpose of performing its functions under this Act, constitute any committee and delegate to any such committee such of its function as it thinks fit.

(2) The Council may appoint as members of a committee constituted under sub-paragraph (1), persons who are or are not members of the Council and such persons shall hold office for such period as the Council may determine.

(3) A committee of the Council may regulate its own procedure.

4. Allowances of members

There shall be paid to members of the Council such allowances as the Council may, with the approval of the President, determine.

5. Disclosure of interest

(1) A member or person who is present at a meeting of the Council at which any matter, in which that person or any member of the person's immediate family, is directly or indirectly interested in a private capacity, is the subject of consideration, shall, as soon as is practicable after the commencement of the meeting, disclose that interest and shall not, unless the Council otherwise directs, take part in any consideration or discussion of, or vote on any question relating to, that matter.

(2) A disclosure of interest made under this paragraph shall be recorded in the minutes of the meeting at which it is made.

6. Prohibition of publication of, or disclosure of information to unauthorised persons

(1) A person shall not, without the consent in writing given by or on behalf of the Council, publish or disclose to any unauthorised person, otherwise than in the course of duties of that person, the contents of any document, communication or information whatsoever, which relates to or which has come to the knowledge of that person in the course of that person's duties under this Act.

(2) A person who contravenes sub-paragraph (1) commits an offence and is liable, upon conviction, to a fine not exceeding two hundred thousand penalty units or to imprisonment for a term not exceeding two years, or to both.

(3) A person who, having any information which to the knowledge of that person has been published or disclosed in contravention of sub-paragraph (1), unlawfully publishes or communicates the information to any other person, commits an offence and is liable, upon conviction, to a fine not exceeding two hundred thousand penalty units or to imprisonment for a term not exceeding two years, or to both.

PART I
PRELIMINARY

1. Short title

This Act may be cited as the Road Traffic Act.

2. Interpretation

In this Act, unless the context otherwise requires-

"Agency" means the Road Transport and Safety Agency established by section 3;

"animal" means any horse, cattle, ass, sheep, mule, pig, goat or dog;

"appointed date" means the date appointed by the Minister under section 1;

"authorised officer" means any police officer, road traffic inspector or member of staff of the Drug Enforcement Commission or of the Anti-Corruption Commission designated as authorised officers for the purposes of this Act and includes any other person declared by the Minister, by statutory order, to be an authorised officer;

"auto cycle" means a bicycle which has pedals and a motor attached and can be propelled by means of such pedals and by mechanical or electrical power from such motor;

"axle weight" has the meaning assigned to it in the Public Roads Act;

"bicycle" shall include a tricycle;

"carriageway" means that part of a road designed and constructed to be used for vehicular traffic or used or reasonably usable for the time being for that purpose, but shall not include a cycle track;

"Chairperson" means the person appointed as Chairperson of the Agency under section 5;

"COMESA" means the Common Market for Eastern and Southern Africa;

"Committee" means a committee of the Agency established under paragraph 5 of the First Schedule;

"construction vehicle" means-

(a) a motor vehicle incorporating water-bring machinery, or construction machinery of the nature of a crane, grader, shovel, scraper, pipe layer, cable layer or of such other nature as may be prescribed; or

(b) any motor vehicle or class of motor vehicle which may, by regulation, be declared to be a construction vehicle;

"contract car" means a motor vehicle primarily constructed or adapted for the carriage of passengers and having seating accommodation for more than seven persons other than the driver, which is let out on hire to a hirer who is to drive oneself or provide the driver for such motor vehicle;

"Council" means the former National Road Safety Council established under the repealed Act;

"customs clearance certificate" shall have the meaning assigned to it by section 10;

"cycle track" means a portion of a road exclusive of the carriage way set aside for use solely by persons riding bicycles;

"Deputy-Director" means a person appointed as Deputy-Director under section 6;

"Director" means the person appointed as Director under section 6;

"driver", in relation to a vehicle, means the person or persons having control of the steering apparatus thereof;

"driving examiner" means any person appointed under the provisions of this Act to examine persons for driving licences;

"fare" means the amount paid or payable for a passenger's conveyance in a public service vehicle or for the hire of a whole passenger-carrying public service vehicle, and includes any sum paid or payable for the conveyance of luggage in excess of any free allowance and any other sums lawfully charged or chargeable by the owner of a public service vehicle or by that person's representative in connection with the conveyance of a passenger in such vehicle;

"footpath" means a portion of a road exclusive of the carriageway set aside for use solely by pedestrians;

"Fund" means the National Road Fund established under the National Road Fund Act;

"gate" means a gate of sufficient width to allow the reasonable free use of the road, having regard to the road traffic thereon, and of not less width than five metres, having a balance or catch or other free fastener so fixed as to enable the gate to move clear of the road from drag;

"goods" include goods or burden of any description;

"goods vehicle" means a motor vehicle constructed or adapted for use primarily for the carriage or haulage of goods or a trailer so constructed or adapted;

"gridiron track" means a track constructed through an opening in a fence intersecting a road, with the object of allowing the passage of vehicles and preventing the passage of livestock;

"gross weight" means the net weight of a motor vehicle or trailer together with such weight of goods or passengers or both as the vehicle or trailer may be authorised in terms of this Act to carry;

"heavy trailer" means a trailer exceeding three thousand six hundred kilogrammes gross weight;

"heavy vehicle" means a motor vehicle exceeding three thousand six hundred kilogrammes, gross weight;

"heavy goods vehicle" means a heavy vehicle, constructed or adapted for use of the carriage or haulage of goods, or a heavy trailer so constructed or adapted;

"Highway Code" means the code comprising directions for the guidance of persons using roads issued under section 231;

"hire car" means a public service vehicle having seating accommodation for not more than seven persons other than the driver which is let with a driver under contract over a period which is not less than 24 hours for the carriage of passengers otherwise than at separate fares;

"identity card" means, in the case of a police officer, a certificate of appointment or other document issued by or on behalf of the Inspector-General of Police and, in the case of a road traffic inspector, a certificate of appointment or other document issued by or on behalf of the Director to enable the holder to be identified as a police officer or road traffic inspector, as the case may be;

"inter-section" means the crossing of two or more roads;

"Interpol" means the International Criminal Police Organisation;

"Interpol Clearance Certificate" means a certificate issued by an Interpol officer under section 10;

"intoxicating liquor" includes both intoxicating liquor as defined in the Liquor Licensing Act and traditional beers as defined in the Traditional Beer Act;

"invalid carriage" means a mechanically propelled vehicle the weight of which unladen does not exceed two hundred and fifty kilogrammes and which is specially designed and constructed, and not merely adapted, for the use of persons with some physical disability and is used solely by such persons;

"laden weight" means the net weight of a motor vehicle or trailer, together with the actual weight of goods or passengers or both carried by such vehicle or trailer;

"licensing officer" means a person appointed by the Agency as licensing officer under section 226;

"light trailer" means a trailer fitted with pneumatic tyres, the gross weight of which does not exceed nine hundred kilogrammes;

"lighting-up time" means from sunset to sunrise;

"local authority" means a city council, municipal council or district council established under the Local Government Act;

"local authority area" means the area for a city council, municipal council or district council;

"manufacturer's permitted gross weight" means the weight that the manufacturer of a motor vehicle or trailer or that manufacturer's representative certifies that such vehicle or trailer has been built to carry in addition to its own weight;

"member" means a member of the Agency, or a committee of the Agency;

"motor-cycle" means any motor vehicle-

(a) which is carried on two wheels only and includes any such motor vehicle with a sidecar or similar attachment, and an auto cycle; or

(b) which is carried on three wheels only, and is not capable of being driven backwards under its own power, and which does not exceed 320 kilograms net weight;

"motor omnibus" means a public service vehicle, other than a hire car and a taxi cab, hired for conveying passengers for reward, whether at separate fares or otherwise;

"motor omnibus service" means a service for the carriage of passengers in a motor omnibus but, except as provided by section 143, does not include the carriage of goods in, on or about any motor omnibus or any trailer attached thereto;

"motor vehicle" means any mechanically propelled vehicle intended for use, or capable of being used, on roads unless such vehicle shall have been specifically excluded by regulations from this definition;

"National Road Fund Agency" means the National Road Fund Agency established under the National Road Fund Act;

"narcotic drug" has the meaning assigned to it in the Narcotic Drugs and Psychotropic Substances Act;

"net weight" means the actual weight of a motor vehicle when unladen, but inclusive of the weight of the body, the full amount of water, fuel and accumulators which are normally carried or used for purposes of propulsion and the normal full equipment of loose tools and accessories, and in the case of a trailer, means the actual weight of the trailer when unladen but inclusive of the normal full equipment of loose tools and accessories;

"owner" means, in relation to a vehicle other than a registered motor vehicle or trailer, the person having habitual possession and control thereof and, in relation to a registered motor vehicle or trailer, the person in whose names the motor vehicle or trailer is registered:

Provided that in the case of a hire-purchase agreement;

"owner" means the person in possession of the vehicle under that agreement;

"parcel" means any package not exceeding five kilogrammes in weight, and not exceeding one metre in length or two metres in length and girth combined;

"park" means to keep a vehicle, whether occupied or not, stationary for a period of time greater than is reasonably necessary for the actual loading or unloading of persons or goods except if such vehicle is stationary for a reason beyond the control of the person in charge of the vehicle, and "parking" shall have a corresponding meaning;

"pneumatic tyre" means a tyre composed of flexible material and when in use kept inflated at an air pressure than atmospheric pressure;

"prescribed" means prescribed by rules or regulations under this Act;

"private motor car" means a motor vehicle (other than a public service vehicle, motor cycle or contract car) constructed or adapted for use primarily for the carriage of passengers;

"public place" includes any public way or place, other than a building, to which for the time being the public are entitled or permitted to have access either with or without condition;

"public road" has the meaning assigned to it in the Public Roads Act;

"public service vehicle" means a motor vehicle or trailer, other than a contract car hired for conveying passengers or goods or both or otherwise used for conveying passengers or goods or both for reward:

Provided that for the purposes of this definition-

(a) a hire-purchase agreement shall be deemed to be a hiring; and

(b) goods shall be deemed to be carried for hire or reward if the person who has purchased or otherwise acquired such goods from some other person acquired such goods from some other person transports them to any other place, and resells or otherwise disposes of them to the person from whom that person purchased or otherwise acquired them;

"repealed Act" means the National Road Safety Council Act;

"road" has the meaning assigned to it in the Public Roads Act;

"road authority" means the authority responsible for the construction, care and maintenance of any road or class of road in accordance with the provisions of the Public Roads Act;

"road reserve" has the meaning assigned to it under the Public Roads Act;

"road traffic inspector" means any person appointed as such under section 226 by the Agency;

"SADC" means the Southern African Development Community;

"structure" includes-

(a) any building, pole, power line, petrol pump, machinery, wall, plantation or hedge and any other object which could in like manner cause obstruction; and

(b) any external alteration or addition to a structure;

"taxicab" means a public vehicle having seating accommodation for not more than seven persons other than the driver which is let with a driver over a period of less than 24 hours for the carriage of passengers otherwise than at separate fares;

"tonne" means one thousand kilogrammes;

"tractor" means a motor vehicle which is used for the purpose of drawing one or more trailers, but which is not itself designed to carry any load;

"traffic" includes vehicles, pedestrians, processions and bodies of troops, and all animals being ridden, driven or led;

"trailer driver" means the person driving the vehicle by which the trailer is being drawn, and in respect of an animal drawn vehicle, means the person driving the animals, and "drive" has a corresponding meaning;

"Tribunal" means the Road Service Appeal Tribunal established under section 111;

"vehicle" includes any engine, wagon, dray, cart, carriage, bicycle, or other means of carrying goods or persons by land, having two or more wheels, whether drawn or propelled by human, animal, steam electric or other power; and

"vehicle examiner" means any person appointed by the Agency as vehicle examiner under section 226.

PART II
THE ROAD TRANSPORT AND SAFETY AGENCY

3. Establishment of Agency

(1) There is hereby established the Road Transport and Safety Agency which shall be a body corporate with perpetual succession and a common seal, capable of suing, and of being sued in its corporate name, and with power, subject to the provisions of this Act, to do all such acts and things as a body corporate may, by law, do or perform.

(2) The provisions of the First Schedule shall apply to the Agency.

4. Functions and Powers of Agency

(1) Subject to the other provisions of this Act the functions of the Agency shall be-

(a) to implement policy on road transport, traffic management and road safety;

(b) to register motor vehicles under the Act;

(d) to pay out such percentage of money into the Road Fund from revenues payable under this Act in respect of fees for licences, permits and concessions granted and registration fees, as the Minister shall, after consultation with the Minister responsible for finance and national planning and the Agency, by regulations, prescribe;

(e) to conduct road safety education and, through publicity campaigns, undertake and assist in the dissemination of information on road safety for the benefit of all sections of the community;

(f) to co-ordinate road safety programmes;

(g) to approve road safety programmes undertaken by, any person, body or institution:

Provided that no person, body or institution shall, without prior approval of the Agency, undertake any road safety programme;

(h) in conjunction with local authorities, to formulate and conduct programmes designed to promote road safety;

(i) to make contributions towards the cost of programmes for promoting road safety undertaken by other authorities or bodies; and

(j) to carry out such other activities as are necessary or conducive to the performance of its functions under this Act.

(2) Without prejudice to the generality of sub-section (1) and in pursuance of their functions under that sub-section the Agency shall-

(a) conduct studies on accidents arising out of use of vehicles on roads;

(b) in the light of those studies recommend to the Government new road safety measures and proposals for road safety policy, taking into account technological development, legal requirements and social and economic conditions;

(c) review and publish reports on the effectiveness of road safety operations conducted by the police officers and road traffic inspectors;

(d) in consultation with the Road Development Agency, established under the Public Roads Act, establish road safety standards to be observed in the construction of roads and during the maintenance of such roads;

(e) in partnership with the Curriculum Development Centre develop a road safety curriculum to be used in schools in Zambia;

(f) provide guidelines for the use of public roads, speedways and racecourses by motor clubs;

(g) set the minimum specification for vehicles so as to comply with road safety standards;

(h) review and publish reports on safety measures that may be considered by the Road Development Agency during the planning, designing and building of new roads and the upgrading of existing roads in order to promote orderly traffic flow and creation of road safety consciousness amongst all road users;

(i) review and publish standards of road fitness that vehicles shall comply with in order to be fit to be driven on the roads;

(j) undertake periodic reviews of existing road traffic and road safety legislation with a view to advising the Government with regard to all necessary amendments;

(k) revise and recommend to the Minister the upgrading of the Highway Code, where necessary;

(l) formulate and update the training programmes required for driving instructors and driving schools; and

(m) affiliate to, and liaise with, road safety organisations in other countries, on road safety education, information and materials.

(3) Notwithstanding the other provisions of this section the Agency may, by direction in writing and subject to such conditions as it thinks fit, delegate to any member, committee or the Director any of its functions under this Act.

5. Composition of Agency

(1) The Agency shall consist of the following part-time members who shall be appointed by the Minister-

(a) a representative of the Pensions and Insurance Authority;

(b) a representative of the Passengers, Pedestrians and Cyclists Association;

(c) a representative of persons with disabilities recommended by the ministry responsible for community development and social welfare;

(d) a representative of the Chartered Institute of Transport;

(e) a representative of passenger transport association;

(f) a representative of the truckers associations;

(g) a representative of the Medical Council of Zambia;

(h) a representative of the Attorney-General;

(i) a representative of the ministry responsible for communications and transport;

(j) a representative of the ministry responsible for home affairs;

(k) the Director of the Road Development Agency;

(l) the Director of the National Road Fund Agency established under the National Road Fund Act; and

(m) one other person.

(2) The members referred to in paragraphs (a) to (j) of sub-section (1) shall be nominated by their respective organisations ministries.

(3) The Director of the Road Development Agency and the Director of the National Road Fund Agency referred to in paragraphs (k) and (l) of sub-section (1) shall be ex officio members of the Agency and shall have no vote.

(4) The Chairperson shall be appointed by the Minister.

(5) The Vice-Chairperson shall be elected by the members of the Agency from among their number.

(6) The Agency shall report to the Committee of Ministers on Road Maintenance Initiative at such times and at such places as the Minister may determine.

(7) The Committee of Ministers referred to in sub-section (6) shall comprise the Minister responsible for communications and transport who shall be the Chairperson, the Minister responsible for works and supply who shall be the Vice-Chairperson, and the Ministers responsible for finance and national planning, local government and housing, energy and water development, agriculture and co-operatives, tourism, environment and natural resources and legal affairs.

(8) A person shall not be appointed as a member of the Agency if the person-

(a) is an undischarged bankrupt;

(b) has been convicted of an offence under this Act;

(d) has been convicted of an offence under any other written law and sentenced to a term of imprisonment of not less than six months without the option of a fine.

6. Director, Secretary and other staff

(1) Subject to sub-section (2), the Agency shall, with the approval of the Minister, appoint a Director on such terms and conditions as it may, with the approval of the Minister, determine, who shall be the chief executive officer of the Agency and who shall, subject to the control of the Agency, be responsible for the day to day administration of the Agency.

(2) The Director shall attend the meetings of the Agency and any committee of the Agency and may address such meetings, but shall have no vote.

(3) The Director shall be the Secretary to the Agency.

(4) The Agency shall appoint-

(a) a deputy director who shall be responsible for road transport; and

(b) a deputy director who shall be responsible for road safety.

(5) The Deputy Directors referred to in sub-section (4) shall-

(a) assist the Director in the performance of the Director's duties under this Act; or

(b) discharge the functions of the Director if the Director is absent or is for any other reason unable to discharge the functions of the Director's office.

(6) The Agency may, on such terms and conditions as it may, with the approval of the Minister determine, appoint such other staff for the Agency as it considers necessary for the performance of its functions under this Act.

PART III
REGISTRATION OF MOTOR VEHICLES AND TRAILERS

7. Motor vehicle and trailer registers

(1) The Director shall keep registers of motor vehicles and trailers, and may upon payment of the prescribed fee, supply to any person applying for a copy of such entries as that person shows has reasonable cause to require:

Provided that no fee shall be payable when the person to whom copies are supplied is an officer of the Government or a local authority acting in an official capacity.

(2) Separate registers shall be kept by the licensing officer in any locality as directed by the Director.

(3) A licensing officer shall, within 14 days, forward to the Director a copy of every entry made in that officer's register.

(4) Any licensing officer shall, upon application being made to that officer by any other licensing officer, supply a copy of entries in that officer's register relating to any motor vehicle or trailer specified in such application.

(5) A licensing officer shall allow any authorised officer to inspect that officer's licensing register at any time and shall permit the authorised officer to take a copy of any entry in the register relating to any specified motor vehicle or trailer.

(6) A licensing officer may supply to any other person applying for a copy of the entries relating to any specified motor vehicle or trailer a copy of these entries on payment of the prescribed fee, where the person shows that there is reasonable cause for requiring such a copy:

Provided that no fee shall be payable when the person to whom the copies are supplied is an officer of the Government or a local authority acting in an official capacity.

8. Registration

(1) On the recommendation of the Agency, the Minister may, by regulation, provide for re-registration of motor vehicles or trailers on a date being not less than 10 years after the previous re-registration of motor vehicles or trailers.

(2) Notwithstanding sub-section (1), any person who has been issued with a registration book for a motor vehicle or trailer under this Act shall surrender such registration book to the licensing officer who shall, upon payment of the prescribed fee by such person re-register that motor vehicle or trailer and issue that person with a new registration book.

9. Registers, etc., to be accepted as evidence

(1) Any extract from a register or other records kept in terms of this Act or any regulation made under it shall, if it purports to be certified to be a true extract by the officer having custody or control of such register or records, be received in any court on production by any person and without further proof as prima facie evidence of the facts therein stated.

(2) The registration document of any motor vehicle or trailer shall be received in any court on production by any person and without further proof as prima facie evidence of the facts stated in the registration document.

10. Motor vehicle to be cleared by Customs and Interpol

(1) Notwithstanding the other provisions of this Act, where a motor vehicle is imported into Zambia, the owner or person in charge of the motor vehicle shall produce, to a Customs Officer at a port of entry, a declaration under the Customs and Excise Act in respect of the motor vehicle.

(2) Where a declaration or certificate is produced under sub-section (1) the officer shall upon being satisfied that it complies with the Customs and Excise Act, issue a Customs Clearance Certificate.

(3) The motor vehicle together with the Customs Clearance Certificate issued under sub-section (2) shall be presented to an Interpol Officer at the port of entry or if the Interpol office is at Lusaka or at a place of some considerable distance from the port, the owner or person in charge of the motor vehicle shall, within 30 days of declaring that vehicle to the Customs Division, present the vehicle to an Interpol Officer for verification of the engine number, the chassis number, colour and any other identification of the motor vehicle and the officer shall, if satisfied with the authenticity of the motor vehicle issue an Interpol Clearance Certificate.

(4) Where a motor vehicle is acquired in Zambia, the person who acquires the motor vehicle shall, within 30 days of the acquisition, present the vehicle together with the letter of sale, the change of ownership certificate and the registration document of the motor vehicle or ownership certificate at the Zambia Police Headquarters for Interpol clearance.

(5) A person who fails to comply with sub-section (1), (3) or (4) or who presents a false declaration to a Customs Division Officer commits an offence and is liable, upon conviction, to a fine not exceeding two hundred thousand penalty units or to imprisonment for a term not exceeding five years, or to both.

11. Registration of motor vehicles and trailers

(1) Subject to the other provisions of this Act, no person shall use a motor vehicle or trailer unless such vehicle or trailer is registered in accordance with the provisions of this Act.

(2) An application for the registration of a motor vehicle or trailer shall be made by the owner on the prescribed form within 14 days of change of ownership into the applicant's name.

(3) The licensing officer to whom such application is made shall assign to the motor vehicle or trailer a registration mark and number containing such feature as the Minister may, on the recommendation of the Agency, by statutory instrument, prescribe and such registration mark and number shall not be transferable on the sale or disposal of the motor vehicle or trailer:

Provided that-

(a) a motor vehicle or trailer shall not be registered unless the applicant produces-

(i) in the case of vehicles wholly manufactured or assembled in Zambia, a certificate of local manufacture or assembly; or

(ii) in any other case, a Customs Clearance Certificate; and

(b) a motor vehicle or trailer shall not be registered unless it complies with the provisions of this Act and of any regulations made under it with regard to the maximum limits permitted for axle weights, gross weight, height, length and width of motor vehicles or trailers or unless it shall have been exempted by the Director appointed under the Public Roads Act from compliance with such limits.

(4) Notwithstanding the other provisions of this section, all motor vehicles shall be registered using the series of registration marks ending with ZM from such a date as the Minister may, by statutory instrument, appoint.

(5) For the purposes of sub-section (3)-

(a) a "Customs Clearance Certificate" means a certificate given by or on behalf of the Commissioner, Customs and Excise, of the Zambia Revenue Authority setting out particulars of ownership and of the motor vehicle or trailer and such other particulars as may be prescribed and certifying that all customs formalities have been complied with in respect of the said motor vehicle or trailer; and

(b) "certificate of local manufacture or assembly" means a certificate given by or on behalf of the manufacturer or assembler of the motor vehicle or trailer, or trailer setting out particulars of the motor vehicle or trailer, the name of the manufacturer or assembler and such other particulars as may be prescribed and certifying that the motor vehicle or trailer has been wholly manufactured or assembled in Zambia.

(6) A licensing officer may, in accordance with such procedure or such conditions as may be prescribed, on the request of any person and on payment of the prescribed fee, assign to a motor vehicle or trailer owned by that person a particular registered letter or letters and number which shall become the registration mark of such motor vehicle or trailer.

(7) The owner of every motor vehicle or trailer shall, upon its registration, pay the fee prescribed for registration and shall obtain from the licensing officer a registration document containing such particulars as may be prescribed.

(8) Whenever it appears to the satisfaction of a licensing officer that-

(a) the registration document issued to any person has been lost or destroyed;

(b) the essential particulars of the registration document have been defaced;

(d) that space on the registration document is lacking for essential particulars;

the licensing officer shall, on payment of the prescribed fee, issue a duplicate of the registration document with the word "duplicate" written thereon:

Provided that, where there is no space available in a registration document for further essential particulars, no fee shall be charged for the issue of a duplicate.

(9) Before a duplicate registration document is issued on account of defacement, dilapidation, or lack of space for essential particulars, the old registration document shall be submitted to the licensing officer.

(10) If a motor vehicle or trailer does not bear a registration mark as provided by this section, this fact shall be regarded as prima facie evidence that the motor vehicle or trailer has not been registered and a police officer or road traffic inspector may detain the vehicle or trailer until inquiries have been made.

(11) The onus of proving that the motor vehicle or trailer has been registered rests upon the owner of the vehicle or trailer.

(12) The owner of a motor vehicle or trailer shall notify the licensing officer of the District in which the motor vehicle or trailer is registered of every change of address and of any other circumstances or event which affects the accuracy of the entries in the register, and shall at the same time forward the registration document for amendment.

(13) The Director and any licensing officer may request any owner of a motor vehicle or trailer at any time to furnish information required for the verification of the entries in the register.

(14) Any person who fails to comply with the provisions of sub-sections (1) to (13) commits an offence and shall be liable, upon conviction, in the case of a first offence to a fine not exceeding one thousand penalty units and in the case of a second or subsequent offence, to a fine not exceeding three thousand penalty units.

12. Sale or transfer of motor vehicle

(1) A person shall at the time of the sale or delivery of a motor vehicle furnish to the purchaser a letter of sale and change of ownership certificate effecting the sale.

(2) A person shall, at the time of transfer or delivery of a motor vehicle, furnish to the person to whom the motor vehicle is transferred or delivered a change of ownership certificate effecting the transfer.

(3) A letter of sale or change of ownership certificate effecting the sale or transfer of ownership of a motor vehicle under sub-section (1) or (2) shall be in the prescribed form specifying-

(a) in the case of a seller or transferor, the seller or transferor's full names and physical address; or

(b) in the case of a motor dealer, the motor dealer's full names, business name and address;

and affirming that the motor vehicle in question has been lawfully sold or transferred to the purchaser or transferee, and the letter of sale or change of ownership shall be duly signed or endorsed by the seller, transferor, or motor dealer.

(4) A person who contravenes sub-section (1) or (2) commits an offence and shall be liable, upon conviction, to a fine not exceeding one hundred thousand penalty units, or to imprisonment for a period not exceeding three years, or to both.

13. Change of ownership

(1) On the change of ownership of a motor vehicle or trailer otherwise other than by death-

(a) the registered owner shall, within 14 days, inform the licensing officer of the District in which the motor vehicle or trailer is registered in writing of the name and address of the new owner, and the date of the change of ownership of the motor vehicle or trailer and shall deliver that person's motor vehicle or trailer's registration document and licence to the new owner;

(b) the new owner shall, within 14 days, deliver the registration document to the licensing officer who shall register the new owner:

Provided that where a person is under the provisions of section 14 entered in the register of the licensing officer and in the registration document as the absolute owner of a motor vehicle or trailer, the licensing officer shall consult that person before registering a person as the new owner of such motor vehicle or trailer.

(2) An application for registration of a new owner may be made before the actual transfer of the motor vehicle or trailer, but the registration of the new owner shall not be effective until the registration document has been surrendered to, and re-issued by, the licensing officer.

(3) On the death of the registered owner of a motor vehicle or trailer, the person who has custody of the motor vehicle or trailer shall, within 14 days of its coming into that person's custody, give notice of the fact to the licensing officer of the District in which the motor vehicle or trailer is registered.

(4) Sub-sections (1) and (2) shall not apply to any change of ownership of a motor vehicle or trailer which occurs by reason of the motor vehicle or trailer being unlawfully seized under a hire-purchase agreement, but in such circumstances the following provisions shall apply-

(a) the registered owner or the owner's representative shall, within seven days of the seizure, deliver the motor vehicle or trailer licence and the registration document to the person who seized the motor vehicle or trailer and inform the licensing officer in writing of the change of ownership;

(b) the person who seizes the motor vehicle shall, within seven days of receiving the motor vehicle or trailer licence and the registration document, apply to the licensing officer to be registered as the owner thereof in place of the registered owner and shall be registered accordingly unless the licensing officer thinks it fit to order otherwise;

(c) the licensing officer shall, if the licensing officer is satisfied that the person whose name has been entered in the register and registration document under section 14 as the absolute owner of the motor vehicle or trailer, is unable within seven days of the seizure, to procure the motor vehicle or trailer licence and the registration document from the registered owner or the registered owner's representative, supply such person on request with duplicate copies of the licence document and such person shall be deemed to be the registered owner and the licensing officer shall accept that person's signature as such until the next change of ownership is effected.

(5) Subject to the provisions of sub-section (4), any change of ownership of any motor vehicle or trailer not notified in writing to the licensing officer of the District in which the motor vehicle or trailer is registered may render the vehicle or trailer liable to be impounded by any road traffic inspector in uniform or by any police officer.

(6) Notwithstanding any other provisions in this section, where the holder of motor dealer's vehicle licence acquires the ownership of a motor vehicle or trailer by way of purchase, or otherwise, for the purpose of resale, the procedure to be followed regarding the registration of the change of ownership shall be prescribed.

(7) On the registration of a new owner, the licensing officer shall charge the prescribed fee, make necessary alterations to the registration document or issue a new registration document, and shall deliver the altered or new registration document to the new registered owner as the case may be.

14. Position of registered owner who is not absolute owner

(1) Where the person entitled to the possession of a motor vehicle or trailer is not the absolute owner of the vehicle, but is registered as the owner of the vehicle, any person claiming to be the absolute owner of the vehicle (hereinafter called the "claimant") may apply to the licensing officer of the District in which the motor vehicle or trailer is registered to enter that person's name in the register, and in the registration document of the motor vehicle or trailer as the absolute owner in addition to the name of the registered owner.

(2) On receipt of the application referred to in sub-section (1), the licensing officer shall make such inquiries into the matter as the licensing officer considers necessary and shall, depending on the officer's findings, enter the name of the absolute owner or refuse such entry:

Provided that any person aggrieved by such a decision may, within 30 days, appeal to the Director.

(3) Where a decision made in accordance with sub-section (2) requires that the name of the claimant be entered in the registration document, the registered owner shall produce the document for the entry to be made upon being required to do so.

(4) When any person whose name has been entered in the register and registration document as the absolute owner of a motor vehicle or trailer ceases to be the absolute owner, that person shall inform the licensing officer who shall thereupon delete the entries:

Provided that the licensing officer may delete the entries otherwise than upon the information given by the claimant, if the officer is satisfied that the person has ceased to be the absolute owner of the vehicle or trailer.

15. Furnishing evidence of weights and dimensions of motor vehicle or trailer

(1) Every owner of a motor vehicle or trailer shall, if so required by the Director or a licensing officer, furnish such evidence to the Director or licensing officer in regard to the net weight and maximum weight, including-

(a) the weight that the manufacturers of the motor vehicle or trailer state that such vehicle or trailer has been built to carry; and

(b) the recommended distribution of the weight over the several axles of the vehicle and the height, length and width of the motor vehicle or trailer, and any person who fails to comply with any such requirement commits an offence.

(2) The Director or a licensing officer may require-

(a) any dealer in motor vehicle or trailer to furnish a sworn declaration specifying the net weight, maximum weight, including the weight, that the manufacturer of the motor vehicle or trailer state that such vehicle or trailer has been built to carry, including the recommended distribution of such weight over the several axles of the motor vehicle or trailer, and the height, length and width of any motor vehicle trailer sold by the dealer; and

(b) any builder of motor vehicle or trailer bodies to furnish such a declaration concerning the weight and dimensions of any such body built by the dealer.

(3) Any dealer or builder who fails to comply with the requirement under sub-section (2) commits an offence.

(4) Any applicant for a registration document or for a duplicate licence or for a duplicate of such document or licence or any other person required in terms of the provisions of this section to give any information, who wilfully gives false, misleading or inaccurate information commits an offence, and shall be liable, upon conviction, in the case of a first offence, to a fine not exceeding twenty-five thousand penalty units and, in the case of second or subsequent offence, to a fine not exceeding fifty thousand penalty units.

16. Temporary registration card

(1) Any person who becomes the owner of a motor vehicle or trailer which is not registered or licensed in terms of this Act, and who wishes to take the motor vehicle or trailer for registration from the District in which the person resides or carries on business, may apply on the prescribed form to the licensing officer of the District from which such person acquired such motor vehicle or trailer.

(2) The licensing officer on receipt of the application referred to in sub-section (1) and of the prescribed fee, and if satisfied that there is in force in respect of the use of the motor vehicle or trailer a policy of insurance which complies with the requirements of section 88, and which policy shall be valid for the whole period during which such vehicle or trailer may be used with temporary registration cards attached to it, shall issue the applicant two temporary registration cards on the prescribed form which shall be valid for a period of 14 days from the date of issue or for such lesser period as may be specified on the temporary registration card.

(3) A person to whom temporary registration cards have been issued in terms of this section shall-

(a) cause the temporary registration cards to be affixed to the motor vehicle or trailer in respect of the cards which were issued, in such position as may be prescribed;

(b) on or before the date of expiry of the period of validity of the temporary registration cards or on registration of the motor vehicle or trailer under this Act, whichever is the earlier, surrender the temporary registration cards to the licensing officer of the District in which the person resides or carries on the person's business.

(4) Notwithstanding the provisions of sub-section (2), a licensing officer may refuse to issue temporary registration cards for any vehicle or trailer that does not comply with the provisions of this Act and of the regulations made under it with regard to the maximum limits permitted for axle weights, gross weight, height, length and width of motor vehicles or trailers unless such vehicle or trailer shall have been exempted by the Director of the Road Development Agency from compliance with such limits.

17. Details required for temporary registration

Temporary registration cards shall specify such particulars as may be prescribed.

18. Particulars to be endorsed on application forms

The licensing officer when issuing temporary cards shall endorse on the application form relating to the temporary cards such particulars as may be prescribed.

19. Motor vehicle or trailer deemed to be registered, etc.

A motor vehicle or trailer shall be deemed to be registered and licenced under this Act and a registration document shall be deemed to have been issued under this Act for a motor vehicle or trailer if valid temporary registration cards in respect of the motor vehicle or trailer are attached to it in the prescribed position.

20. Special examination of motor vehicles and trailers

(1) Before registering any motor vehicle or trailer, the licensing officer shall verify all the particulars entered on the application form and may, if the licensing officer considers it necessary, order that any such vehicle or trailer be taken to a vehicle examiner to be examined for the purpose of ensuring that it is of such construction and in the condition as complies with the requirements of this Act and of the regulations made under it.

(2) A licensing officer shall, in respect of any motor vehicle or trailer which the officer has reason to believe is not in a fit and proper condition or state of repair, or does not conform with the provisions of this Act or any regulations made under it, have the power to order that the motor vehicle or trailer be taken to a vehicle examiner for examination.

(3) Where a vehicle examiner on examining a motor vehicle or trailer sent to the vehicle examiner under the provisions of sub-section (1) or (2), or submitted to the vehicle examiner pursuant to a prohibition under paragraph (f) of sub-section (1) of section 212, finds that the motor vehicle or trailer, does not comply with the provisions of any law in regard to construction and equipment applicable to such motor vehicle or trailer the vehicle examiner shall make a full list (hereinafter called a " defects list ") of all defects found and shall give the owner of the vehicle or trailer a copy of the defects list and shall notify the owner of the date (hereinafter called the " notified date ") by which the defects must be remedied and the vehicle or trailer produced for re-examination.

(4) If, upon re-examination of a motor vehicle or trailer under the provisions of this section to ascertain whether the defects in a defects list have been remedied, the vehicle examiner finds any further defects the vehicle examiner shall require, in the manner set forth in sub-section (3), the owner to remedy the defects.

(5) If a motor vehicle or trailer is not produced for re-examination on the notified date or if the defects have not been remedied on the notified date, or if, upon examination of a motor vehicle or trailer under the provisions of this section, it is considered necessary in the interest of safety, a vehicle examiner may prohibit the use of such motor vehicle or trailer, or issue such other directions as the examiner may think necessary restricting its use.

(6) Any order made under sub-section (5) and any prohibition of the use of motor vehicle or trailer under paragraph (f) of sub-section (1) of section 212 may be cancelled or revoked by the vehicle examiner as soon as the defects of such vehicle or trailer have been remedied to such an extent that in the vehicle examiner's opinion the motor vehicle or trailer may safely be used on a road.

(7) When all the defects listed have been remedied to the vehicle examiner's satisfaction, the vehicle examiner shall cancel the defects list and, if the examination was made under the provisions of sub-section (1), the vehicle examiner shall inform the licensing officer that the vehicle examiner has cancelled the defects list.

(8) On each examination of a motor vehicle or trailer as provided in this section, and on any subsequent examination for the purpose of ensuring that defects in a defects list have been remedied the prescribed fee shall be paid by the owner of a vehicle or trailer, and the fees shall be allocated in the prescribed manner:

Provided that no fee shall be payable for re-examination for the purpose of ascertaining whether defects have been remedied and no fee shall be payable for an examination pursuant to a prohibition under paragraph (f) of sub-section (1) of section 212.

(9) If any owner of a motor vehicle or trailer is aggrieved by any decision of a vehicle examiner, the owner may appeal to the Director who may vary or cancel the requirements of the vehicle examiner or dismiss the appeal.

(10) Any person who fails to comply with or who disobeys any order made by a licensing officer under sub-section (1) or (2) commits an offence.

(11) Any person who fails to comply with or who disobeys any order made by a vehicle examiner under sub-section (5) commits an offence and shall be liable, upon conviction, in the case of a first offence, to a fine not exceeding five hundred penalty units, and in the case of a second or subsequent offence, to a fine not exceeding three thousand penalty units.

21. Test of satisfactory conditions of motor vehicles and trailers

(1) The Minister may, on the recommendation of the Agency, by regulation, make provision for examination of motor vehicles and trailers submitted for examination under this section and for the issue, where it is found on such an examination that the requirements are complied with, or a certificate (hereinafter referred to as a "test certificate") that at the date of the examination the said requirements were complied with in relation to the motor vehicle or trailer so examined.

(2) Where a test certificate is refused, the vehicle examiner shall issue a notification of the refusal stating the ground thereof, and any person aggrieved by the refusal may appeal to the Director within 30 days; and on any appeal the Director shall cause a further examination to be made and either issue a test certificate or confirm the notification earlier issued by the vehicle examiner.

(3) The Minister may, on the advice of the Agency, by statutory instrument, make regulations for the purpose of giving effect to the provisions of this section and for prescribing anything authorised by this section to be prescribed and in particular as to-

(a) the establishment and maintenance of stations where examinations under this section may be carried out and the provisions and maintenance of apparatus for carrying out such examination;

(b) the manner in which the conditions under which the inspection of premises at which apparatus with which the examinations are being, or are to be carried out;

(c) the manner in which applications for, or notices of examinations due under this section are to be made, the manner in which appeals may be brought under sub-section (2), the information to be supplied and documents to be produced on such application, examination or appeal, and the repayment of the whole or part of the fee paid on such an appeal where it appears to the Director that there were substantial grounds for contesting the whole or part of the decision appealed against;

(d) the form of, and particulars to be contained in, test certificates, their display and production on demand to police officers or road traffic inspectors, and the form of notification or a refusal to issue a test certificate;

(e) the issue of duplicates or test certificates lost or defaced, and the fees to be paid for their issue;

(f) the keeping by vehicle examiners or registers of test certificates, and the inspections of such registers by such persons and in such circumstances as may be prescribed; and

(g) the keeping by the vehicle examiners of such other records as may be prescribed and the furnishing by them of returns and information to the Director.

(4) Regulations under this section may make different provisions in relation to different motor vehicles and trailers or classes of motor vehicles and trailers.

22. Certificate of examination to be admissible in evidence

If in any proceedings under this Act any question arises whether a motor vehicle or trailer does or does not comply with any provision of this Act or any regulation made under it, a certificate purporting to be signed by any person appointed by Gazette notice, by the Agency, to act as a vehicle examiner for the purposes of this Act, that such person has examined the vehicle or trailer and as to the result of the person's examination, shall be admissible in evidence and shall be prima facie evidence of any fact or opinion stated therein relating to the matter in question without calling as a witness the person who purports to have signed such certificate:

Provided that any person against whom the evidence of such certificate is sought to be used shall have the right to object to the admissibility of such certificate as evidence unless the person who purports to have signed it is called as a witness.

23. Obligatory test certificate

(1) Any person who uses a motor vehicle or trailer on a road at any time or causes or permits to be used a motor vehicle or trailer to which this section applies and in respect of which no test certificate has been issued within the appropriate period commits an offence and shall be liable, upon conviction, in the case of a first offence, to a fine not exceeding seven hundred and fifty penalty units, and in the case of a second or subsequent offence, to a fine not exceeding one thousand five hundred penalty units.

(2) Notwithstanding the provisions of sub-section (1), any motor vehicle or trailer on which no test certificate is displayed may be impounded by any road traffic inspector in uniform or by a police officer.

(3) The motor vehicles and trailers to which this section applies at any time shall be such as the Minister, on the recommendation of the Agency, may, by statutory notice, determine.

(4) The Minister may, on the recommendation of the Agency, by regulation exempt from sub-section (1) and (2)-

(a) the use of motor vehicles or trailers for such purposes as may be prescribed; and

(b) the use of motor vehicles or trailers in any such road as may be prescribed.

(5) The Minister may, on the recommendation of the Agency, by regulation provide that, where application is made under section 35 for a licence of a motor vehicle or trailer to which this section applies, licence shall not be granted except after-

(a) the production of such evidence as may be prescribed of the granting of an effective test certificate or (if it is so prescribed) the production of such a certificate; or

(b) the making of such a declaration as may be prescribed that the motor vehicle or trailer is not intended to be used during the period for which the licence is to be in force except for a purpose prescribed under sub-section (3) or in an area or on a road prescribed under sub-section (4).

(6) In paragraph (a) of sub-section (5), the expression "effective test certificate" means in relation to an application for a licence for a motor vehicle or trailer a test certificate relating to the motor vehicle or trailer and issued within the appropriate period before the date from which the licence is to be in force.

(7) In this section "appropriate period" means a period of 12 months or such shorter period as may be prescribed.

(8) Where within the appropriate period after the issue of a test certificate, but not earlier than one month before the end of the period, a further test certificate is issued in respect of the same motor vehicle or trailer, the further certificate shall be treated for the purposes of this section as if issued at the end of the said appropriate period.

(9) For the purposes of spreading the work of issuing certificates in anticipation of the coming into operation of this section or of a change in the length of the appropriate period-

(a) the order appointing a day for coming into operation of this section may appoint different days in respect of different motor vehicles, trailers or classes of motor vehicles or trailers;

(b) the regulations changing the length of the appropriate period may be made so as to come into operation on different days in respect of different motor vehicles, trailers or classes of motor vehicles or trailers.

24. Provisions not applicable to which Part IX applies

The provisions of sub-sections (2), (3), (4), (5) and (6) of section 20, 21 and 23 shall not apply in relation to any motor vehicle or trailer to which the provisions of Part IX apply.

25. Destruction of permanent removal of motor vehicle or trailer from Zambia

(1) When any motor vehicle or trailer is broken up, destroyed or permanently taken out of Zambia, the person who at the material time is the owner of such motor vehicle or trailer shall, within 14 days, notify the licensing officer of the District in which the vehicle or trailer is registered and shall deliver up the registration document to the licensing officer.

(2) The licensing officer may on receipt of such information and the registration document assign the registration mark of such motor vehicle or trailer to any other motor vehicle or trailer subsequently registered by that officer.

(3) Where a motor vehicle or trailer has not been licensed or exempted from being licensed, for a consecutive period of five years, its registration shall be cancelled by the licensing officer of the District in which it is registered, and its registration mark may be assigned to any motor vehicle or trailer subsequently registered by such licensing officer and a registration so cancelled shall be of no effect.

26. Exemption from registration

The following classes of motor vehicles or trailers shall be exempt from the need for registration-

(a) motor vehicles or trailers in the possession of manufacturers of, or dealers in, motor vehicles or trailers, but subject to such provisions as the motor dealer's vehicle licences as may appear hereinafter;

(b) motor vehicles or trailers brought into Zambia by visitors, whether used under the authority of an international certificate or not, and exempted from registration in accordance with any regulation made under this Act;

(d) any other motor vehicle or trailer as may, by regulation, be exempted from registration.

27. Registration marks

(1) There shall be fixed and maintained on every motor vehicle and trailer in such a manner as may be prescribed the registration mark and number referred to in sub-section (3) of section 11.

(2) When a motor vehicle is being used to tow a trailer or trailers, its registration mark shall also be fixed at the rear of such trailer or, if there is more than one trailer, at the end of the last trailer, in such manner as may be prescribed.

(3) No other figures, letters or designs may be placed on or within such distance as may be prescribed from a registration mark lawfully fixed on a motor vehicle in terms of this section.

28. Prohibition of manufacture of number plates without serial number

(1) A person who manufactures a registration mark and number shall obtain a permit from the Director and comply with such terms and conditions as the Director may determine.

(2) Any person who contravenes sub-section (1) commits an offence and is liable, upon conviction, to a fine not exceeding two hundred thousand penalty units or to imprisonment for a term not exceeding five years, or to both.

29. Offences in connection with registration marks

(1) If the registration marks and numbers to be fixed and maintained in accordance with this Act and regulations made under it are so fixed and maintained and, are in anyway obscured or rendered or allowed to become not easily distinguishable, the person driving the motor vehicle or trailer and its owner commits an offence, and shall be liable, upon conviction, in the case of a first offence to a fine not exceeding seven hundred penalty units, and in the case of a second or subsequent offence, to a fine not exceeding one thousand five hundred units:

Provided that a person shall not be convicted of an offence under this section if in the case of a prosecution for obscuring a mark or rendering or allowing it to become not easily distinguishable, the person proves that the person has taken all steps reasonably practicable to prevent the mark from being obscured or rendered not easily distinguishable.

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