May 5, 2004

Cabinet approves memorandum about private participation in water sector

Angola's Cabinet Council has approved a Memorandum about the participation of the private sector and its Capacity in Manufacturing and Supplying Different Materials for the water sector. In a recent edition of the State Gazette, it is recognised that water distribution networks, in the whole country, need serious intervention, both in rehabilitation and in expansion. According to the source, the efforts to change the current state in the water supply sector should be added with a better efficacy in its commercialisation; therefore, it is necessary to install a considerable number of water meters, in the whole country.

It is considered that the participation of national firms in big projects is decisive for the reviving of the national industry and for its competitiveness, besides giving national business people the opportunity to extend its investments to traditionally less attractive sectors, thus, becoming a true partner of the State in creating jobs. Memorandum about the Participation of the National Enterprise and its Capacity in Manufacturing and Supplying Different Materials for the water sector aims at reducing dependency from the foreign market, with all associated administrative constrains.

In the same way, it aims at attracting new investments to support sector production, profit the resources available, mobilising private credit, both internal and external, as well as improving the national production, to increase the opportunities of employment and multiplication of revenues. In systems of production, treatment and distribution of water to the population, fundamentally intervenes, materials and products such as: pipes, produced by concrete, steal or PVC, electro pumps and electrical accessories, chemical products (aluminium sulphate, gaseous chloride), among others.

The document states that products and accessories referred above can be produced in the country, provided the market is secure in terms of easy flow of the products resulting from investments made by firms, whether resulting from the increase of the respective production or whether from the recovery of already existing capacities.

It is important to highlight that the national production of polyethylene and PVC pipes, in the first semester of the year 2003, was of 59 to 181 tonnes, respectively. During the same date, a new production firm denominated GAB Commerce and Industry Ltd began functioning, as well as the updating and re-equipping of the firm FIBREX, raising the production of a range of pipes and accessories, the installed capacity being of 500 units per hour. (Angola Press Agency, Luanda)

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