FEC Encourages DRC Businesses to Adopt MES’s Economic Model
The National Vice-President in charge of energy at the Federation of Congolese Companies (FEC) invites companies operating in the Democratic Republic of Congo (DRC) in general and in Katanga in particular to follow the economic model advocated by the Mining Engineering Services (MES).
Eric Monga spoke thus during the inauguration of the detergent manufacturing plant on Thursday June 15, 2023 in Lubumbashi.
In his words, Éric Monga encouraged other entrepreneurs to analyze this economic model and duplicate it.
“Let’s look at this economic model together: the copper is mined and refined on site. This product is transformed on site into cable and enters a power station to produce necessary and indispensable energy for the population and the industry itself. On all channels, the country wins. This model is to be encouraged,” he said proudly.
And to add: “the economic integration as well as the local production of the industrial needs of the mines and other sectors are impressive. And this, with a mainly local workforce with a great propensity for training. “, he mentioned.
The Vice-President of the Energy Commission of the FEC took this opportunity to ask the Congolese State to further support this type of model in all sectors.
“This encouragement also involves your visits of excellence which allow you to better understand the field and above all to have an even better adapted tax system which will not kill the efforts undertaken from the start.
The economic vision of the State should be favored over the short-term financial vision. “Insisted Eric Monga, on behalf of the FEC.
Taxation in the DRC, a thorn for business
Eric Monga went through no four paths to castigate Congolese parafiscality.
“Taxation and parafiscality in the Democratic Republic of Congo do not make investments and local production competitive in various industrial sectors. It’s a challenge. “, he said.
Eric Monga, also Managing Director of Kipay Energy testified to the impact of the products offered by the MES group on his company.
“I have known this group for a very long time, I was a simple member of the FEC. Today, National Vice-President in charge of energy, the MES group has also taken on a large dimension by adapting and respecting the laws and expectations not only of the State but also and above all those of the economy as well as the population.
Speaking of my case as an example, I am developing with my Congolese partners a mixed hydroelectric and solar power plant. At this level we have just completed a phase of solar.
This 2.4 MW and 1.8 MWh storage plant consumed a little over 60 km of cables for the various excellent connections. The vast majority of cables come from this factory. “, he underlined.
Indeed, his company Kipay Energy obtains local supplies of “Made in Congo” electric cables from MES, for their good quality and the right price, for all the work of its photovoltaic power plant under construction in Fungurume in the province of Lualaba.
While expressing gratitude to the country’s authorities for their support and encouragement, Eric Monga congratulated them for the interest rate of the FPI loans. This has now been reduced to 6% since 2020.
For his part, the head of the MES group has requested in-depth reforms on issues related to: VAT on imports of raw materials and industrial inputs (excluding ANAPI), VAT on the sale of local industrial production and incentive laws and attractive in favor of a circular economy (recycling).
