National Road Fund

National Road Fund [No. 13 of 2002 315
T H E N A T I O N A L R O A D F U N D A C T , 2002
ARRANGEMENT OF SECTIONS
PARTI
PRELIMINARY
Section
1. Short title and commencement
2. Interpretation
PART II
THE NATIONAL ROAD FUND AGENCY
3. Establishment of Agency
4. Functions of Agency
5. Composition of Agency
6. Tenure of office and Vacancy
7. Filling of casual vacancy
8. Proceedings of Agency
9. Committees of Agency
10. Allowances of members
11. Disclosure of interest
12. Prohibition of publication or disclosure of information to
unauthorised person
13. Seal of Agency
PARTIII
MANAGEMENT AND STAFF
14. Director
15. Secretary and other staff
PART IV
THE NATIONAL ROAD FUND
16. Establishment of Road Fund
17. Application of moneys of Road Fund
Single copies of this Act may be obtained from the Government Printer,
P.O. Box30136,10100 Lusaka. PriceK3,500

17. Application of moneys of Road Fund
Single copies of this Act may be obtained from the Government Printer,
P.O. Box30136,10100 Lusaka. PriceK3,500

316 No. 13 of 2002] National Road Fund
P A R T V
FINANCIAL AND OTHER PROVISIONS
18. Funds of Agency
19. Financial year
20. Accounts
21. Annual Reports
22. Regulations
23. Dissolution of National Roads Board
24. Vesting of assets of National Roads Board
25. Registration of property to be transferred by Government
26. Legal proceedings
27. Terms of service of employees of National Roads Board

ads Board
25. Registration of property to be transferred by Government
26. Legal proceedings
27. Terms of service of employees of National Roads Board

National Road Fund [No. 13 of 2002 3 1 7
GOVERNMENT OF ZAMBIA
ACT
No. 13 of 2002
Date of Assent: 31 st December, 2002
An Act to establish the National Road Fund Agency and to
define its functions; to establish the National Road Fund;
and to provide for matters connected with or incidental
to the foregoing. [31st December, 2002
ENACTED by the Parliament of Zambia. PARTI
PRELIMINARY
1. This Act may be cited as the National Road Fund Act, 2002
and shall come into operation on such date as the Minister may, by
statutory instrument, appoint. 2.

may be cited as the National Road Fund Act, 2002
and shall come into operation on such date as the Minister may, by
statutory instrument, appoint. 2.

(1) In this Act, unless the context otherwise requires—
" appointed date " means the date appointed under section one,
" Agency " means the National Road Fund Agency established
by section three;
" Chairperson " means the person appointed as Chairperson of
the Agency under section^ve; /
" Director " means the person appointed as director under section
fourteen;
" Local Authority " means a city council, municipal council or
district council established under the Local Government Act;
" maintenance " means the preservation of roads, including repair
of road surfaces, road sides, strcutures and road furniture
necessary for the safe and efficient utilisation of roads;
" member " means a member of the Agency or a committee of
the Agency;
" road " has the meaning assigned to it in the Public Roads Act;
" Road Development Agency " means the Road Development
Agency established under the Public Roads Act;
" Road Fund " means the National Road Fund established under
section sixteen;
Enactment
Short title
and
commence
ment
Interpretation
Cap. 281
Act No. 12
of2002
Act No. 12
of2002

ional Road Fund established under
section sixteen;
Enactment
Short title
and
commence
ment
Interpretation
Cap. 281
Act No. 12
of2002
Act No. 12
of2002

318 No. 13 of 2002] National Road Fund
Act No. 11
of2002
Act No. 11
of2002
Act No. 12
of2002
Act No. 11
of2002
Establish
ment of
Agency
Functions of
Agency
" road furniture " means accessories of a road that make a road
safe for traffic on the road and includes traffic lights, traffic
signs, guard rails and rest area facilities;
" Road Transport and Safety Agency " means the Road Transport
and Safety Agency established under the Road Traffic Act;
" road user charges " includes fees levied by the Agency under
the provisions of this Act for construction, rehabilitation and
maintenance of roads;
" traffic " has the meaning assigned to it in the Road Traffic Act;
" traffic sign " has the meaning assigned to it in the Public Roads
Act; and
" vehicle " has the meaning assigned to it in the Road Traffic
Act. PART II
THE NATIONAL ROAD FUND AGENCY
3. There is hereby established the National Road Fund 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. 4.

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. 4.

(1) The functions of Agency shall be to—
(a) administer and manage the Road Fund;
(b) prepare and publish audited annual accounts of the Road
Fund;
(c) recommend to the Minister fuel levy and other road user
charges and tariffs as required;
(d) recommend to the Minister projects for funding;
(e) allocate resources—
(a) for the construction, maintenance and rehabilitation
of roads based on a percentage of the annual work
programme of the Road Development Agency;
and
(b) for road transport, traffic and safety management
based on a percentage of the annual work
programme of the Road Transport and Safety
Agency;

and
(b) for road transport, traffic and safety management
based on a percentage of the annual work
programme of the Road Transport and Safety
Agency;

National Road Fund [No. 13 of 2002 319
(/) in consultation with the Road Development Agency,
recommend funding for development of new roads;
and
(g) undertake such other activities as are conducive or incidental
to its functions under this Act. 5. (1) The Agency shall consist of part-time members appointed Composition
by the Minister as follows: of Agency
(a) one representative of the Zambia Association of Chambers
of Commerce and Industry;
(b) one representative of the National Council for Construction;
(c) one representative of the Zambia Institute of Chartered
Accountants;
(d) one representative of the Economics Association of Zambia;
(e) one representative of the Transporters Associations;
(f) one representative from the Law Association of Zambia;
(g) one representative from the Chartered Institute of Transport;
(h) one representative of the Attorney-General;
(i) one representative from—
(i) the ministry responsible for finance;
(ii) the ministry responsible for communications and
transport; and
(iii) the ministry responsible for works and supply;
(j) the Director of the Road Development Agency;
(k) the Director of the Road Transport and Safety Agency; and
(1) one other person.

works and supply;
(j) the Director of the Road Development Agency;
(k) the Director of the Road Transport and Safety Agency; and
(1) one other person.

(2) The Director of the Road Development Agency and the Director
of the Road Transport and Safety Agency referred to in paragraphs (j)
and (k) of subsection (1) shall be ex-officio members of the Agency
and shall have no vote. (3) The Chairperson shall be appointed by the Minister. (4) The Vice-Chairperson shall be elected by the the members of
the Agency from among their number. (5) The Agency shall report to the Committee of Minister on Road
Maintenance Initiative at such times and at such places as the Minister
may determine. (6) The Committee of Ministers referred to in subsection (5) 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,

for works and
supply who shall be the Vice-Chairperson and the Ministers responsible
for finance and national planning, local government and housing,

320 No. 13 of 2002] National Road Fund
Tenure of
office and
vacancy
energy and water development, agriculture and co-operatives, tourism,
enviroment and natural resources and legal affairs. (7) 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 involving fraud or
dishonesty; or
(c) 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. (8) For the purpose of this section "Committee of Ministers on
Road Maintenance Initiative" means a Committee
responsible for the institution of sustainable road
maintenance. 6. (1) Subject to the other provisions of this Act, a member of the
Agency shall hold office for a period of three years from the date of
appointment and shall be eligible for re-appointment for one further
term of three years:
Provided that the first members shall be appointed for periods ranging
from two to three years in order to facilitate retirement by rotation.

e years:
Provided that the first members shall be appointed for periods ranging
from two to three years in order to facilitate retirement by rotation.

(2) A member other than an ex-officio member may resign upon
giving one month's notice, in writing, to the organisation which
nominated the member and to the Minister. (3) The office of the member shall become vacant—
(a) upon the member's death;
(b) if the member is absent without reasonable excuse from three
consecutive meetings of the Agency of which the member
has had notice;
(c) on ceasing to be a representative of the organisation which
nominated the member;
(d) if the member becomes mentally or physically incapable of
performing the duties of a member of the Agency; or
(e) if the member is declared bankrupt. (f) if the member is convicted of an offence involving fraud or
dishonesty; or
(g) if the member is convicted of an offence against any other
written law and is sentenced to a term of imprisonment of
not less than six months without the option of a fine."
(4) On the expiration of the period for which a member is appointed
the member shall continue to hold office until a successor has been
appointed but in no case shall the further period exceed four months.

is appointed
the member shall continue to hold office until a successor has been
appointed but in no case shall the further period exceed four months.

National Road Fund [No. 13 of 2002 321
7. Whenever the office of a member becomes vacant before the
expiry of the term of office, the Minister may appoint another member
in place of the member who vacates office but that member shall hold
office only for the unexpired part of the term. 8. (1) Subject to the other provisions of this Act, the Agency may
regulate its own procedure. (2) The Agency shall meet for the transaction of business at least
once every three months at such places and times as the Chairperson
may determine. (3) The Chairperson may, upon giving notice of not less than fourteen
days, call a meeting of the Agency and shall call a special meeting to
be held within fourteen days of receipt of a written request to the
Chairperson by at least five members of the Agency. (4) If the urgency of any particular matter does not permit the giving
of such notice as is required under subsection (3), a special meeting
may be called by the Chairperson, upon giving a shorter notice. (5) Nine members of the Agency, other than the ex-officio members,
shall form a quorum at any meeting of the Agency.

on, upon giving a shorter notice. (5) Nine members of the Agency, other than the ex-officio members,
shall form a quorum at any meeting of the Agency.

(6) There shall preside at any meeting of the Agency—
(a) the Chairperson;
(b) in the absence of the Chairperson the Vice-Chairperson; or
(c) in the absence of the Chairperson and the Vice-Chairperson
such member as the members present may elect for the
purpose of that meeting. (7) A decision of the Agency on any question shall be by a majority
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 a
casting vote in addition to the deliberative vote. (8) The Agency may invite any person, whose presence is in its
opinion desirable, to attend and to participate in the deliberations of
the meeting of the Agency but such person shall have no vote. (9) The validity of any proceedings, act or decision of the Agency
shall not be affected by any vacancy in the membership of the Agency
or by any defect in the appointment of any member or by reason that
any person not entitled to do so took part in the proceedings. 9.

ip of the Agency
or by any defect in the appointment of any member or by reason that
any person not entitled to do so took part in the proceedings. 9.

(1) The Agency may, for the purpose of performing its functions
under this Act, constitute such committees as it considers necessary
and may delegate to any committee such of its functions as it considers
fit. (2) The Agency may appoint as members of a committee, persons
who are, or are not, members of the Agency, except that at least one
member of a committee shall be a member of the Agency. Filling of
casual
vacancy
Proceedings
of Agency
Committees
of Agency

, except that at least one
member of a committee shall be a member of the Agency. Filling of
casual
vacancy
Proceedings
of Agency
Committees
of Agency

322 No. 13 of2002] National Road Fund
Allowances
of members
Disclosure of
interest
Prohibition of
Publication
or disclosure
of
information
to
unauthorised
person
Seal of
Agency
(3) A person serving as a member of a committee shall hold office
for such period as the Agency may determine. (4) Subject to any specific or general direction of die Agency, a
committee may regulate its own procedure. 10. The members ofthe Agency or any committee shall be paid
such allowances as the Agency may, with the approval of the Minister,
determine. 11. (l)IfarnemberorrjersonisrjresentatarneetingoftheAgency
or any committee of the Agency at which any matter is the subject of
consideration and in which matter the member or person or the member
or person's spouse is directly or indirectly interested in a private capacity,
the member or person shall as soon as is practicable after the
commencement of the meeting, declare such interest and shall not,
unless the Agency or the committee otherwise directs, take part in any
consideration or discussion of, or vote on, any question touching that
matter.

unless the Agency or the committee otherwise directs, take part in any
consideration or discussion of, or vote on, any question touching that
matter.

(2) A declaration of interest made under subsection (1) shall be
recorded in the minutes of the meeting at which it is made. 12. (l)Aperson shall not, without the consent in writing given by,
or on behalf of, the Agency, publish or disclose to any person otherwise
than in the course of duties, the contents of any document,
communication, or information which relates to, and which has come
to the person's knowledge in the course of the person's duties under
this Act. (2) Any person who knowingly contravenes the provisions of
subsection (1) commits an offence and shall be liable, upon conviction,
to a fine not exceeding ten thousand penalty units or to imprisonment
for a period not exceeding three months, or to both. 13. (1) The seal of the Agency shall be such device as may be
determined by the Agency and shall be kept by the Secretary. (2) The affixing of the seal shall be authenticated by the Chairperson
or the Vice-Chairperson and the Secretary or any other person
authorised in that behalf by a resolution of the Agency.

uthenticated by the Chairperson
or the Vice-Chairperson and the Secretary or any other person
authorised in that behalf by a resolution of the Agency.

(3) Any contract or instrument which, if entered into or executed
by a person not being a body corporate, would not be required to be
under seal, may be entered into or executed without seal on behalf of
the Agency by the Secretary or any other person generally or specifically
authorised by the Agency in that behalf. (4) Any document purporting to be a document under the seal of
the Agency or issued on behalf of the Agency shall be received in

gency in that behalf. (4) Any document purporting to be a document under the seal of
the Agency or issued on behalf of the Agency shall be received in

National Road Fund [No. 13 of 2002 323
evidence and shall be deemed to be so executed or issued, as the case
may be, without further proof, unless the contrary is proved. PART III
MANAGEMENT AND STAFF
14. (1) The Agency shall, with the approval of the Minister, appoint Director
a Director who shall be the chief executive officer of the Agency and,
subject to the control of the Agency, be responsible for the day to day
administration of the Agency. (2) The Agency shall, with the approval of the Minister, determine
the terms and conditions of service of the Director. (3) The Director shall attend meetings of the Agency and may attend
meetings of any committee of the Agency and may address the
meetings, but shall have no vote. 15. (1) The Director shall be the Secretary to the Agency. Secretary and
(2) The Agency may appoint such other staff of the Agency as it o t h e r s t a f f
considers necessary for the performance of its functions under this
Act. (3) The Agency shall determine the terms and conditions of service
of the staff of the Agency. PART I V
THE NATIONAL ROAD FUND
16. (1) There is hereby established the National Road Fund.

erms and conditions of service
of the staff of the Agency. PART I V
THE NATIONAL ROAD FUND
16. (1) There is hereby established the National Road Fund.

(2) The Road Fund shall consist of—
(a) such moneys as may be appropriated by Parliament for the
purposes of the Road Fund;
(b) all fuel levy collected, less the cost of collection which shall
not exceed three per cent, in every fiscal year". (c) such percentage of licence fees, registration fees and
international transit fees payable to the Road Transport
and Safety Agency under the Road Traffic Act, as the
Minister may determine;
(d) such percentage of road user levies including tariffs, taxes
and tolls as may be determined by the Minister on the
recommendation of the agency in consultation with Road
Development Agency; and
(e) such monies as may be paid to the Road Fund by way of
loans, grants or donations. 17. The Agency shall apply the moneys of the Road Fund—
(a) in the construction, maintenance and care of public roads;
and
(b) in road transport, traffic and safety management. Establish
ment of Road
Fund
Act No. 11
of2002
Application
of moneys of
Road Fund

blic roads;
and
(b) in road transport, traffic and safety management. Establish
ment of Road
Fund
Act No. 11
of2002
Application
of moneys of
Road Fund

3 2 4 N o . 13 of 2002] National Road Fund
/
Funds of
Agency
Financial
year
Accounts
Annual report
18. may—
PARTV
FINANCIAL PROVISIONS
(1) The funds of the Agency shall consist of such moneys as
(a) be appropriated to the Agency by Parliament for the purposes
of the Agency;
(b) with the approval of the Minister, be allocated to the Agency
from the Road Fund;
(c) be paid to the Agency by way of loans, grants or donations;
and
(d) vest in or accrue to the Agency. (2) The Agency may—
(a) accept moneys by way of grants or donations from any source
in Zambia and subject to the approval of the Minister,
from any source outside Zambia; and
(b) subject to the approval of the Minister raise by way of loans
or otherwise, such moneys as it may require for the
discharge of its functions.

and
(b) subject to the approval of the Minister raise by way of loans
or otherwise, such moneys as it may require for the
discharge of its functions.

(3) there shall be paid from the funds of the Agency—
(a) salaries, allowances, loans, gratuities and pensions of staff
of the Agency and other payments for the recruitment
and retention of staff;
(b) such reasonable travelling and subsistence allowances for
members and members of any committee of the Agency
when engaged in the business of the Agency and at such
rates as the Agency may, with the approval of the
Minister, determine; and
(c) any other expenses incurred by the Agency in the
performance of its functions. (4) The Agency may, with the approval of the Minister, invest in
such manner as it thinks fit such of its funds as it does not immediately
require for the discharge of its functions. 19. The financial year of the Agency shall be the period of twelve
months ending on 31s t
December of each year. 20. (1) The Agency shall cause to be kept proper books of account
and other records relating to its accounts. (2) The accounts of the Agency, shall be audited annually by
independent auditors appointed by the Agency subject to the approval
of the Minister. (3) The auditor's fees shall be paid by the Agency. 21.

ually by
independent auditors appointed by the Agency subject to the approval
of the Minister. (3) The auditor's fees shall be paid by the Agency. 21.

(1) As soon as practicable, but not later than ninety days after
the end of the financial year, the Agency shall submit to the Minister
a report concerning its activities during the financial year.

ninety days after
the end of the financial year, the Agency shall submit to the Minister
a report concerning its activities during the financial year.

National Road Fund [No. 13 of 2002 325
(2) The report referred to in subsection (1) shall include information
on the financial affairs of the Agency and there shall be appended to
the report—
(a) an audited balance sheet;
(b) an audited statement of the income and expenditure;
(c) an audited statement of income and expenditure of the
National Road Fund; and
(d) such other information as the Minister may require. (3) The Minister shall not later than seven days after the first sitting
of the National Assembly next after receipt of the report referred to in
subsection (10) lay the report before the National Assembly. 22. The Minister may, by statutory instrument, make regulations
for the better carrying out of the purposes of this Act. 23. The National Roads Board constituted pursuant to section fifty-
five of the Roads and Road Traffic Act shall stand dissolved on the
appointed date. 24.

he National Roads Board constituted pursuant to section fifty-
five of the Roads and Road Traffic Act shall stand dissolved on the
appointed date. 24.

(1) On or after the appointed date, there shall be transferred
to, and vest in, or subsist against, the Agency by virtue of this Act and
without further assurance—
(a) the affairs of the National Roads Board and
(b) subject to this Act, all property, rights and obligations which
immediately before the appointed date were the property,
rights and obligations of the National Roads Board.

ll property, rights and obligations which
immediately before the appointed date were the property,
rights and obligations of the National Roads Board.

(2) Except as provided in this Act, every deed, bond and agreement
(other than an agreement for personal service) to which the Government
was a party immediately before the appointed date in respect of the
National Roads Board, whether in writing or not, and whether or not
of such a nature that rights, liabilities and obligations thereunder could
be assigned, shall, unless its subject-matter or terms make it impossible
that it should have effect as modified in the manner provided by this
subsection, have effect as from the date of the assignment thereof, as
if—
(a) the Agency had been a party thereto;
(b) for any reference to the Government there were substituted,
as respects anything falling to be done on or after the
appointed date, a reference to Agency; and
(c) for any reference to any officer of the National Roads Board
not being a party thereto and beneficially interested therein
there were substituted, as respects anything falling to be
done on or after the appointed date, or reference to such
officer of the Agency as the Agency shall designate. Regulations
Dissolution
ofNational
Roads Board. Cap. 464
Vesting of
assets of
National
Roads Board

fficer of the Agency as the Agency shall designate. Regulations
Dissolution
ofNational
Roads Board. Cap. 464
Vesting of
assets of
National
Roads Board

326 No. 13 of 2002] National Road Fund
Registration
of property to
be transferred
by Govern
ment
Legal
proceedings
Terms of
service of
employees of
Board
(3) Subject to the provisions of subsection (2), documents, other
than those referred to therein, which refer specifically or generally to
the National Roads Board shall be construed in accordance with
subsection (2) as far as applicable. 25. (1) Where under this Act, any property, rights, liabilities and
obligations of the Government through the National Roads Board are
deemed transferred to the Agency in respect of which transfer a written
law provides for registration, the Agency shall make an application in
writing to the appropriate authority for registration of the transfer.

written
law provides for registration, the Agency shall make an application in
writing to the appropriate authority for registration of the transfer.

(2) The registration authority referred to in subsection (1) shall make
such entries in the appropriate register as shall give effect to such
transfer and, where applicable, issue to the transferee concerned a
certificate of title in respect of the property or make necessary
amendments to the register, as the case may be, and shall make
endorsement on the deeds relating to the title, right or obligation
concerned; and no registration fees, stamp duty or other duties shall
be payable in respect thereof. 26. (1) Without prejudice to the other provisions of this Act, where
any right, liability or obligation vests in the Agency by virtue of this
Act, the Agency and all other persons shall, as from the appointed
date, have the same rights, powers and remedies (and in particular the
same rights as to the instituting or defending of legal proceedings or
the making or resisting of applications to any authority) for ascertaining,
perfecting that right, liability or obligation as they would have had if it
had at all times been a right, liability or obligation of the Agency.

ing,
perfecting that right, liability or obligation as they would have had if it
had at all times been a right, liability or obligation of the Agency.

(2) Any legal proceedings or application of any authority pending
immediately before the appointed date by or against the Government
in respect of the National Roads Board may be continued by or against
the Agency. (3) After the appointed date, proceedings in respect of any right,
liability or obligation which was vested in, held, enjoyed, incurred or
suffered by the government in respect of the National Roads Board
may be instituted by or against the Agency. 27. (1) On or after the appointed date, the Agency shall on such
terms and conditions as it may, with the approval of the minister,
determine appoint as officers of the Agency such public officers from
the National Roads Board as may be necessary for the performance
of the functions of the Agency. (2) Where an officer from the Public Service is appointed to the
service of the Agency—

necessary for the performance
of the functions of the Agency. (2) Where an officer from the Public Service is appointed to the
service of the Agency—

National Road Fund [No. 13 of 2002 327
(a) the terms and conditions of service with the Agency shall
not be less favourable than those the officer enjoyed in
the Public Service; and
(b) the officer shall be deemed to have retired under section Act No. 35 of
thirty-nine of the Public Service Pensions Act. 1 9 9 6
(3) On or after the appointed date employees of the National Roads
Board who are not engaged by the Agency under subsection (2) shall
be retained by the Government and shall—
(a) be redeployed in the service of the Government; or
(b) be retired under section thirty-nine of the Public Service
Pensions Act. Act No. 35 of
1996