LUSAKA, Oct 2 (Reuters) - Zambia has awarded Austria’s Kapsch TrafficCom AG a joint venture contract to design, install and operate a road traffic surveillance system to curb accidents, the company said on Monday.
The number of vehicles on Zambia’s roads almost tripled to 700,000 in the 10 years to 2016, increasing road fatalities in the southern African nation, it said in a statement.
“In 2016 alone, 2,206 people died in traffic related accidents,” the statement said, prompting the government to significantly increase road safety and traffic management.
The 50:50 joint venture with Zambia’s Lamise Trading Ltd would also be responsible for motor vehicle speed enforcement, vehicle inspection and vehicle registration, it said.
“This scope of service will be realized step by step during a ramp-up phase as a part of a 17-year contract,” Kapsch said.
The project was expected to create 500 jobs and boost the economy through improved transportation, it said.
Revenues in the first three years of operation were projected to be in the range of 90 million euros ($106 million)to 110 million euros, it said.
The contract starts immediately.
$1 = 0.8519 euros Reporting by Chris Mfula; Editing by Mark Potter