By Thomas Chidamba
ZIMBABWE Electricity Supply Authority (ZESA) will soon increase its electricity tariff as the current charges are not sustainable, Minister of Energy and Power Development Fortune Chasi has said.
Currently, ZESA charges 9.86 cents ZWL per kWh.
Minister Chasi said it was now justifiable to raise electricity tariff because the current charges have been eroded and were tantamount to giving power for free.
“The current tariff was last reviewed in 2011,and given the numerous changes our country has gone through since then, it has become eroded and equates to 1.8US cents per kWh.
“Not only is this tariff sub-economic, it just means that power is literally being given for free. ZESA is struggling, understandably so because the tariff is not cost reflective and it is failing to cover the entity’s costs,let alone sustain power generation.
“I met with the heads of ZESA Holdings recently in order to deliberate and discuss on their concerns regarding the tariff adjustment process. I am happy to say we are making headway, and soon we shall be able to present a tariff that will not only be sustainable for ZESA, but also competitive enough to attract investment in power generation,” he said.
Minister Chasi said ZESA was owed $1.2 billion of which $71 905 982, translating to 6.7% of the total debt, was owed by the mining industry.
The mining sector is said to consume at least 135GWh per month.
