Another Zesa tariff hike looms

Another Zesa tariff hike looms
Published: 03 October 2019 (11 Views)
THE Zimbabwe Electricity Transmission and Distribution Company (ZETDC) has applied to the Zimbabwe Energy Regulatory Authority (Zera) seeking another adjustment of electricity tariffs, saying the current charges have severely been eroded.

In his 2019 mid-year budget review statement and supplementary budget, Finance minister Mthuli Ncube said the electricity tariff for non-exporting businesses would be increased from an average of US9,86 cents/kWh to an average of US45c/kWh.

The electricity tariff for domestic consumers was increased from an average of US9,86c/kWh to an average of US27c/kWh, while for agriculture consumers, it was increased from an average of US9,86c/kWh to an average of US27c/kWh.

But in a statement yesterday, ZETDC's holding company, Zesa Holdings, said the current tariffs were no longer sustainable.

"The Zimbabwe Electricity Transmission and Distribution Company has applied to the Zimbabwe Energy Regulatory Authority for the adjustment of the electricity tariff in terms of section 53 (2) of the Electricity Act (Chapter 13: 19) of 2002. The current tariff 38,61c/kWh has been severely eroded due to the movement of macroeconomic fundamentals," the statement read in part.

"Therefore, viability and service delivery has been severely compromised. Local electricity production has been negatively impacted by the low water levels in Lake Kariba, which have restricted power production to a current average capacity of 190 megawatts (MW) at the Kariba Power Station against an installed capacity of 1 050MW," it said.

Zesa said the electricity tariff applied for would enable ZETDC to raise the required working capital for the improvement of, among other things, local authority generation, procurement of critical spares for maintenance as well as electricity imports, to reduce load-shedding.

- newsday

Tags: Zesa, Tarrif, Hike,
 

You May Like These Videos

Comments

There are no comments.

Latest stories

PHOTOS: Job Sikhala becomes an instant internet joke

by Social media | 03 October 2019 | 244 Views

America says it is worried about Zimbabwe

by Mandla Ndlovu | 03 October 2019 | 297 Views

Madinda Ndlovu to be discharged tomorrow

by Staff reporter | 03 October 2019 | 182 Views

What are behavioral disorders and how can they be managed?

by Temba Munsaka | 03 October 2019 | 173 Views

Government speaks on Robert Mugabe's body parts

by Mandla Ndlovu | 03 October 2019 | 309 Views

Zacc recovers $100m property from looters

by Staff reporter | 03 October 2019 | 179 Views

WATCH: Mnangagwa apologises for destroying Zimbabwe satire

by Mandla Ndlovu | 03 October 2019 | 170 Views

Mphoko's application for release of passport dismissed

by Staff reporter | 03 October 2019 | 137 Views

Zanu-PF restructuring exercise begins

by Staff reporter | 03 October 2019 | 140 Views

Petrotrade declares $1.5 million dividend

by Staff reporter | 03 October 2019 | 92 Views

MSU, Zupco seal bus deal

by Staff reporter | 03 October 2019 | 161 Views

Mnangagwa to open ZMF conference

by Staff reporter | 03 October 2019 | 145 Views

High Court sets EcoCash hearing date

by Staff reporter | 03 October 2019 | 142 Views

Mphoko barred from leaving Zimbabwe

by ZimLive | 03 October 2019 | 143 Views

CIO agents monitor Jonathan Moyo in Kenya

by Mandla Ndlovu | 03 October 2019 | 367 Views

Acie Lumumba targets criminals around Mnangagwa

by Mandla Ndlovu | 03 October 2019 | 350 Views

$100 limit for cash-out transactions

by Staff reporter | 03 October 2019 | 251 Views

ANC starts anti-sanctions campaign

by Staff reporter | 03 October 2019 | 143 Views

ZESN calls for political parties regulation

by Staff reporter | 03 October 2019 | 126 Views

We've no forced labour evidence on Zimbabwe diamonds, says US Embassy

by Staff reporter | 03 October 2019 | 139 Views

Ex-ZPC board chairman freed on bail

by Staff reporter | 03 October 2019 | 133 Views

Cyber Bill seeks to safeguard citizens

by Staff reporter | 03 October 2019 | 110 Views

Cassava launches Vaya tractor services

by Staff reporter | 03 October 2019 | 147 Views

MDC Alliance boycott slammed

by Staff reporter | 03 October 2019 | 100 Views

10-man Bulawayo Chiefs stun Harare City

by Staff reporter | 03 October 2019 | 110 Views

Zimbabwe has a reputational problem, says US

by newzimbabwe | 03 October 2019 | 124 Views

MDC Alliance walk of shame

by Nduduzo Tshuma | 03 October 2019 | 184 Views

MDC councillors want suspension of Cowdray Park projects

by Staff reporter | 03 October 2019 | 113 Views

RBZ floats $300m additional TBs

by Staff reporter | 03 October 2019 | 105 Views

Teenagers rob soldier

by Staff reporter | 03 October 2019 | 116 Views

Duo rape corpse, get death sentence

by Staff reporter | 03 October 2019 | 122 Views

Mnangagwa to fly out for the zenith times

by Staff reporter | 03 October 2019 | 106 Views

Chamisa's MPs approach court to reverse 5 months allowance garnish

by newzimbabwe | 03 October 2019 | 84 Views

Zimra official forges Customs papers

by Staff reporter | 03 October 2019 | 69 Views

Zifa courts two nations for Warriors' friendlies

by Staff reporter | 03 October 2019 | 56 Views