Permanent Secretary in the Ministry of Energy and Power Development, Partson Mbiriri has said that the cabinet has approved a decision to remerge all Zesa related subsidiaries to reform a single company. The government has cited the high costs associated with running separate companies after Zesa was unbundled in 1997 and 2006. In a discussion at the Harare Agricultural Show on Tuesday, Mbiriri said,
Zesa used to be one company. But we created eight entities out of the one company and each one has a chief executive (officer), if not several chiefs; and each one has a vehicle which matches the title. The costs are too high. Cabinet has decided we shall revert to one Zesa. We will have a few chiefs (and) the costs will come down. It will not be a popular decision (with the management).
For Zesa Holdings and its four subsidiaries, we are in the process of amalgamating them. That will have a telling impact on the tariff. I am not saying the tariff will come down, but we might hold on to where we are as we will have a leaner administration.
More: Herald
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