ZESA Seeks 100% Tariff Increase

The Zimbabwe Electricity Supply Authority (ZESA) is pushing for a 100% tariff increase for it to be able to supply adequate power and ensure sustainability.

ZESA is charging an average of US$0.063 per kilowatt-hour but wants the tariff to be hiked to US$0.1236 per kilowatt-hour.

Zimbabwe Electricity Transmission and Distribution Company (ZETDC) commercial director, Ralph Katsande said that a tariff review will go a long way in ensuring that the power utility generates sufficient revenue to fund operations and maintenance of its infrastructure. Said Katsande:

The current tariff level averaging of 6.3 US cents per unit is subeconomic. ZESA requires a cost-reflective tariff equivalent of 12.36 US cents per unit to efficiently provide service.

Katsande made the remarks during a stakeholder engagement meeting in Tengwe, Mashonaland West Province.

He said the tariff had fallen to a paltry US$0.032 per unit in August 2020 before it was adjusted in September that year.

Due to low tariffs, ZESA has a huge backlog of distribution network maintenance as it lacks the funds for the rehabilitation of infrastructure. Said Katsande:

For example, the Northern region alone requires to change 16 000 rotten poles on its 23 655 kilometres distribution network at a cost of US$ 2.1m or ZWL$181m.

Katsande further revealed that the ZESA distribution network is currently experiencing over 106 000 faults per year and about US$16 million is required to replace over 2 000 vandalised and faulty transformers.

Meanwhile, Chinhoyi Residents Association Chairperson Tapiwanashe Chikondowa suggested that ZESA technicians are involved in the theft of ZESA cables and transformers. He said:

How can thieves know that they will be no ZESA in a particular area? Look at the rate they have gone in Chinhoyi, ZESA should investigate this internally. This is an inside job.

More: Business Times

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2 comments on “ZESA Seeks 100% Tariff Increase

  1. You will NEVER see ANY improvement in power supplies, or indeed Zimbabwe in general, unless you give change at the top a chance!!! Common sense would dictate this, but it’s something none of you, the VOTERS, seem to have! Yes, there’s all the plausible chance of vote rigging, BUT, you’ve not exactly rushed to the polls, to TRY and make that change happen!

  2. Ah! Another “tariff review”. YTF don’t they just say “increase”? It’s not as though the price will EVER come down, but I guarantee you’ll be paying more and getting less at the end of it! Pamberi ne SOLAR!

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