Zimbabwe plans electricity tariff increase

Harare- The Zimbabwean Government is mulling an electricity tariff increase despite current load shedding schedules that have crippled industry.

Speaking during a post cabinet media briefing in Harare, Energy Minister Fortune Chasi said power utility company ZESA was generating, importing and selling electricity at a loss.

“In respect to power, it’s the same approach that the issue of ZESA tariff is on the agenda and am aware that the Zimbabwe Energy Regulatory Authority (ZERA) is looking in the very granular way around the prices of power. ZERA is also looking at ways of giving the public sufficient information so that people can plan knowing exactly where we are going.

“The long term goal is to make sure that we have a tariff that is (well) constituted. We cannot import power or generate power at and sell it at a loss, we will be creating very significant problems.” said Chasi

Zimbabwe is currently facing an electricity deficit owing to foreign currency shortages and declining water levels at Kariba Dam. This has led to reduced production of goods as well as closure of companies.

The last electricity tariff increase was effected in August, while consumers are still coping with the increase another hike is on the cards.

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