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ZETDC Planning To Raise Electricity Tariffs

1 year agoMon, 23 Oct 2023 14:17:47 GMT
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ZETDC Planning To Raise Electricity Tariffs

The Zimbabwe Electricity Transmission and Distribution Company (ZETDC) is planning to raise electricity tariffs from US$0.1063 to US$0.1263 in order to raise funds. ZETDC is seeking to collect around US$2.95 billion to strengthen its network.

The utility also disclosed that it is owed US$243 million by electricity consumers and faces challenges in connecting 400,000 customers due to insufficient funding caused by low tariffs and vandalism of infrastructure. The ZESA subsidiary said non-cost-reflective tariff structures between 2009 and 2022 have resulted in a revenue deficit for the utility. The proposed tariff increase is currently being discussed in consultations led by the Zimbabwe Energy Regulatory Authority (ZERA). Speaking at the ongoing ZERA-led consultations with consumers on the proposed tariff increase, ZETDC said: 

The impact was failure to maintain, expand and rehabilitate the electricity infrastructure at the same level as the number of consumers increased.

In order to maintain credit worthiness, ZETDC has to pay US$35 million every month towards the servicing of a loan for the upgrade of Hwange 7 and 8 power generators to the Chinese who did the rehabilitation works.

ZETDC also stated that the current electricity tariff rate of US$0.1063c, which was last approved in 2019, is insufficient to meet their financial obligations and power generation needs. ZETDC has acknowledged the concerns raised by residents regarding their contributions towards acquiring transformers and other infrastructure. The utility clarified that while there are different methods of making contributions, they bear the ultimate responsibility for maintaining their infrastructure.

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To address issues of vandalism, which has led to the need for 27,000 transformer replacements, ZETDC plans to introduce anti-intrusion detectors for transformer protection. Residents who wish to contribute towards securing their transformers can coordinate with ZETDC officials, but the mechanism for these contributions needs to be reviewed to ensure transparency and accountability. ZETDC said it recognises the importance of working collaboratively with residents to address infrastructure challenges and improve service delivery.

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19 Comments

Tatenda · 1 year ago
Magetsi akatokwira kare musi wa20 October, 38% increament for commercial meters, pakaipa
Anonymous · 1 year ago
But it's not fair coz we used kutenga zesa ye 20$ paden ya laster 2months but now hehehehe kupedza month ma1 apa load shading yacho ma1
Anonymous · 1 year ago
As a means of funding private networks. Like Zinara, it will end up in pocket. Maybe Prisca is ready for a new role.
Hippo The GS · 1 year ago
@ Horses wavakuuya nyaya yako tainzwa kare,don't forget too much everything becomes boring, gives us time to digest or else you get nothing
Nehanda · 1 year ago
Ma1 paZim
skun · 1 year ago
even if they raise tariffs nothing will change becozz they own employees are the ones vandalizing these things..a normal person can never attempt to vandalize beccoz u can get fried properly, we are already struggling with the current tariff and now u want raise it..it's compete disaster means everything wil just go up..another problem is people are not allowed to protest in this country making it difficult for the masses to be heard..
Zesa a few days ago · 1 year ago
Zimbabweans have been warned to prepare for crippling power cuts in the coming few months as the El Nino weather phenomenon is expected to negatively impact rainfall patterns resulting in reduced water inflows at Lake Kariba,
WiFi · 1 year ago
Kkkkkk we will use the money to buy rain 😂😂
xyz · 1 year ago
zesa is a monopoly.why no let independent private players in the business
Patriot · 1 year ago
✊️✊️✊️🇿🇼🇿🇼🇿🇼
lipstick 💄 · 1 year ago
yaaa Sola power to the people ...zvimagetsi zvinoenda from Monday to Friday..adzoka sutday ne Sunday chete
skun · 1 year ago
we need electricity whether u have solar or not..it's a basic need for every household but increasin tariffs means most of us have to part ways with extra dollars.. there is someone chete at the top in zesa arikuda kudya ma extra two cents iwawa..
Anonymous · 1 year ago
If you want electricity at your home/office/farm YOU HAVE TO PAY FOR IT.! I have had a prepaid meter for 3 years now. I have never been in debt with Zesa before the prepaid meter. So SKUN pay your debt and get a prepaid meter. If I don't pay then I don't get electricity. No more free rides for certain people - ZESA JUST TURN THEM OFF.
Zimbo · 1 year ago
@...best way to go no stress
1
.... · 1 year ago
muchasara nemagetsi enyu mega isu takushandisa solaaaaarr. stress free. kungowana battery nyama nesolar nyama zvaendwa. everything from fridge tv, ma pump malights . magets achasarira Kuma industry

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