POWER HIKE TO HARM THE MANUFACTURING INDUSTRY

Chipego Zulu and Chennai Mukumba  

By Patrick Soko

The Zambia Association of manufacturers says increasing electricity tariffs will harm the Manufacturing sector.

Tomorrow the Energy Regulation Board (ERB) will be conducting public hearings on Zesco’s application to revise electricity tariffs to be held simultaneously at 10:00 hours in Kitwe, Livingstone and Lusaka, respectively.

Zambia Association of Manufacturers Vice President South Chipego Zulu says increasing tariffs is not going to help address power challenges but that there is a need to take a holistic approach to respond to electricity issues.

Speaking during a media briefing in Lusaka this morning she has underscored the need to ensure that the cost of electricity study is done before increasing electricity.

And Consumer Unity Trust Society Center Coordinator Chennai Mukumba insists that consumers are already burdened with the previous 75 percent hike in electricity hence increasing the tariffs would adversely affect them.

Tariffs (excluding customers supplied under Power Purchase Agreements) by a weighted average rate of 113% broken-down per customer category as shown below:
1 Residential 106%
2 Large Power 73%
3 Small Power 75%
4 Distributor New proposals
5 Commercial 170%
6 Services 143%
Total Weighted Average of 113%
Also, ZESCO had applied to adjust Connection Fees by a weighted average rate of 213%.

04/11/19