ZESA Debt Could Plunge Country Into Darkness

The Herald reports that Mozambique could pull the switch that supplies Zimbabwe with electricity. This is because Zimbabwe is said to owe an estimated US$5 million debt.

Zimbabwe requires in total about 1900 to 2200 megawatts; ZESA produces between 900 megawatts to 1200 megawatts that would mean a shortfall of about 500 megawatts.

Such a move by Maputo would adversely affect many homes but more importantly industries such as mining and manufacturing. That is exactly the kind of thing that the country does not really need at this time.

The sad bit is unless Zimbabwe works out some deal with Mozambique it is very possible that whole nation faces the possibility of being plunged into darkness over a US$5 million debt.

But how much exactly is US$5 million dollars? US$5 million dollars is what some top soccer players earn in a year. US$5 million is change to Alex Rodriquez the American baseball player who signed a ten year 275 million dollar contract for playing for the NY Yankees.

It is kind of depressing when you think of it.

 

 

 

  • Liscious

    Something is wrong with their business model. This can only mean that Zimbo’s are paying less than market value for electricity. In my opinion, people should pay whats fair and save electricity where they need to. Right now, I know the Zesa bill for a household in Arcadia is roughly the same for someone living in the Avenues that gets no powercuts. There are so many things wrong with this scenario but my point is there is no incentive to save power. Doesn’t matter if I turn all my stuff off when not in use, I will still pay as much as the next person in the avenues while simultaneously receiving random power-cuts. People should pay for what they use, at market rates, no subsidies/discounts/estimates….simple. Unfortunately what will happen here is that the taxpayer will end up footing the bill. Don’t forget this is the person that gets home from work at 6 to be greeted by power cut. Nice.

    • Well the problem is a lot more complicated than that.

    • Three Men on a Boat

      @Liscious, you raise many good point pertaining to billing and the need to save energy, but as you know Zesa is the national utility as such it is of strategic importance not just from a household consumption point of view, but from an industrial, developmental and security point of view as well. So there are many considerations that need to be made whenever Zesa is discussed. Achieving a win-win scenario bearing all these considerations may have to mean very difficult and painful decisions for the whole nation but part of the solution may be to encourage the use of renewable energy, but the reality is that the problem is much more complex than meets the eye.