By JAMES KUNDA –
THE reversed electricity tariffs will come into effect next month after the Energy Regulation Board (ERB) scrutinises a fresh application by Zesco, Energy and Water Development Minister Dora Siliya has said.
This follows a directive by President Edgar Lungu that the power utility reverses the intended hike in electricity tariffs to enhance affordability among low-income domestic consumers.
The ERB last year granted Zesco a go-ahead to hike electricity tariffs for the various customer categories from an average of 37 Ngwee to K1.13 per kilowatt-hour, which was an equivalent of six US Cents to 10.35 Cents per kilowatt-hour.
The hike was effected on December 2, last year, with charges for residential customers at a fixed rate of K0.51 revised upwards from 100 units to 300 units per month.
Ms Siliya told a media briefing in Lusaka yesterday that the tariffs had to be revised and implemented gradually so that domestic consumers were not choked further by the increase in the cost of consumer goods and services.
She, however, said the tariffs effected for other consumer groups stood as they were so that Government could attract more investment in the sector.
“Zesco will make a fresh application to the ERB and the revised tariffs are expected to come into effect on February 1, 2016.
“The revision is merely intended to make cost-reflective electricity tariffs reasonable for domestic users,” she said.
Meanwhile, Government expects to spend US$1.2 billion on interventions to stabilise electricity supply in the country.
Ms Siliya said the interventions included the importation of 100 megawatts (MW) of electricity from EDM in Mozambique, 200 MW from Karpowership of Turkey and procurement and distribution of energy saving bulbs countrywide which will gobble up $20 million.
She said the Government was by next week expected to sign contracts for an additional 200MW emergency power from four main inland thermal power plants for Copperbelt and Lusaka.
“It is planned that this power will be availed as of the first quarter of this year and the ministry is also exploring the possibility of another inland generation power plant for North-Western Province.
“Government is also expected to award contracts for the procurement of 300MW from solar power plants, which is expected to come on line by October 2016,”she said.
She encouraged citizens to use electricity wisely as the distribution of energy saving bulbs would help save the country 200MW of the commodity.