HomeEditor's Picks

ZESA To Embark On Massive Debt Collection Action

4 years agoFri, 19 Jul 2019 02:52:14 GMT
Share on FacebookShare on TwitterShare on LinkedIn
ZESA To Embark On Massive Debt Collection Action

Deputy Minister of Energy and Power Development, Honourable Magna Mudyiwa, has said that the local power utility, Zimbabwe Electricity Supply Authority (ZESA) is set to embark on a massive debt collection exercise in order to service its operations.

Her remarks come at a time when ZESA is failing to provide adequate power to the nation citing low levels of water at the Kariba Dam, ageing equipment at Hwange thermal power station and reduction of power supply from neighbouring countries.

ZESA reports that it is owed about ZW$1.2 billion. In turn, the power utility owes millions of US dollars to ESKOM and Hydro Cahorra Bassa, power utilities of South Africa and Mozambique respectively.

Speaking at the Mine Entra, honourable Mudyiwa said:

ZESA is owed huge sums by local individuals such as farmers and some mining companies. I think they are going to embark on a debt collection action sooner or later to try and get some payments from these people who owe the parastatal. The other issue is on tariffs, which is much below their operating needs and needs to be increased sooner or later. If we get a breakthrough, our tariffs should be increased and this add on to their finances.

Get Pindula News on our WhatsApp Channel

Subscribe here: https://whatsapp.com/channel/0029Va84dngJP21B2nWeyM3v

Meanwhile, ZESA has rolled out a crippling power cut schedule which has seen most parts of the country going without power between 0400 hours and 2200 hours.  Businesses have since complained over the development with some arguing that load-shedding has raised operational costs, reduced production, and has lowered the number of customers.

More: ZBC News



Leave a Comment

Generate a Whatsapp Message

Buy Phones on Credit.

More Deals