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ZETDC Applies For Electricity Tariff Review To ZERA

October 8, 2023
0
Bulawayo CBD Turned Into Darkness Due To Electric Faults

The Zimbabwe Electricity Transmission and Distribution Company (ZETDC) has applied for an increase of electricity tariffs for 2023 by US2 cents/kWh.

According to The source, the electricity tariff of US2 cents/kWh translates to about $147 in Zimbabwe dollars.

ZETDC, a subsidiary of State-owned power utility ZESA Holdings, says the tariff increase will fund projects that include rehabilitation and maintenance of the transmission and distribution network, and service loans, and refurbishment of old units at Hwange Thermal Power Station. Reads the notice in part:

The Zimbabwe Electricity Transmission and Distribution Company, in compliance with section 53 of the Electricity Act (Chapter 13:19) of 2002, has submitted to the Zimbabwe Energy Regulatory Authority (ZERA), an application for review of electricity tariffs for 2023.

Reasons for seeking electricity tariff review: to enable the utility to raise the revenue required for service provision in 2023, to cover costs for Purchase of Electricity, Operations and Maintenance, Regulatory costs, Research and development costs and General Admin to take into consideration adjustment for under-recovery in the previous year.

To create capacity to be able to support economic growth in the Mining, Agriculture, Industrial and Tourism sectors. The magnitude of the tariff adjustment being applied for in the interim is an increase of USc2/kWh on the existing tariff.

ZETDC has one of the region’s lowest electricity tariffs in the Southern African region.

The Source reported that in South Africa, the tariff is US11,2 cents/KWh, while Namibia charges US16 cents/KWh.

Mozambique’s tariff is US12,4 cents/kWh, with Madagascar setting the tariff at US15,3 cents/kWh. In Mauritius, it is US14 cents/kWh, while it is US12,6 cents/kWh in Malawi.

In Eswatini, it is US14 cents/kWh, while it is US11 cents/kWh in Botswana, US7,4 cents/kWh in Zambia, US10,54 cents/kWh in Tanzania and Seychelles charges US27 cents/kWh.

ZETDC is reportedly buying electricity at a tariff of US12 cents/kWh and, in turn, selling to the consumer at an average tariff of US10 cents/kWh.

Source PindulaNews

Tags: tariffZimbabwe Electricity Transmission and Distribution Company (ZETDC)Zimbabwe Energy Regulatory Authority (ZERA)

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