ZESCO says it will not electrify residential houses in unplanned settlements to avoid contributing to mushrooming of squatter townships in the country.
To this effect, the power utility company will only connect power to residential houses which are approved by local authorities and have title deeds.
Distribution and customer services director Kenneth Muteto says the company does not support the upswing of unplanned settlements hence will only connect residential houses that have been approved by the relevant local authorities.
Mr Muteto was reacting to concerns from customers who accused the company of contributing to the mushrooming of unplanned settlements.
Some customers complained that ZESCO was busy connecting houses which have not been approved by local authorities.
This was during customers dinner held at Crystal Spring Hotel in Chipata recently where the company disclosed that it needs K26 trillion in the next five years to invest in infrastructure.
“I agree with you. It is not only you (Chipata customers) who have complained that our service to unplanned settlements is contributing to the increase of squatter townships. To this effect, we will no longer connect power to residential houses without title deeds,” he said.
He, however, urged the customers to support the proposed tariff increase if the power outages being experienced are to be over.
He said the country has not invested in hydro power stations since 1978 hence, the need to build new power plants and rehabilitate the existing ones.
“Under capital investment, ZESCO plans to spend K3.6 trillion on assets and infrastructure in the 2012/13 approved budget and the company needs K26 trillion for capital projects to avoid load shedding and power outages that are being experienced currently,” he said.
Mr Muteto said the company needs to inject K1.3 trillion to boost power generation while transmission needs K1.5 trillion and distribution needs K513 billion.
He said because of these many challenges, ZESCO is proposing among others a pro-poor life line tariff for the first 100 units of consumption in a month which will remain unchanged for the 2012/13 financial year.
ZESCO’s life tariff, if approved, will provide the customers who consume up to 100 units of power for under K50,000 on post paid or the prepaid step tariff system.
He said once the move is approved, the power utility company will forego K1.7 billion month revenue which translates to K20.7 billion annually.
But the customers wondered whether the company has other strategic plans to reduce their costs instead of loading shedding.
Meanwhile, the company will start installing the prepaid meters this month-end at no cost and urged the public to report any unscrupulous people who would want to benefit from the exercise.
[Zambia Daily Mail]
progressive move, people must learn to follow the laww
Sir how is increase in Tariff will reduce Load shedding? you are a cheat sir. you need 2 understand y load shedding takes place. this iz due 2 increase in number of customers for that reason built more power stations.
True; and to build more stations Zesco needs more money, either through borrowing or by charging customers. If Zesco borrows, the cost will still have to be passed onto the customer. If Zesco does not borrow, the cost will not evaporate, it will still haunt the customer. Postponing the inevitable is what has led Zambia to where it is today – nowhere.
K26 trillion does not sound alot for a company like ZESCO, how much do you get from CEC and the mines( you get extra money on MDs) that you supply to not to mention residential houses ?? If you are serious about doing away with load shedding it can only take 6 to 8 months to raise that amount
I agree with you. It is not only you (Chipata customers) who have complained that our service to unplanned settlements is contributing to the increase of squatter townships. To this effect, we will no longer connect power to residential houses without title deeds,” he said. This statement has caught my attention. Does it mean, all along Zesco has been suppling power to unplanned settlements. If so, zesco should be broght to book
I was very hopeful that with H.E.MCS in SH unplanned settlements,dirt in towns and poor work culture in public offices would be a thing of the past.Unfortunately he cant make unpopular good decisions for fear of losing support.But he has already tasted SH so there should be no hussle about popularity.The man still has potential to perform but…
Yes ifyabupuba muleke. connect planned and approved townships.
Who planned that Shan’gombo and Chavuma should be rural areas? Why is GRZ spending collosal sums on RURAL ELECTRIFICATION project???
This sounds a bit irresponsible to come from the COME BACK MD
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