Tuesday, January 14, 2025

ZESCO Price Action Shows New Dawn government is trying to please the IMF and not Zambians

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Former Zambia’s Ambassador to Ethiopia Emmanuel Mwamba has said that the removal of subsidies on electricity connection and meter separation fees as announced by ZESCO Limited is a clear indication that the New Dawn government is trying to please the IMF and not Zambians who voted them into office.

Speaking when he featured on Radio Christian Voice’s Chat back program, Amb. Mwamba charged that the government has found itself in a difficult position in view of the pending IMF Staff Level Agreement which will go to the IMF board in June this year.

Amb. Mwamba explained that the failure to remove direct or indirect subsidies on both electricity and fuel will jeopardize its approval.

“Government is sitting on a hard place on one side and a rock on the other. If they increase the cost of fuel and electricity, Zambians will be adversely affected and If they don’t, IMF Board may not be pleased as the government will be viewed as failing to raise domestic resources and continuing with funding poorly targeted subsidies,” Amb. Mwamba said.

He stated that Finance Minister Dr. Situmbeko Musokotwane is therefore not concerned with the interest of Zambians but wants to please the IMF.

Following the removal of subsidies by ZESCO, electricity connection fees will now cost K6,930 from the previous K1,500 while meter separation will cost K6,000 from the previous K750.

Amb. Mwamba who also served as Zambia’s Permanent Representative to the African Union, however, admitted that the cost of connections fees cost higher than what was previously charged but the previous government treated electricity as an economic right hence its decision to subsidize the connection fees.

He stated that the New Dawn government should have gradually adjusted the cost of electricity connection fees and not in the manner they have done it.

And Amb. Mwamba has also noted with regret that the normalization of electricity connection fees will further increase the cutting down of trees as those that cannot afford power will resort to other means such as Charcoal for their energy and cooking sources.

He charged that this will ultimately defeat the purpose of the creation of the Ministry of Green Economy and Environment because the UPND administration is not looking at ways of preserving the environment.

Amb. Mwamba has since called for the abolishment of the Ministry of Green Economy saying that allowing mining activities in the Lower Zambezi National Park has also proved that the New Dawn government is not concerned about climate change and the state of the country’s environment.

15 COMMENTS

  1. Whats the point of Zesco anyway for 7 years we have had major power shedding so we have adapted to solar and gensets and charcoal to survive, who is going to pay those prices to get power a few hours a day, cheaper to put that money towards a home solar system.

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  2. JOIN THE REAL WORLD FOR GODS SAKE
    LOOK WITHIN TO SEE WHY THIS COUNTRY IS STILL STRUGLING AFTER 57 YEARS
    AND PROBABLY WILL FOR THE NEXT 25 YEARS JUDGING BY THE STUPIDTY OF SOME ON HERE

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  3. Emmanuel Mwamba, you are too educated and too well traveled to start lying. Those new connection fees by zesco are the true reflection of the cost of running that company profitably…infact the rate of K7,000 is still lower compared to regional neighbors.

    Zambians got used to subsidies, as a result everyone wanted uninterrupted power supply except no one wanted to pay the real cost of electricity delivery… because they had populist politicians who were more concerned with fame than doing their job.

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  4. #6 Benson Moono
    It’s confusing now.
    Didn’t Bally condemn the PF for removing subsidies on fuel while he was in the opposition?
    He actually called subsidies as a ” lifeline”
    The truth is subsidies exist everywhere, including the same capitalist countries telling the Bally govt to remove them.
    Removing subsidies will lead to hardship and suffering among citizens, and eventually resentment against govt.
    That’s just the way it is.

  5. Zesco cannot survive until it charges cost reflective prices. And the IMF only provides loans if you remove subsidies. So that is the choice: subsidies or loans. Or better still: GET SOLAR and DISCONNECT ZESCO.

  6. I took my beautiful wlfe for dinner last night at a undisclosed location. We had a very romantic dinner on her birthday. Life is good. Hownabout you in diaspora who wanted to hh to win l, how has your life changed?

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  7. I think this tribally bigoted Kasai named Mwamba must shut up and stick to what he knows better, rigging elections for Lungu.

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  8. I too believe so. How can you use & mistreat the popular to gain high profit using the national energy power company?

    How on earth do you think of grassroots/low income dwellers who depend on Zesco will manage to survive?

    Who is being consulted on such measures, they locals or the international mob organizations?

    Country grown should not base on stealing from it’s own….
    We can do better than that please.

    Good Governance & transparency should not be driven on rapid profit gain.

  9. Unless it is fake news, which I believe is not, the Energy Regulation Board (ERB) has declared ZESCO’s decision to increase connection and meter separation fees by 600 and 400 per cent respectively as null and void, stating that the power utility company had no authority to effect such increases! It will be interesting to hear from the Tikkis and Tarino Oranges of this world who came out blazing in support of the increases.. Knowing them, they will still support ERB’s move. Comrades, let’s help our government succeed and that means giving it credit where credit is due and criticising it where criticism is due. Blind loyalty is dangerous bane.

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