Consumers slam Zesa tariff hike

bitterly that the higher charges are not commensurate with the service they are getting.
The Zimbabwe Electricity Regulatory Commission increased tariffs for domestic consumption from 7,53 US cents to 9,94 USc per kilowatt hour – a 30 percent increase.
Zesa increased tariffs at a time consumers owe the utility more than US$450 million, with many of them saying they cannot afford the bills they get.
Consumers have called for reversal of the hike saying it only makes their situation worse.
Others said they suspected the money was going to staff costs because they could not see the investment in power generation.
They said Zesa should first disclose how much of its revenue goes to remuneration before seeking to justify any hikes.
However, some conceded that the power supply situation, particularly in Harare, had improved of late.
Zesa spokesperson Mr Fullard Gwasira yesterday said the increase would go a long way in improving power supply.
He said the tariffs were still below the regional average of around 12 USc.
“The increase in tariff allows Zesa to import more power and ensure consistency in power supplies.
“It will reduce load-shedding. Consumers should actually expect an improvement in the services offered since we are now operating all power stations efficiently,” said Mr Gwasira.
The electricity regulatory commission said the tariff review, which is effective February 1, would allow Zesa to recover operating costs.
However, Harare Residents Trust Co-ordinator Mr Precious Shumba slammed the hike saying it was not a solution to the utility’s problems.
“Consumers are suffering. Some are even failing to settle the bills calculated when the tariffs were still at 7,53 US cents per kilowatt-hour.
“They are experiencing the same financial problems being faced by Zesa as a company.
“We do not believe that the burden should be passed on to the residents who are already suffering.”
He said there had been no salary increments that could make Zesa think its consumers could afford 30 percent hike.
“We find it difficult to accept that they are now increasing prices at the time the economic situation has not changed,” he said.
Consumer Council of Zimbabwe executive director Mrs Rosemary Siyachitema added: “We are shocked that Zesa has increased tariffs by what they indicated as 30 percent considering the past two years, 2009 and 2010, we have been on the record that consumers are failing to pay their bills . . .
“Zesa should first discuss with the relevant stakeholders before they increase their tariffs.”
Mrs Siyachitema urged the power utility to revise its tariffs downwards.
Ms Agnes Manambo of Ruwa said many people would soon be forced to stop paying their bills.
She said Zesa should disclose its revenue and management salaries before tariff increases.
“We need to know how much Zesa generates from consumers to justify the claims that the old tariffs were too low.
“We also need to know how much the top brass is taking home in salaries and allowances before seeking to increase the tariffs.”
Zesa is working on introduction of a large-scale prepaid system that allows consumers to manage their own electricity consumption.

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