Fri 23 Sep 2011

President Mugabe Backs Off

Posted by admin under Party Politics
No Comments

President Robert Mugabe has uncharacteristically balked at taking action against senior Zanu PF officials exposed in secret United States diplomatic cables released by WikiLeaks as clandestinely campaigning to remove him due to leadership failures, old age and ill-health.

A number of top government officials including Mugabe’s potential successors Vice-President Joice Mujuru and Defence Minister Emmerson Mnangagwa met US diplomats, considered enemies of the state in Zanu PF circles, to discuss Zimbabwe’s political and security situation. American envoys also met ministers, Zanu PF politburo members and army commanders.

Mugabe’s back-off is apparently seen within as a sign of political weakness on his part as his grip on the party falters, while he grows frail due to age and health failures.

Mugabe is said to be suffering from prostate cancer which has metastasised, spreading to other parts of the body.

Briefings of the Zimbabwe Independent this week by officials close to Mugabe show the veteran ruler thought better of the idea of taking action against those named as his internal rivals who want him to go. It was said Mugabe reached the decision before he left for the United Nations General Assembly in New York last week.

“The president took a decision before travelling to the UN General Assembly that there would be no action at the government or party level against those involved in secret meetings with US diplomats to discuss local issues, some of which were very sensitive,” a senior official close to Mugabe’s office said.

“So there will be no measures taken against anybody in the party. If at all, the president will only act strategically and structurally during the course of time.”

This came as a relief to those who feared a fierce backlash. Government insiders say Mugabe discussed the issue with his advisors, mainly in the state security structures, and found it prudent to let the issue pass, at least for now. They said Mugabe did not want to destabilise Zanu PF and undermine himself before the next elections which he still hopes to contest despite mounting pressure for him to retire.

Most Zanu PF officials want Mugabe to quit before the next polls, particularly if the elections are held in 2013 when it would be considered irrational or impractical to field him as a candidate at 89. There is also widespread regional pressure for Mugabe to retire. Even Mugabe’s own doctors want him to be pensioned off.

Sources said Mugabe had to plot a course of backing away from confronting his internal rivals and critics because he feared that taking action would unravel his grip on power because of the high profile nature of those involved and the scale of the problem. State security hardliners, already acting within their own domains, were reportedly not happy with that.

“After carefully assessing the situation he felt it would be wise to manage the situation by doing nothing, even at the risk of him appearing as if he was being managed by events instead of him managing them,” another official said. “It’s a better way of dealing with a crisis situation like this than adopting a kneejerk reaction.”

After WikiLeaks released secret US cables, Mugabe endured extraordinarily miserable weeks, cutting a lonely and isolated figure on the political landscape, while senior Zanu PF officials scurried for cover amid pressure from party old- timers like Didymus Mutasa, secretary for administration, and Rugare Gumbo, spokesman, for them to be punished.

However, after Mugabe’s consultations, internal pressure to discipline those involved in the WikiLeaks disclosures was stymied. This was actually proved by the failure of the Zanu PF politburo last week to discuss the issue. The matter has mainly been discussed within the corridors of power than in formal meetings.

Sources said Mugabe’s public explanation for not acting would be that he was aware of those meetings anyway. Efforts to get comment from Mugabe’s spokesman George Charamba this week failed as he was said to be in New York.

However, Charamba in his weekly column in the state-run Herald, Nathaniel Manheru, which he writes under a pseudonym, apparently based on information gleaned from his interaction with his boss and other senior officials, tried to advance that argument that he knew anyway.

“There is hardly anything new to emerge from WikiLeaks,” we are told. “Details may be there. Nuances and brilliant quotes probably. But generally who was doing what with the Americans, all that was quite known,” he said in a move which seemed calculated to answer questions about where the intelligence services were when all this was happening and also justify Mugabe’s failure to act.

“And such contacts were beyond Americans, to encompass many other Western embassies. (Julian) Assange (WikiLeaks founder) just happens to have caught up with the blunderous. They are not the only ones; not even the worst.

By way of actual substance itself, there was no news in the fact that some Zanu PF elements had a hand in the formation of the MDC, let alone in the subsequent fall-out between the MDC leadership and those elements in Zanu PF. There was no enigma in the formation of Mavambo, or those inside Zanu PF who were behind it. What was rather surprising was why this element in Zanu PF balked from the ultimate, namely excising themselves from the main body to join their project.”

(Source)

Tags:

 

Thu 22 Sep 2011

President Mugabe To Address General Assembly

Posted by admin under Uncategorized
No Comments

President Mugabe is today expected to address the 66th Session of the United Nations General Assembly which opened at the UN Headquarters here yesterday. He attended the opening ceremony alongside other world leaders most of whom upheld the lobby for reforming the UN Security.

Zimbabwe is expected to advocate the democratisation of the 15-member organ and the expansion of the General Assembly’s scope. It is also supporting Palestine’s quest for full UN membership.

Earlier this week, Foreign Affairs Minister Simbarashe Mumbengegwi said the country was pushing for all regions of the world to be represented among the permanent members of the Security Council.

Africa, he said, was still eyeing two permanent seats.

“There is the reform of the United Nations, in general, and the Security Council, in particular. This is an on-going debate. We think pressure needs to be exerted to democratise the Security Council. At the moment, it only has 15 countries; so it should be expanded,” he said.

“The total membership of the UN is now 194 (including Palestine). We think a bigger council will, therefore, be more representative. Africa also believes the veto should be done away with. If it remains in place, then the permanent seats have to be reconsidered.

The General Assembly is big and, therefore, should be accorded more powers and responsibilities. We believe the proposed reforms must enable it to override some of the decisions of the Security Council. We can’t have 15 countries or, one country, making decisions for 194 nations.”

Addressing the General Assembly yesterday, Brazilian President Dilma Rousseff who became the first woman in UN history to open the general debate – said the proposed reforms were stalling.

She called for the inclusion of new permanent Security Council members and also expressed her country’s support for Palestinian membership.

“The proposed reform of the Security Council is now in its 18th year. It is no longer principled to postpone it. The world needs new permanent members, especially developing countries,” she said.

“Brazil is ready to co-operate with the youngest member of the UN. Like most countries, we believe the time has come for us to have Palestine represented as a full member.”

Equatorial Guinea President and African Union chair Teodoro Obiang Nguema Mbasogo also proposed the democratisation of all UN organs. He said Africa favoured peaceful conflict-resolution, adding that the continent had become susceptible to neo-colonialism.

“Africa is in favour of the peaceful resolution of conflict through dialogue and mediation. The use of force has never provided a solution to conflict,” he said.

“. . . Unfortunately, we can see that the UN is being used in a fraudulent manner. The use of force in conflict does not unify but brings division and destruction.”

Speaking before the general debate, UN secretary general Mr Ban Ki-moon said there was need to promote sustainable development. He also implored leaders to explore ways of addressing climate change and global health concerns, among other critical matters.

“Saving our planet, lifting people out of poverty, advancing economic growth these are one and the same fight.

“We must connect the dots between climate change, water scarcity, energy shortages, global health, food security and women’s empowerment. Solutions to one problem must be solutions for all.

“We must make progress on climate change. We cannot burn our way to the future. We cannot pretend the danger does not exist – or dismiss it because it affects someone else.

Today, I call on you to reach a binding climate change agreement an agreement with more ambitious national and global emission targets. And we need action on the ground, now on cutting emissions and on adaptation.”

The UN General Assembly is expected to discuss several key issues including climate change, poverty eradication and proposals to reform the deliberative body. So far, Palestine’s bid to become the 194th member of the UN has remained highly contentious. Its leader, Mahmoud Abbas, is expected to make a formal request for statehood recognition.

However, US President Mr Barack Obama and his French counterpart, Mr Nicolas Sarkozy, are reportedly planning to compel him to drop moves in this direction. The US has since said it will invoke its veto power if the matter were tabled before the Security Council. Progressive nations are, nonetheless, supporting Palestine.

Addressing the General Assembly yesterday, Mr Obama said: “Ultimately, it is Israelis and Palestinians who must live side by side. Ultimately, it is Israelis and Palestinians not us – who must reach an agreement on the issues that divide them: on borders and security; on refugees and Jerusalem.

I believed then and I believe now that the Palestinian people deserve a state of their own. But what I also said is that genuine peace can only be realised between Israelis and Palestinians themselves.”

(Source)

Tags:

 

Wed 21 Sep 2011

Shamu Blasts Media ‘For Wishing Mugabe Dead’

Posted by admin under Opinions
No Comments

Media, Information and Publicity minister Webster Shamu yesterday castigated some sections of the media for “literally wishing President Robert Mugabe dead”.

In an interview Shamu, a journalist by profession, said he felt the media had not accorded the First Family the respect it deserves.

He said some sections of the media had also thrown away the country’s cultural norms by demonising their country, hence the warning that he would consider withdrawing licences.

“If you go all out to denigrate the person of the President, write speculative and negative stories on the President and the First Family without even verifying facts, one wonders whose interest you are serving,” he said.

“I’m not saying someone in Zanu PF or MDC can’t be wrong, but they can’t be wrong every day of their lives.

Are we saying the President can never be right? Is he always wrong? You (the private Press) always wish him dead and go on to regurgitate the same story over and over again. The hatred has been so blatant as to wish someone dead. In our culture, this not acceptable. The whole First Family is targeted, even the kids and this is not acceptable.”

Shamu, however, said: “I am passionate about the media, and I don’t want to give licences and take them away. I am, however, concerned by what is going on. As journalists you should understand that you are Zimbabweans first.

“I have no problem when public officials are criticised, but criticism should be constructive. It is the duty of journalists to highlight where officials have erred, but we should not denigrate our country and spread hate speech.”

(Source)

Tags:

 

Tue 20 Sep 2011

Zimbabwe Nuns, Priests Evicted, Orphanage Seized

Posted by admin under Corruption & Graft
No Comments

Zimbabwe’s top Anglican bishop says a breakaway church leader close to the country’s president has taken over an orphanage home to 80 children.

Bishop Chad Gandiya, leader of the mainstream Anglican group, says the breakaway leader also has seized mission schools and priests’ homes.

On Tuesday, Gandiya visited nuns and priests evicted from the church facilities near the provincial town of Murewa, 50 miles (85 kilometers) from Harare. Gandiya says he is worried about the fate of the 80 children left at the orphanage.

Bishop Nolbert Kunonga, the breakaway church leader who insists he split from the Anglican church because it recognized gay marriage, has protection of police loyal to President Robert Mugabe.

(Source)

Tags:

 

Fri 16 Sep 2011

Air Zimbabwe Pilots End Third Strike Over 10 Months, Flights Yet To Resume

Posted by admin under Economic Recovery
No Comments

The head of Zimbabwe’s state airline says pilots have ended their third strike in 10 months but that service has yet to resume because no one has booked a flight.

Air Zimbabwe chief executive Innocent Mavhunga said Friday the airline resolved its salary dispute with pilots after it got a bailout from the transport ministry. He refused to disclose the amount. The strike lasted six weeks.

But he said that no flights were likely to resume Friday because the sudden end of the strike was not widely known.

The heavily indebted airline’s 49 pilots have been on strike three times in the past 10 months, demanding more than $9 million in unpaid salaries and allowances.

Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

(Source)

Tags:

 

Thu 15 Sep 2011

‘Mnangagwa, Mujuru cannot win against Tsvangirai’ – Mzembi

Posted by admin under Elections
No Comments

Tourism minister Walter Mzembi believes neither Defence Minister Emmerson Mnangagwa nor Vice President Joice Mujuru can win an election against the MDC if they replace President Robert Mugabe.

In a US diplomatic cable leaked by whistle-blower WikiLeaks, Mzembi met with the US embassy in March 2009 and said: “Neither Mnangagwa nor Mujuru can win an election against the MDC.  If Zanu PF is to win the next election, it will need to divorce itself from the past and develop new, younger leadership.”

He also added that Mugabe is aware of the divisions within the party and is afraid the party will fall apart in his absence.

“Mugabe will not step down at the Zanu PF conference in December,” Mzembi said.

“He will not support either Emmerson Mnangagwa or Joice Mujuru to succeed him but is fostering a stalemate between the two with the hope that a younger successor will emerge.”

Mnangagwa lost the parliamentary elections in 2000 but Mugabe gave him the powerful position of Speaker of Parliament. He lost again in 2005 and was appointed the minister of Rural Housing meaning he was a Mugabe favourite.

According to the leaked cable, Mzembi is considered a “young Turk” within the party.

“He is close to Mugabe, but at the same time is one of the few Zanu PF officials who was confident enough to speak openly with the embassy without fear of repercussions from hardliners,” reads part of the cable.

Zanu PF is plagued by a succession battle involving two main camps; one led by the now late General Solomon Mujuru and the other by Mnangagwa, the minister of defence.

Analysts said Mujuru’s death, in a mysterious fire at his farm in Beatrice last month, could be related to the Zanu PF succession issue, which is being debated outside the formal structures of the party.

Mujuru was reported to have wished to propel his wife to the top position in Zanu PF in the event that Mugabe decides to pass the baton but she had other contenders to beat.

Mzembi’s observations in the leaked cable are that: “If Zanu-PF is to win the next election, it will need to divorce itself from the past and develop new, younger leadership.  It is unlikely elections will take place in the next two years; Zanu-PF needs time to regroup and settle the succession issue.”

In the same cable, Mzembi also raised concern on the continuing farm invasions which he said were unfortunate and unhelpful to tourism.

He said the Ministers of Home Affairs Kembo Mohadi and Theresa Makone should take the lead in forestalling invasions and arresting those who participate.

Mzembi also made remarks on Zanu PF officials, who are fixated on the lifting of sanctions: “They need to understand, however, that the lifting of sanctions will be a more complicated process than was their imposition and should focus on other issues,” he said.

(Source)

Tags:

 

Wed 14 Sep 2011

Zimbabwe Softens Tone With Foreign Miners

Posted by admin under Indigenisation/Empowerment
No Comments

Zimbabwe ministers said the country would not suspend any mining permits and that exceptions may be made to laws requiring foreign miners to give majority stakes to locals, bringing relief but no clarity to a policy that has alarmed investors.

The remarks by the mines minister and the empowerment minister at a mining conference come after most foreign operators appear to have bowed to government pressure on the issue, though details of deals struck remain clouded.

The recent empowerment law, signed in 2008, requires foreign miners to transfer 51 percent equity stakes in local entities to black investors. In August several companies received letters directing them to submit new plans within 14 days or risk losing their licences.

Mines Minister Obert Mpofu told the conference in Harare that the government did not intend to cancel any permits.

“We have no intention of cancelling any licences. There are some negotiations taking place with some parties. No licence has been cancelled. We have no such intention,” he said.

While investors in the country with world’s second-largest platinum reserves may welcome the comments, the abrupt change in tone will keep them guessing and reinforces the impression that the policy has been ad-hoc and based on brinkmanship.

Companies that have felt the heat have included Zimplats , 87 percent-owned by Impala Platinum, the world’s second-largest platinum producer, and Canada’s Caledonia Mining Corporation.

Both have so far survived threats to have their mining licences revoked for failure to comply with the new ownership law.

The charm offensive was maintained by Empowerment Minister Saviour Kasukuwere, who has been the face of the mine ownership drive by President Robert Mugabe’s ZANU-PF Party.

“With the mining industry, we’ve had our running battles, but now we’ve made tremendous progress,” he said.

“When there are exceptional circumstances, we’ll look at those circumstances in a manner that allows our country to move forward. We are aware of the capital requirements in mining; we are alive to those realities,” he told the conference.

Analysts have maintained that those “capital requirements” could force the government’s hand. Impoverished Zimbabwe simply has no money, private or public, to buy majority stakes in mining operations, nor the cash to keep them running.

Companies have said they will not get a viable return on their investments in Zimbabwe if they do not have majority stakes. The chief executive of Implats said in August that “51 percent equity just does not work”.

Analysts also see the law as a way for Mugabe’s ZANU-PF party to get badly needed funds ahead of elections scheduled for next year.

The stakes are extremely high. Zimplats, for example, accounts for about 10 percent of Implats’ roughly 1.8 million ounces of platinum production per year.

(Source)

Tags:

 

Mon 12 Sep 2011

Mnangagwa, Moyo Plotted ZANU PF Breakaway

Posted by admin under Party Politics
No Comments

Defence Minister Emmerson Mnangagwa and former Information Minister Jonathan Moyo had advanced plans to form a political party to challenge President Robert Mugabe’s ZANU PF party, leaked United States embassy cables show.

The United People’s Movement (UPM) “planned to actively exploit existing tensions in ZANU PF” and “would aggressively hammer wedge issues to further divide the ruling party”.

Plans to form the party were drawn up in late 2005, the cables released by WikiLeaks claim, but Mnangagwa and Moyo never came out publicly to back the new party.

The revelations show the depth of disquiet with ZANU PF’s direction under President Robert Mugabe’s leadership over the last decade. Almost all his top allies including Vice President Joice Mujuru and Vice President John Nkomo have been revealed to have told American diplomats privately that they thought the party needed a change of leadership.

Mujuru, the US embassy cables show, was behind former Finance Minister Simba Makoni’s bid for the presidency in March 2008. The Vice President and her late husband, Solomon, had promised to quit ZANU PF two days before the election to publicly-back Makoni but chickened out, the diplomatic dispatches claimed, over concerns that Mugabe would target their business interests.

In a November 22, 2005, dispatch to Washington, the US embassy’s Charge d’Affaires, Eric T. Schultz, reflected on a meeting held with former ZANU PF MP Pearson Mbalekwa days earlier.

Mbalekwa, described as the UPM’s “principal”, told Schultz that Moyo – who had exiled himself from ZANU PF after running as an independent in Tsholotsho North – was part of the national executive.

“He claimed Emmerson Mnangagwa was satisfied with the movement’s progress and remained quietly behind the group but would not comment on plans for Mnangagwa’s association to be publicly disclosed,” Scultz wrote.

Months earlier, Schultz had met Mbalekwa who “openly wondered how the West would react to a Mnangagwa presidency”.

The decision to form the new party, Mbalekwa had told the American diplomats, was taken after “Mugabe’s cynical manipulation of last year’s presidium vote (2004) and the subsequent purges associated with the Tsholotsho meeting” where Mnangagwa and allies including Moyo, Justice Minister Patrick Chinamasa, Agriculture Minister Joseph Made, former Transport Minister Chris Mushowe, war veterans leader Jabulani Sibanda and ZANU PF spokesman Rugare Gumbo allegedly plotted a palace coup.

Mbalekwa claimed Mnangagwa, Moyo and others had realised that “change within the party would be impossible as long as Mugabe remained in charge”.

“Accordingly, growing numbers of disaffected ZANU PF had been collaborating and were getting prepared to launch a ‘third force’…,” Schutlz said in another cable dated July 18, 2005.

Commenting about the possible development in his November cable, Schultz said: “The UPM’s most identifiable principals – Emmerson Mnangagwa and Jonathan Moyo – each carry heavy liabilities with both domestic and international audiences for their association with past ruling party oppression.

“In addition, like the opposition MDC, it lacks resources or a reliable platform from which to deliver its message in an environment where the ruling party directs the full power of the state to its advantage.

“That said, Zimbabwe’s dysfunctional political landscape and leadership vacuum suggest obvious opportunities for a third force and the UPM is well-positioned, especially in the event of a ruling party crack-up over Mugabe’s succession, to take advantage of those opportunities.”

The planned party never took off the ground. Moyo rejoined ZANU PF in 2008 and Mnangagwa was given the powerful post of Defence Minister in a 2009 cabinet announcement by Mugabe.

(Source)

Tags:

 

Fri 9 Sep 2011

Proposed Juvenile Justice System Worthwhile

Posted by admin under Crime
No Comments

Teenagers can do the most stupid things, and sometimes those stupid things are also crimes. So they get arrested, go to court and sometimes go to jail, at least if they are an older teen.

And for the rest of their lives, hopefully long lives, they have to put in that conviction on every form that asks: “Have you any previous convictions?” Most potential employers then twitch and look harder at the second person on the shortlist.

The system is unduly harsh. A shoplifter is branded a thief for life; an underage boy experimenting with beer and getting a bit wild is branded a violent man for decades. Even a couple of lads taking a car for a joyride without permission can have a hideous criminal record, and a teen sneaking a whiff of marijuana can be labelled as a drug addict.

Time was when a lot of juvenile crime was sorted out by headmasters. In the smaller communities of yesteryear this was usually a reasonable second-best; at least something was done to stop the teenager going forward in a life of crime, there was some punishment for a crime and there was no record.

There are a fair number of very respectable middle-aged men and women in Zimbabwe who went through a most unpleasant interview with their head while at school and changed direction as a result. The courts have never heard of them, unless of course they are a lawyer.

But that was not always done, and in the larger cities of these days it might not be an option. But the idea of appropriate punishment, appropriate counselling, a strong disincentive to repeat the act and no permanent criminal record is worth pursuing.

This is now finally being done with the introduction of a new system of criminal justice for juveniles announced by President Mugabe when he opened Parliament.

He stressed that only less serious crime would be considered. We hope that there is some leeway on this. Obviously violent crimes like murder, robbery and rape need to be excluded, but in other cases consideration needs to be taken of the circumstances. What could be serious in some cases need not be in others.

The actual system will be less formal. There will be an assessment of the child, there will be counselling and there will be, when needed, some punishment, but if we understand the idea correctly this will largely be community service. We gather that if the offender then goes straight, then at some point the criminal record is wiped clean.

To a degree this is a single chance. The Secretary for Justice and Legal Affairs Mr David Mangota said that second offenders could also benefit, but presumably that will depend on circumstances.

One foolish act can be dealt with leniency; two might need careful thought.

The main point of the system must be to bring the teenager up short, make it clear that they cannot continue on that path and then help them choose a life road that is law abiding at the very least.

Quite a lot will depend on the staff assigned to this scheme. No one who has brought up a teenager will ever underestimate the difficulty of getting one to change the ways of their mind. Some will pretend to be attentive, trying to fool the system. Staff will be needed who can see through that.

A high-powered committee, headed by Justice Paddington Garwe of the Supreme Court, is overseeing the scheme. He is one of the most experienced judges in Zimbabwe. So long as the rest of his team are of equal calibre we are confident they can fine-tune the system as it develops to achieve its goals.

Administering a criminal justice system can be tricky. Society needs to be protected from criminals, but at the same time those who commit crimes need to be reformed so that they stop doing that.

The present system does not work as well as it should in that respect. We punish, but find it hard with our high unemployment and lack of resources to restore.

Anyone who has sat in a courtroom when a judge is dealing with those who have chosen a life of crime and have spent years going in and out of jail will understand the need to stop that progress at the first crime.

During his time on the High Court Justice Garwe did more than his fair share of dealing with these professional criminals sent to him for sentencing by magistrates who felt they lacked jurisdiction, and he had to make some tricky decisions on how to deal with juveniles.

Most of those who go in and out of jail for most of their lives started young. So it is worthwhile to see if there is a better way forward. The outline made public seems to balance the needs of society and the need to restore the young offender to that society. We hope it works.

Certainly it is worth trying.

(Source)

Tags:

 

Tue 6 Sep 2011

ZESA Posts US$100 Million Loss

Posted by admin under Economic Recovery
No Comments

Power utility ZESA Holdings posted a US$100 million loss in the six months to June and attributed the poor performance to sub-economic tariffs.

ZESA chief executive Engineer Josh Chifamba said this in defence of the recent tariff hike that has been described as unjustified and illegal. He said the power tariff hike was justified, as cost reflective rates made it possible for the State-owned power producer to ensure supply reliability.

Industry now pays US9, 45c a kilowatt-hour from US7,53c per unit of electricity and domestic users US4, 5c per unit since the 31 percent tariff hike. Power accounts for about 5 percent of firms’ operating costs.

He said during dollarisation consumers paid grossly sub-economic tariffs that resulted in serious erosion of the balance sheet into negative equity.

“One way of looking at losses is that they are a mirror image of backlog in maintenance, degradation of infrastructure and unsafe infrastructure. That is how you must interpret losses, it’s not just financial,” he said.

The ZESA boss said the utility’s financial losses typified and exemplified a lot of maintenance work that is not being done on the infrastructure. He said there had been need to review the last tariff, approved in 2009, as it had only been a “thumb suck tariff” not meant to address ZESA’s costs.

The ZESA CEO said “it was just a thumb suck tariff, something just to proceed by” while the economy was given time to recover.

Eng Chifamba said the decision to increase tariffs to ensure reasonable cost recovery was motivated by a number of compelling economic issues.

“Coal, a significant component in the cost structure of ZPC, takes about 45 percent compared to the entire cost structure has moved from US$17 a tonne in 2009 to US$30 now and that’s a phenomenal increase.

‘The price of diesel has moved from US90c (2009) to about US$1,32 now. All those costs are pass through costs external to us. We cannot do anything about them . . . we simply take them and pass to customers,” he said.

ZESA’s cost structure has reportedly increased tremendously since 2009, but even with the new electricity tariff ZESA will not recoup all incurred expenses.

ZESA said it has no option but to review tariffs, as the cost of failing to provide would be frightening to consider taking the risk.

For example, mining companies lose US$4 a kilowatt-hour not supplied and use of diesel generator results in US45c per kilowatt-hour consumed.

A huge cost burden has resulted in infrastructure collapse of networks closer to consumers resulting in infrastructure-related supply interruptions.

It is against this background that Government has decided to gradually ensure that the power utility charges cost reflective tariffs to cover expenses.

This comes as Government scouts for a partner to inject fresh capital into the debt-burdened parastatal. ZESA is one of 10 loss-making parastatals that were identified for privatisation, commercialisation or restructure.

ZESA requires US$3 billion to raise power generation by an additional 900 megawatts at both Hwange Thermal and Kariba South power stations.

New investment would help reduce power deficits. Zimbabwe is only able to produce 1 400MW against national demand for power of 2 200MW.

Thus far 40 investors have expressed interest in snapping a stake in the power utility and the winner would provide part of the funding required by ZESA.

(Source)

Tags:

 

« Previous Page — Next Page »