The mining industry owes $ 200 million to Zesa



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BY Correspondent North of Matabeleland


Actors in the mining industry would have to Zesa, the state's electricity supplier, more than 200 million dollars of unpaid electricity bills, making it difficult for the utility parastatal to provide effective services.

Confronted with constant power outages, the country supplements its supplies with imports from the region and the electricity company Zesa owes to its regional suppliers, in particular to Eskom (South Africa) and Mozambique (Hydro Cahora Bbada), a total of $ 83 million for electricity imports.

Zesa is struggling to cope with her debts, threatening to be cut off. Minister of Energy, Fortune Chasi, has appealed to mining industry players to settle their debts and do it in foreign currency.

He was speaking before the official opening of the annual Indaba Mines in Victoria Falls by President Emmerson Mnangagwa.

"This mining industry owes $ 200 million to the utility and we are calling on this industry to settle its debts or establish payment schedules," said Chasi.

The energy minister said the government had decided to constantly monitor the good governance of the industry in the sector.

Chasi said electricity shortages were not unique to Zimbabwe but affected the entire region.

Electricity generation in Kariba has fallen to critical levels due to low water levels and Chasi suggested that Zimbabwe is already preparing for next year.

"Our strategies are therefore based on the hydrological activity of the Zambezi. Hwange and other small thermal power plants are also affected by obsolete equipment, which, coupled with currency issues, is affecting the availability of energy, "said Chasi.

He added that the government is considering involving the mining sector in order to define a path forward to streamline electricity supply in key sectors of the economy.

The minister encouraged private companies to invest in solar energy to reduce electricity supply.

In the deliberations of the conference, mining representatives complained of intensive power cuts, which they said affected production.

A fully functional mine requires more than 10 hours of non-stop power supply per day, but some remain for about four days without electricity, said outgoing President of the Zimbabwe Chamber of Mines, Batirai Manhando.

The mining industry consumes most of the country's electricity.

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