ZESCO Proposes Killer Tariff Increases

vm3ZESCO’s notice proposing to increase tariffs for all categories of customers is not only in a ridiculous step increases but also an unthoughtful manner. The proposed tariff increases have a minimum increase of 72% for Industrial Customers and over 100% to 200% in some for commercial and domestic customers. This mode of increase is silly and simply ludicrous.

The careless utilization of resources at ZESCO, which the MD for ZESCO, Mundende, has embarked on should not be a basis for increasing tariffs. Mundende and his directors like Webby Musonda have in less than 6 years accumulated so much wealth they cannot account for. Mundende has built a hotel in Shimabala area, bought several farms in the same area, even bribed ECL by purchasing some farm lands as well, Mundende has further even built a church in Kafue using some Chinese contractors from illicit money.

The current incompetence at ZESCO is imminent and there has never been a worst performing management ever in existence of ZESCO.  Victor Mundende has remained in office longer than most knowledgeable Cyprian Chitundu because he has taken a route of corrupting ministers and permanent secretaries and weak people succumbing to his tricks. Meanwhile ZESCO is crumbling.

ZESCO is an Electrical Energy Utility. Mundende is just an average vm6Mechanical Engineer with a base degree and no other extra papers to write home about. ZESCO has been run down by an incompetent MD with little experience in the power utility. Mundende spent his first 21 years of hos Mechanical Engineering career teaching (craft level operators and below) at Kafue Gorge Regional Training Centre (KGRTC) and tried to do some basic generation planning for barely a year and a half. Now he runs one of the most sensitive and key utility for development in Zambia. The PF government is not doing Zambia a favour. PF is destroying ZESCO. Even average Rodney Paul Sisala, now looks as though he was a star as MD for ZESCO.

The electricity tariff proposals are a mere fiancé root for incompetence. Tariffs must only be adjusted after eradicating waste and streamlining the operations of ZESCO. In its current form, increasing tariffs is just ground to further lower productivity in the nation as there shall be no corresponding change in enhancing the operations of ZESCO to meet the bearest minimum standards. The current appetite to loot waste and steal is too high to be supported in tariff increases. This shall surely drill a nail into the coffin being prepared for the PF government.

Killer Tariffs by ZESCO under Perfect Fools:

  • ZESCO PROPOSED TARIFF INCREASES
    CUSTOMER CATEGORY Current Proposed Increase
    1 – METERED RESIDENTIAL TARIFFS
    R1-Consumption up to 100kWh Energy Charge/kWh 0.15 0.47 213% increase
    R2-Consumption above 100kWh to 300kWh Energy Charge/kWh 0.89
    R3-Consumption above 300kWh Energy Charge/kWh 0.89 1.94 118% increase
    Fixed Monthly Charge 18.23
    2 – COMMERCIAL TARIFFS
    C1-Consumption up to 200kWh Energy Charge/kWh 0.54 1.07  98% increase
    C2-Consumption above 200kWh Energy Charge/kWh 0.54 1.84 241% incraese
    3 – SOCIAL TARIFFS
    Schools, Hospitals, Orphanages, 0.49 1.19                       143% increase
    Churches, Water pumping, Street Lights 83.84 203.73 143%  increase
    4 – MAXIMUM DEMAND TARIFFS
    MD1-Capacity from 16kVA to 300kVA
    MD Charge/kVA 24.45 42.79                                                 75% increase
    Energy ChargekWh 0.35 0.61                                              74%  increase
    Fixed Monthly Charge 239.44 419.02                                 75%  increase
    Off Peak MD Charge/kVA 12.23 21.39                                 75%  increase
    Off Peak Energy
    Charge/kWh 0.26 0.46                                                             77% increase
    Peak MD ChargeKVA 30.56 53.48                                          75% increase
    Peak Energy Charge/kWh 0.44 0.77                                      75% increase
    MD2-Consumption from 301kVA up to 2000kVA
    MD Charge/kVA 45.73 80.03                                                 75% increase
    Energy ChargekWh 0.3 0.53                                                 77% increase
    Fixed Monthly Charge 478.84 837.97                                 75% increase
    Off Peak MD Charge/kVA 22.87 40.01                                 75% increase
    Off Peak Energy
    Charge/kWh 0.23 0.39 70% increase
    Peak MD ChargeKVA 57.16 100.03 75% increase
    Peak Energy Charge/kWh 0.38 0.66 74% increase
    MD3-Consumption from 2001kVA to 7500kVA
    MD Charge/kVA 73.06 126.39 73% increase
    Energy ChargekWh 0.25 0.43                                                 72% increase
    Fixed Monthly Charge 1014.55 1755.17                                73% increase
    Off Peak MD Charge/kVA 36.53 63.2                                      73% increase
    Off Peak Energy
    Charge/kWh 0.19 0.32                                                               68% increase
    Peak MD ChargeKVA 91.33 157.99                                          73% increase
    Peak Energy Charge/kWh 0.31 0.54                                        74% increase
    MD4-Consumption from 7500kVA to 10,000 kVA
    MD Charge/kVA 73.47 127.1                                                    73% increase
    Energy ChargekWh 0.21 0.36                                                  71% increase
    Fixed Monthly Charge 2029.13 3510.39                                73% increase
    Off Peak MD Charge/kVA 36.74 63.55                                    73% increase
    Off Peak Energy
    Charge/kWh 0.16 0.27                                                                 69% increase
    Peak MD ChargeKVA 91.84 158.88                                          73% increase
    Peak Energy Charge/kWh 0.26 0.45                                         73% increase

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http://www.zambianwatchdog.com

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