Increase in Electricity imports initiatives

The power utility is trying to improve the power supply situation, hence, discussions were underway with ESKOM to increase the firm supply from 100mw to 250mw. Similar discussions are on-going with EDM and HCB of Mozambique to increase supplies.

There were negotiations with Afrexim Bank aimed at helping ZESA to liquidate the debt with ESKOM and alleviate the current pressure for payments. The negotiations for more electricity largely hang on settlement of the arrears.

Part of the challenge that led to excessive load sheading was failure by Zimbabwe to honour its obligations for imports. This led to the accumulation of arrears resulting in foreign power suppliers cutting off supply.  ZESA, with the assistance of Government, has been settling debts consistently through weekly payments. It is reported that US$890 000 per week was being paid to ESKOM towards settling US$30 million in arrears.

ZESA also owed $18 million to HCB and have been settling these through US$500 000 weekly payments. The debt with EDM have since been liquidated. It is reported that Government has been settling the arrears, while ZESA has been settling payments for current supplies.