The PF, through Zesco has notified the Energy Regulation Board that it will increase electricity charges for both domestic and commercial consumers by 75 per cent.
According to the ‘proposal’ Zesco gave the Energy Regulation Board, the PF through Zesco intends to increase the cost of electricity twice this year – in May and September.
Readers will recall that last week Zambia failed to access money from the International Monetary Fund because It did not explain how it will repay Euro bond debts without resorting to further borrowing. Here is how: increasing cost of power. The PF also failed to show the IMF that it has removed fuel and power subsidies. The IMF told the PF that it will have to show evidence of such things next month for it to get the credit. You will see how many desperate measures the PF will take this month alone to please the PF.
For metered residential tariffs, the PF through Zesco, has plane an increase from 0.51 K/kwh to 0.77 K/kwh in May and 0.89 K/kwh in September whilst the fixed monthly charge proposals are from 18.23 K/month to 27.35 K/month in May and 31.90 K/month in September.
This is the regime that claims to be pro-poor.
And for commercial tariffs, Zesco has proposed an increase from 0.31 K/kwh to 0.47 K/kwh in May and 0.54 K/kwh in September whilst the fixed monthly charge proposals are from 55.09 K/month to 82.64 K/month in May and 96.41 K/month in September.
Meanwhile, for social service tariffs; which affect schools, hospitals, orphanages and churches, Zesco is proposing an increase from 0.28 K/kwh to 0.42 K/kwh in May and 0.49 K/kwh in September whilst the fixed service charge proposals are from 47.91 K/month to 71.87 K/month in May and 83.84 K/month in September.
And for maximum demand tariffs; for consumers who require a capacity between 16-300kVA, Zesco is proposing an increase from 0.2 K/kwh to 0.30 K/kwh in May and 0.35 K/kwh in September with proposals for fixed monthly charges being from 136.82 K/month to 205.23 K/month in May and 239.44 K/kwh in September.