Zambia already owes Eskom 89 million Rands

Zambia already owes Eskom 89 million Rands

South Africa’s Public Enterprises Minister Pravin Gordhan has revealed that Zesco owes that country’s electricity company Eskom 89 million Rands.

In reply to a Democratic Alliance (DA) Parliamentary question, Gordhan explained that Eskom was owed R632 million in outstanding payments by three foreign state-owned power utilities.

“Zesco Zambia (owes) Eskom R89 million due to power supplied during the previous drought period. The country has economic challenges, which have led to it being unable to honour its debt obligations. Eskom owes Zesco for energy imbalance, which arises out of managing the regional system. Eskom and Zesco are currently concluding a payment plan agreement for the settlement of the debt,” Gordhan stated.

Yesterday, Friday November 8, 2019, President Edgar Lungu said government would the following week pay US$14 million for the importation of electricity from ESKOM in South Africa with the remaining to be paid soon.

He said that this was from the initial requirement to pay US$44 million of which US$10 million had already been paid.

Lungu said the electricity that would be bought with $ 44 million government is struggling to raise will only cover Zambia for two months.

Share this post

COMMENTS

WORDPRESS: 3
  • comment-avatar
    Ramesh Desai 4 days ago

    “Right actions in the future are the best apologies for bad actions in the past”

  • comment-avatar
    Nyambe the Hero 5 days ago

    This is just further confirmation that ZESCO is technically insolvent.  We don’t even need to look at its financial statements.

    The next government will inherit so many problems. I hope they are preparing for all this.

  • comment-avatar

    How can you attract investment if the power utility that you sre going to dign Power Purchase Agreement cant pay? They cant pay Maamba, have failed to pay Eskom for five years. What a mess!!