ZESA
Continuing power shortages cripple Zimbabwe economy
Continuing power shortages cripple Zimbabwe economy
http://www.coastweek.com/3518_26.htm
SPECIAL REPORT BY XINHUA CORRESPONDENT
TICHAONA CHIFAMBA
HARARE (Xinhua) -- Power outages have been on the increase of late and
continue to cripple Zimbabwe ’s economy as the country’s debt-laden power
utility fails to adequately supply electricity to industry, commerce and
agriculture.
With the winter season fast approaching with its usual higher demand for
power than the other seasons, ZESA Holdings’ position is far from being
enviable.
Apart from heating requirements by consumers to beat the cold, hundreds of
farmers also need electricity to irrigate winter wheat and keep other
operations on their farms running.
Agriculture, Mechanization and Irrigation Development Minister Joseph Made
last week bemoaned the power shortages which he said would seriously affect
the revival of the agricultural sector and downstream industries.
“Can you imagine a seed company using generators to dry seed and still
expect to remain in business or sell the product at profitable prices?”
Made told The Herald that he was disappointed to note that some seed houses
were actually using generators to dry the seed because of the power cuts.
ZESA now risks the danger of being accused of derailing the winter wheat
season, even in cases where farmers fail to plant for other reasons.
Even though Made has expressed his disappointment over the power cuts,
Finance Minister Tendai Biti has already said that the power deficit would
persist for the foreseeable future - notwithstanding the on-going
rehabilitation program at power stations.
While billions of U.S. dollars are required to fully refurbish and upgrade
current power stations, the government only availed 40 million dollars for
energy programs in 2011, with an average generation of 1,105 megawatts (MW)
realized against an envisaged capacity of 1,600.
An increased output of 1,244 is now envisaged for 2012, compared to demand
of 2,200 MW required to fire all the sectors of the economy.
Under the 2012 budget, Biti allocated nearly 55 million dollars towards the
rehabilitation of Hwange and Kariba power stations and the transmission and
distribution network.
An injection of 1 billion dollars for the construction of new generation
plants at Hwange Thermal Power Station and another 400 million dollars to
expand Kariba South (Hydro) will create an additional 900 MW and satisfy the
country’s short term needs, but the government does not have such a huge
amount.
Limited finances have also hampered the utility’s ability to import from
neighboring utilities such as Mozambique ’s Hydroelectrica de Cahora Bassa,
to which it is battling to clear an 80 million dollars debt.
At midday, the utility was producing a total of 1,087 MW with Hwange Thermal
Power Station, which has a potential of 920 MW, producing 392 MW while
Kariba hydro was producing 615 MW from a potential of about 740 MW.
The load shedding status was at the highest level of severe. The utility has
five statuses—minimal, light, moderate, heavy and severe.
Zimbabwe recently signed a memorandum of understanding with Zambia to
jointly construct the 4-billion-dollar 1,650 MW at Batoka Hydro-power
project on the Zambezi River .
However, work on the project will only begin after Zimbabwe pays, or makes a
strong commitment to pay off more than 70 million dollars it owes Zambia
from the sale of the Central African Power Corporation assets which had been
jointly owned by the two countries. The debt is supposed to be paid off in
three years.
Generally, Zimbabwe has been engaged primarily in rehabilitating
infrastructure as opposed to construction of new power stations.
More efficient use of power through the replacement of incandescent bulbs
with energy savers, installation of pre-paid meters, among others, will also
result in a saving of 300 MW which can be channeled to the productive
sector.
The government has already removed duty on the importation of energy saving
bulbs to promote their usage.
Why we’re stuck in the dark
Why we’re stuck in the dark
http://www.kubatanablogs.net/kubatana/?p=8505
Don’t know about you but 16 hour long power cuts are starting to get me
down. This update from the Zimbabwe Power Company helps to explain the
current spate of bad power:
It is with regret that I advise of the fact that we (Zimbabwe Power
Company) lost the four producing units at Hwange Power Station yesterday
afternoon (Wednesday 25th April). One unit was brought back onto the grid
last night and we hope to bring a second, larger unit, back around 4am
tomorrow (Friday 26th April). Repair on the third unit is scheduled for
completion such that it will be ‘returned to service’ on Saturday morning.
Two phase one (smaller) units are having their rotors re-wired in South
Africa – this is major work.
Kariba has five units on line with the sixth due back on the grid in
mid-May after routine, but critical, maintenance ahead of winter.
The Hwange and Kariba expansion plans remain on program at this time.
The tenders are out and close in June. this will be followed by 2 three
month periods for tender review and finalisation of funding/award.
Thereafter construction will take between three to four years (2016-17).
R. Maasdorp
Chairman ZPC
This entry was posted on April 27th, 2012 at 12:41 pm by Amanda Atwood
‘Huge Fault’ at Hwange Plant leaves Harare without power
‘Huge Fault’ at Hwange Plant leaves Harare without power
http://www.swradioafrica.com/
By Tererai Karimakwenda
27 April 2012
A technical fault is said to be the cause of a power cut that left Harare
without power since very early Thursday morning. The state-owned Zimbabwe
Electricity Supply Authority (ZESA) blamed a “huge fault” at the Hwange
thermal power plant for the problem, which forced many businesses to stop
operations and others to shut down.
ZESA is functioning with old equipment that has not been well maintained or
properly serviced since independence in 1980. Mismanagement and corruption,
which have destroyed other parastatals, are also contributing to the utility
company’s ongoing crisis. Many areas of the country go without power
regularly and power cuts have become a way of life.
ZESA is also owed millions of dollars by top government officials who have
received power for years without making payments. SW Radio Africa reported
earlier this month that the national power utility is under increasing
pressure to switch off these officials, with the first family being among
the worst offenders.
The Mugabe family reportedly owe ZESA more than US$300,000 as of December
2011. Despite this, ZESA has been cutting off power for the ordinary
citizens who are struggling to pay much less. Energy and Power Development
Minister Elton Mangoma has said ZESA is owed more than $140 million by
consumers.
Human rights activist Tariro Manhendere told SW Radio Africa that although
some parts of the capital got power back Friday afternoon, many others, like
Kuwadzana and Dzivarasekwa, still had none. She said these areas experience
power cuts more frequently and for longer periods than the Central Business
District.
Asked how bad this week has been in terms of power cuts, Manhendere said:
“It’s quite this frustrating. You can’t plan anything, especially those that
are in home industries who have no choice.”
The frustrated activist said vendors who sell products that need
refrigeration, like meat, lose money when their products go bad but out of
desperation sometimes still try to sell them.
More repairs to the aging equipment at Hwange Power Station were expected
over the weekend and reports quoted ZESA spokesman Fullard Gwasira as
saying: “Technicians and engineers are working flat out to fix the problem.
Zimbabwe's Power Outages to Worsen as Gov't Negotiates With Mozambique
Zimbabwe's Power Outages to Worsen as Gov't Negotiates With Mozambique
http://www.voanews.com
02 April 2012
ZESA is owed more that $550 million by customers and Mangoma said
disconnections of defaulters over the next few days will help raise the
money needed to reduce the debt with Mozambique
Jonga Kandemiiri | Washington
Zimbabwe's Energy Minister Elton Mangoma says the country's power utility,
ZESA, needs to raise $40 million by the end of the month to reduce its $80
million debt with Mozambique’s Hydro Cahora Bassa, which last month reduced
power supplies to Harare citing non-payment.
Mangoma said intensified disconnections of defaulters would help raise the
money. He said the country's power supply situation could worsen over the
Easter break if ZESA fails to raise the funds by Friday.
The minister, who held meetings in Maputo last week with his Mozambican
counterpart and the country's energy officials, told the VOA that Cahora
Bassa wants Harare to pay at least $40 million dollars before it can up
power supplies to Harare.
“They agreed to increase power supply once we have made our payment," said
Mangoma. "They expecting us to bring our debt to below $40 million and they
said that is when the power supply would be increased for us.”
“For us to have reduced load-shedding during the holidays, it all depends on
whether we are able to mobilize the required resources by Friday," said the
minister.
ZESA is owed more that $550 million by customers. Mangoma said
disconnections of defaulters over the next few days will help raise the
money needed to reduce the debt with Mozambique.
“What this means is more power disconnections for everyone,” he said.
“Although I cannot disclose the amount we have at the moment, we are also
going to apply multiple methods to raise the money and Government also has
to look for other alternatives like loans or where to borrow,” the minister
said.
Load-shedding could worsen: Mangoma
Load-shedding could worsen: Mangoma
http://www.newzimbabwe.com/
01/04/2012 00:00:00
by Staff Reporter
POWER supply problems could worsen across the country over Easter unless the
US$76 million debt owed to suppliers in Mozambique is significantly reduced,
a cabinet minister has warned.
Energy Minister, Elton Mangoma said Zimbabwe needs to reduce its debt to
under US$40 million by Friday to ensure the current power supply problems do
not get worse.
“They (Mozambique) agreed to increase power supply once we have made our
payment. They expecting us to bring our debt to below US$40 million and they
said that is when the power supply would be increased for us,” Mangoma told
the state-owned Herald newspaper.
“For us to have reduced load-shedding during the holidays, it all depends on
whether we are able to mobilise the required resources by Friday.
“If that is not the case, it means the situation would remain the same and
we will continue with the power outages until we set off what we owe.”
Mangoma said ZESA – which is owed more that US$550 million by customers --
would step-up disconnections of defaulters over the next few days to help
raise the money needed to reduce the debt with Mozambique.
“What this means is more power disconnections for everyone,” he said.
“Although I cannot disclose the amount we have at the moment, we are also
going to apply multiple methods to raise the money and Government also has
to look for other alternatives like loans or where to borrow.”
Zimbabwe generates 1,300MW of electricity which was way short of the daily
national requirement of about 2,200 megawatts.
The country has plugged the gap with imports from regional suppliers but
many have cut back supplies due to payment problems.
The shortages have forced ZESA to ration supplies to both commercial and
domestic users with some areas going for more than 10 hours per day without
power.
Zimbabwe shortlists bids for enlarging power plants
Zimbabwe shortlists bids for enlarging power plants
http://af.reuters.com
Tue Mar 27, 2012 5:05pm GMT
JOHANNESBURG (Reuters) - Zimbabwe has short-listed eleven bidders for the
expansion of its Hwange and Kariba South power plants, with a winner
expected to be announced in the third quarter of this year, its energy
minister said on Tuesday.
It has been battling power shortages due to growing demand and ageing
plants, limiting supplies to industry and the key mining sector. Zimbabwe
produces around 1,000 MW of electricity, compared with peak demand of 2,200
MW.
The extension of the Hwange thermal power station will add 600 megawatts
(MW) to the Zimbabwean national grid, while the extension of the Kariba
South hydro plant will add 300 MW.
Elton Mangoma said companies from China, India, South Korea, Italy and
Brazil were among the shortlisted and the firms have until the first week in
June to submit a detailed proposal.
"I'm hoping that it will not take more than three months to adjudicate and
thereafter award the tender. We are hoping that in the fourth quarter we can
move on the projects," he told Reuters on the sidelines of an African power
conference in Johannesburg.
Mangoma said additional units at the two plants will be operated in a
public-partnership between the Zimbabwe government and whoever is chosen to
build the plants.
The minister said Zimbabwe still owed around $85 million in unpaid power
imports, mainly to neighbouring Mozambique.
Mangoma said he was meeting Mozambican officials on Thursday to address the
issue, especially after Mozambique halved its exports to Zimbabwe to 50 MW
due to the unpaid bills.
The minister said that together with neighbouring Zambia his country had in
February decided to revive the Batoka Gorge hydroelectric power project,
estimated to cost $2.5 billion, and expected to supply a total of 1,600 MW
to the two countries.
The two neighbours will look for an independent power producer to construct
the plant on a build-operate-transfer basis.
The 1,600 MW, which could later be upscaled to 2,000 MW, would be evenly
split between the two countries, he said.
Mangoma said the project was in the preliminary stages and it would be too
early to comment on time lines.
In the meantime, the minister hoped to convince utilities in the region to
boost trade of electricity during off-peak times to alleviate the most
pressing shortages.
Zesa scam divides government
Zesa scam divides government
http://www.dailynews.co.zw
By Xolisani Ncube, Staff Writer
Monday, 26 March 2012 11:59
HARARE - Sharp divisions have emerged in government over huge Zesa Holdings
debts owed by President Robert Mugabe and his allies in Zanu PF which they
now say have been used by the MDC to prop its electoral chances in future
polls.
A seething Mugabe and his colleagues in Zanu PF last week reportedly
targeted Energy minister Elton Mangoma for “breaching confidentiality”
clauses by “leaking” to the Daily News their ballooning Zesa bills which run
into millions of dollars.
This followed a stinging expose by the Daily News which named Mugabe and
his officials among the top defaulters at a time when the majority of the
poor Zimbabweans were living in darkness following massive disconnections by
Zesa for not paying their bills.
Mugabe and several Zanu PF ministers last Tuesday reportedly confronted
Mangoma over the Zesa bills demanding answers why their debts were published
in the Daily News.
Mangoma however said he was unaware how the bills reached the Daily News. He
told an investment conference in Harare last week that he respected client
confidentiality.
The Daily News was told yesterday that Mangoma now feels unsafe after the
fierce confrontation while senior employees at Zesa are said to be also
living in fear over the published list of VIP defaulters.
The Zanu PF side of government’s anger was reflected on Saturday in the
state media when a top government official writing under the pen name
Nathaniel Manheru claimed that the Zesa scandal was carefully designed by
the MDC to create havoc in Zanu PF.
In a column headlined, Inventing a matching scandal, Manheru partly wrote:
“Out of desperation, MDC-T today pushes its ministers, some of them
previously arraigned before the courts for questionable conduct, pushes them
hard to invent matching scandals to incriminate other players so the ugly
spotlight is shared.
Its thrust is to democratise blame, so judgment is shared. It is a posture
of a party convinced about its own incorrigibility.
“Is it not incredible that a whole accountant is pushed to re-classify a
well documented debt into a screaming scandal? And does so the same weeks
his counterpart, Finance minister Biti, is publishing a debt settlement
strategy for Zimbabwe?"
“Or is he about to name and shame Zimbabwe for the scandal of defaulting on
its debts the same way Zesa clients have? Is owing in business a scandal
mister accountant? Which business does not carry obligations?"
“Clearly here is a man sidestepping professional knowledge to serve a cause,
in the process becoming quite stupid by standards of his profession. I
suppose next week we will read about Sable Chemicals,
itself the biggest single user of power it cannot always pay for in time."
“More dramatically, Mangoma will name and shame Zesa for the scandal of not
paying its Mozambican counterpart to the tune of well over US$40 million.
The whole thing does not make sense at all.”
Nathaniel Manheru is also believed to be one of Mugabe’s top aides.
But a senior MDC official yesterday dismissed the notion that the Zesa
scandal is being used for political mileage for their party.
“The issue here is simple. They must just simply pay their bills. They all
confirm that they owe Zesa lots of money so what is the problem. Since
independence, they were grabbing things for free and now the ball game has
changed and they are crying,” he said.
The scandal also revealed multiple ownership of farms as most bills emanate
from the grabbed properties.
The conspiracy to bleed state power firm Zesa by not paying bills running
into millions ran through the President’s Office and state institutions to
ministers, the military, MPs and Zanu PF district offices.
A few of Prime Minister Morgan Tsvangirai and Welshman Ncube’s people were
also in the mix with smaller amounts. But the impunity was shocking.
Top ministers — some who claim to hold vast riches — and just about everyone
and state institutions connected to the system amassed huge bills at a time
when Zesa was enforcing a punishing load shedding schedule on the majority
poor due to cash flow problems.
The First Family through their many farms owed Zesa nearly $345 000 as at
December 31, 2011.
Manicaland governor Chris Mushowe led the pack with an astounding bill of
$367 606, 07.
Didymus Mutasa, the minister of State in Mugabe’s office owed State
parastatals a massive $179 590, 31, Saviour Kasukuwere, who as
Indigenisation and Economic Empowerment minister is leading Mugabe’s
campaign to “spread wealth to the people”, raked up $100 602,22 in unpaid
Zesa bills as at December 31, 2011.
Sydney Sekeramayi, Marondera-Wedza Zanu PF Senator, who is also State
Security minister and a long time Mugabe loyalist, owed $108 296.
The Daily News yesterday could not get in touch with Mugabe’s spokesperson
George Charamba or Agriculture minister Joseph Made, who acts as the
President’s farm manager to check if the First Family had managed to settle
their bills.
However, sources at Zesa said a number of VIPs named in the scandal were
last week making inquiries on their bills with some making payment plans to
clear their debts.
Zesa on the other hand owes Hydro Cahora Bassa (HCB) $80 million accrued
from imported power from the Mozambique power company and this has resulted
in HCB reducing its supply to Zimbabwe demanding payment.
Mangoma told the Daily News yesterday that he will be travelling to
Mozambique this week to try and negotiate for an increase of power exported
to Zimbabwe by HCB.
“I will be travelling to Mozambique this Thursday to negotiate with
authorities from that country so that we can have an increase in supply,”
said Mangoma.
Energy Minister Promises Improvement Soon in Delivery
Energy Minister Promises Improvement Soon in Delivery
http://www.voanews.com
23 March 2012
Energy Minister Elton Mangoma said power utility, ZESA, will soon ease load
shedding after successfully upgrading generation capacity at Hwange and
Kariba power stations.
Violet Gonda | Washington
Energy Minister Elton Mangoma said load shedding will ease across the
country in the next few days after the Zimbabwe Electricity Supply Authority
upgraded generation capacity at Hwange and Kariba power stations.
The minister, who was speaking Thursdays at an investment conference in
Harare, also said plans are underway to disconnect defaulters who owe the
power utility a total of $550 million in unpaid bills, money that can help
ZESA settle huge debts owed to neighbouring countries for electricity
supply.
Meanwhile, legislators traded insults in parliament Thursday following
recommendations by Heya Shoko from the Tsvangirai-led MDC that defaulting
lawmakers be barred from parliament.
There was an uproar when the Bikita West lawmaker went on to name and shame
the major defaulters who he described as “ZANU PF MPS land grabbers”, such
as Chivi Central MP Munyaradzi Paul Mangwana and Manicaland provincial
governor Christopher Mushohwe who allegedly owe ZESA $74 000 and $367 000
respectively.
Director Precious Shumba of the Harare Residents Trust said poor management
of public resources across the political divide, and a culture of impunity
is contributing to the weakening of state institutions.
“It also exposes the failure of the debt collection system in ZESA Holding.”
Shumba asked: “How could they allow such a situation to prevail where a
consumer who is using electricity for free goes unchecked for such a long
time, and wait for this outcry?”
Shumba said state establishments have to be strengthened as many officials
fear victimization and abuse of power by senior civil servants, “but we have
very weak institutions where people are only safeguarded because of who they
know or which political party they belong to. That is the tragedy.”
Outrage over hefty allowances for ZESA executives
Outrage over hefty allowances for ZESA executives
http://www.swradioafrica.com
By Tichaona Sibanda
26 March 2012
The director of the Harare Residents Trust (HRT) has condemned the recent
hefty allowances awarded to ZESA executives, saying the pay deal is an
insult to the hard-pressed consumers who have to deal with daily power cuts.
The top hierarchy at the utility power company has increased their
allowances by up to 75 percent, backdated to 2009, according to the
Financial Gazette.
However the weekly paper said allowances for non-managerial staff have been
slashed by 35 percent. Precious Shumba the director of HRT told SW Radio
Africa on Monday that this is the reason why his organization has repeatedly
criticized ZESA holdings for poor management and incompetence.
‘Our criticism has been without malice. It has been informed by the
situation on the ground. ZESA has been able to mobilize resources to
rehabilitate the electricity distribution network. They also had the
capacity to reform the billing system, but the challenge they face is what
to prioritize with the money they have,’ Shumba said.
He added: ‘They are now more focused on personal interests rather than
institutional interests. The economic revival of Zimbabwe is based on ZESA’s
ability to generate enough power to meet the demand of various stakeholders,
including industries.’
The country produces about 1320 megawatts of electricity and requires 2100
megawatts. The balance is imported from Mozambique, Zambia and the DRC.
Until March last year South Africa’s Eskom supplied 400 megawatts.
ZESA’s development manager, Ikhupuleng Dube, revealed that the country will
continue to have serious load shedding and power outages until 2014.
The power company is struggling to raise the US$125 million needed to repair
the outdated Hwange Power Station generators, with US$8 billion needed for
the country, to restore optimum power production levels.
There has been growing outrage in the country following the disclosure of
the names of top government officials who have defaulted on their power
bills. The Daily News has named and shamed several cabinet ministers and
Robert Mugabe and his wife.
The outstanding payments by several top government officials, is believed to
be over $500 million. Mugabe and his wife Grace owe ZESA over US$300,000 as
of December 2011.
Heads to roll at ZESA
Heads to roll at ZESA
http://www.financialgazette.co.zw
Friday, 23 March 2012 13:39
EXECUTIVES at ZESA Holdings have awarded themselves hefty increases in their
allowances of up to 75 percent, backdated to 2009, at a time the loss-making
power utility has intensified both its revenue collection and load shedding,
The Financial Gazette can exclusively reveal.
Ironically, allowances for non-managerial staff have been slashed by 35
percent to contain the ballooning overheads in spite of recommendations for
a 70 percent upward adjustment of the same by the National Employment
Council for the energy industry.
Pressure has now been brought to bear on the ZESA board and management by
unions and State bureaucrats to explain the inflationary adjustments that
are way out of step with the prevailing pricing trends.
Inflation, dubbed Zimbabwe’s Number One enemy, receded in January to 4,3
percent from 4,9 percent in December. The hefty salary increases are
therefore seen not only widening the disparities between salaries for
managerial and non-managerial staff but angering ZESA custo-mers who are
unhappy with the high electricity tariffs.
Business has been passing on the extra cost to the consumer in the form of
higher prices, worsening the inflation outlook. Impeccable sources at ZESA
said heads were likely to roll, starting at board level upon the expiry of
the office tenures of certain of its members.
Adding to the pressure is the suspicion within the corridors of power that
there could be a hidden political agenda behind an expose` naming and
shaming top government officials owing the power monopoly huge sums of
money.
The leaks came as a huge embarrassment to several government officials, who
are fuming over what they perceive to be a flagrant breach of client
confidentiality and the parastatal’s shambolic billing.
The anger has been directed at top ZESA officials who could pay dearly for
their perceived transgressions by losing their jobs.
ZANU-PF officials suspect that the matter was being handled in a partisan
manner given that the energy portfolio is presided over by a Movement for
Democratic Change appointee. They also fear that the shenanigans at the
power utility could spark public protests at a time the country is eyeing
fresh elections to bring closure to the shaky government of national unity.
It however, emerged this week that the leaks were masterminded by
non-managerial employees disgruntled by the reduction in their allowances
and the fact that their bosses had denied them salary increases.
The Zimbabwe Energy Workers’ Union (ZEEWU) this week said ZESA managers were
bleeding the parastatal, owed in excess of US$450 million by both domestic
and commercial consumers.
Representatives of ZEEWU, made up of ZESA affiliates — the Zimbabwe National
Water Authority (ZINWA), Green Fuel and the Rural Electrification Agency
(REA) — were yesterday locked in meetings with management at ZESA as it
emerged workers at the power company were increasingly getting agitated.
This week, ZEEWU told Parliament that government chefs’ failure to settle
electricity bills was a contributory factor to the poor salaries employees
were getting. It alleged that their respective companies — ZESA, ZINWA and
REA — were failing to pay them due to the huge amounts the utilities are
owed.
“The bad debtors who are not paying their utility bills are the big gurus,
and we feel if they were to pay the outstanding amounts our companies would
be able to pay us,” union president, Angeline Chitambo told the
Parliamentary Portfolio Committee on Public Service and Labour.
Energy and Power Development Minister, Elton Mangoma, confirmed this week
that the terms of office for some board members would be coming to an end in
June, but refused to divulge whether or not he would renew their terms.
“Any changes would have nothing to do with mounting pressure regarding the
issue of debts but some board members’ terms of office are coming to an end
around June,” he said.
But Minister Mangoma, who yesterday denied he was under pressure to fire top
managers, said as far as he was concerned there were no new awards at ZESA
as alleged by non-managerial staff.
“I have not seen or approved any increase. Any increase on salaries or
benefits has to be approved by the minister,” he said.
Mangoma, however, revealed that an investigation was underway to fish-out
the source of the leak to the media regarding individual debtors.
“That issue is very unfortunate. Obviously we are looking into it. We are
investigating to find out who leaked the list to the media,” he said.
Fullard Gwasirai, the ZESA spokespeson, also denied there was a 75 increment
on the allowances of top executives, saying employees were misrepresenting
facts.
“There is nothing like that (that executives awarded themselves increments).
As for non-managerial staff, you know that people will always want more
money. Generally people are not always happy with their salaries,” said
Gwasirai.
Economist, Willia Bonyongwe said while citizens should pay for services
rendered by the power company, ZESA tariffs were above normal.
ZESA is one of the utilities that has had the most rapid tariff increases
after the country adopted multiple currencies in 2009.
Cumulatively, these tariff increases are close to 100 percent, justifying
calls for their review given the liquidity challenges on the market and the
low profit margins business is getting.
“As for agriculture, there are limited credit facilities on the market and
farmers have to wait for a long time to get paid. Agriculture has always had
a tariff of its own, which was abolished last year. That is when bills shot
up. When you look at margins in agriculture, you cannot produce food under
these tariffs”, said Bonyongwe.
“Under the Short Term Emergency Recovery Programme, there was a proposed
discount of 20 percent on commercial rates, which would benefit farmers and
this was not implemented because the fiscus has no capacity for that
subsidy. A proposal to forgo value added tax (on the electricity bill) and
the rural electrification levy was then proposed to enable government to
effect this subsidy but again that recommendation was not followed through.
It is important to support local agriculture because depending on imports
and donors is not sustainable,” she added.
Power outages intensified countrywide this week with most of the businesses
and government offices running on generators.
There is also anger that ZESA has mainly been switching off ordinary
citizens, sparring so-called sensitive or classified government bureaucrats
some of whom owe between US$150 000 and US$350 000.
Industry, which is currently struggling to rump-up production, has also
taken the power utility to court over what it believes are unjustified
tariff increases.
Last August, the Competition and Tariff Commission ordered ZESA to write off
all pre-2009 bills and justify some load-shedding programmes as well as to
bill their clients on actual meter readings.
The power utility has since appealed the order at the Administrative Court.
ZESA to ease load-shedding: Mangoma
ZESA to ease load-shedding: Mangoma
http://www.newzimbabwe.com
22/03/2012 00:00:00
by Phyllis Mbanje
POWER supplies are expected to increase across the country over the next few
days after ZESA completed upgrades to the Hwange and Kariba power stations,
Energy Minister, Elton Mangoma has said.
Zimbabweans have experienced increased power supply interruptions over the
past two weeks with some areas going for more than 19 hours without
electricity.
The poorer high density suburbs were the hardest-hit with some going for two
days without power.
However, speaking at an investment conference in Harare Thursday Mangoma
said the situation should improve after generation capacity at Hwange and
Kariba power stations was increased by 4 and 6 units respectively.
Mangoma also said the ministry would soon launch a major expansion project
at Hwange.
“Exciting things are happening there and by the first week of June proposals
for contracts will have been submitted and an evaluation will follow
thereafter,” he said.
Zimbabwe does not generate enough electricity to meet its needs and plugs
the gap with imports from neighbouring countries which are, however,
reducing supplies due to non-payment.
“What are getting from Mozambique is not good enough and we feel that some
people are going behind our backs trying to influence them not to deal with
us but we are neighbors,” Mangoma said.
“Our huge challenge then is servicing that debt and hence it is important
for consumers to own up and pay their bills. We are not backing down from
disconnecting defaulters after all there is $550million of unpaid bills.”
A privately-owned daily recently published a list of 41 senior government
officials including cabinet ministers who allegedly owe the power utility
hundreds of thousands of dollars.
Mangoma – who has previously conceded that senior government officials were
among ZESA’s major defaulters -- described the “leak” as regrettable but
said more needed to be done to encourage people to pay their bills.
“Zimbabweans have just developed a culture of not wanting to pay. It’s like
they are saying I can get away with not paying,” he said.
“If you are not paying and do not have a payment plan then you are not a
serious economic player.”
Mugabe attacks Mangoma over leak of ZESA bills
Mugabe attacks Mangoma over leak of ZESA bills
http://www.swradioafrica.com
By Lance Guma
23 March 2012
Robert Mugabe and his ZANU PF ministers on Tuesday used a cabinet meeting to
launch an attack on Energy Minister Elton Mangoma, blaming him for leaking
details of their huge unpaid electricity bills.
Last week the Daily News exposed how Mugabe and his wife Grace owe power
utility ZESA over US$345,000 in unpaid electricity bills, incurred at their
multiple farms. Also exposed, with more than US$300,000 in outstanding
bills, were Manicaland Governor Chris Mushowe and CIO boss Happyton
Bonyongwe.
A report in the Zimbabwe Independent says Youth and Empowerment Minister
Saviour Kasukuwere, who owes ZESA US$100,602, used ‘strong language’ in
accusing Mangoma of leaking the ‘confidential information’ about the bills
“to embarrass Mugabe and ZANU PF ministers, while scoring political points.
Mangoma recently announced the launch of a crackdown on so-called ‘VIP
defaulters’ but denied leaking the bills to the press.
It’s reported Mangoma was outnumbered during the meeting as Prime Minister
Morgan Tsvangirai, his deputies Thokozani Khupe and Arthur Mutambara, were
not present.
A detailed breakdown of how much Mugabe and his wife Grace owe ZESA was
provided by the paper.
“Four plots at Foyle Farm plus a cottage as well as Gushungo Dairy stood at
US$143 667 while Gwebi Woodlot 1st Farm owed US$24 901. Sigaro Farm 1st PO,
2nd PO, 3rd PO and 4th PO owed a total of US$78 218.”
“The First Lady Grace Mugabe’s Iron Mask Cottage, Iron Mask 2nd POIN, Iron
Mask 3rd POIN, Mazowe Wholesalers, Annant Cottage, Iron Mask Farm 5th, 6th,
7th and 8th owed a total of US$98 306 as at December 31 2011.”
Also owing the state owned power utility is Defence Minister Emmerson
Mnangagwa (US$240,824), Transport and Communications Minister Nicholas Goche
(US$158,245) “for his plots at Ceres Farm and businesses, which include
grinding mills, a farm store and a service station.”
Presidential Affairs Minister Didymus Mutasa owes US$179,590, Air force
chief Perence Shiri US$26,947 for his Hopdale Farm, while police boss
Augustine Chihuri’s owes US$106,778 for his homestead and his Inyika farm.
Speaking to SW Radio Africa political commentator Phillip Pasirayi said the
attitude of the senior government and military chiefs to the leaking of the
bills showed how they are completely unused to any form of accountability.
Instead of owning up or paying the bills they were “taking everyone for
granted” and acting like Zimbabweans owe them something.
Also in the news for a similar reason was central bank Governor Gideon Gono,
who owes the state owned NetOne mobile network US$800,000 in unpaid phone
bills stretching over two years. According to the South African Sunday Times
newspaper, NetOne has now dragged Gono to court demanding payment.
Mugabe fumes over Zesa bill
Mugabe fumes over Zesa bill
http://www.thestandard.co.zw/
Friday, 23 March 2012 10:07
Owen Gagare
ENERGY and Power Development minister Elton Mangoma (pictured) came under
fire from President Robert Mugabe and Zanu PF cabinet ministers at a
high-level meeting on Tuesday in which leaked Zimbabwe Electricity Supply
Authority (Zesa) bills, including disclosures that the First Family owed the
power utility more than US$345 000 in unpaid power bills, featured
prominently.
Several ministers, senior civil servants as well as service chiefs were
named among people who have not been paying their electricity bills
resulting in Zesa failing to settle its debts and ensure adequate power
supplies. This has caused severe load-shedding, particularly in the
high-density areas.
While defaulting VIPs were not switched off, poor people, whose bills are
comparatively small, always live in darkness or without electricity for
domestic use.
Official sources say the Zesa bills issue came up for discussion at the
charged meeting, chaired by Mugabe, after Indigenisation minister Saviour
Kasukuwere accused Mangoma of leaking the “confidential information” about
the bills to embarrass Mugabe and Zanu PF ministers, while scoring political
points. Mangoma angrily denied the allegations.
Sources said after Kasukuwere’s outburst, Industry and Commerce minister
Welshman Ncube chipped in to rescue Mangoma who was under siege, saying the
Indigenisation minister’s language was improper, although the issue he
raised was legitimate. Ncube, sources said, indicated it was unprofessional
for bills to be leaked because they were meant to be a private issue between
Zesa and its clients.
A number of ministers felt the relationship between a client and Zesa should
be similar to that of a client/lawyer, client/banker or patient/doctor
relationship where confidentiality was paramount.
After Mangoma was attacked by Kasukuwere who accused him of leaking the Zesa
bills and Ncube had protested the strong language, Mugabe joined the fray to
renew assaults on the MDC-T minister. Kasukuwere is also one of the VIPs not
paying their bills.
“The president (Mugabe) stepped in and said it did not matter who leaked the
information because the buck stopped with Mangoma since Zesa is under his
ministry,” said a source. “He charged and demanded that Mangoma must accept
responsibility.”
While holding his line insisting he was not personally responsible for
leaking of the information, an angry Mangoma was said to have accepted
responsibility and promised to issue a statement assuring the public of
confidentiality on their bills.
However, other Zanu PF ministers, who apparently wanted to defend and
impress Mugabe, refused to let Mangoma get away with it. They attacked him
around, fuelling a heated and long debate on the controversial unpaid bills.
Mines minister Obert Mpofu was said to have insisted Mangoma had leaked the
information given that he had promised to “name and shame” bigwigs who were
not paying their electricity bills. Mangoma had previously raised the issue
in cabinet and in parliament but he maintained on Tuesday that he was not
behind the leaks.
Mangoma told the Parliamentary Portfolio Committee on Mines and Energy last
month that some government ministers and senior civil servants had not paid
their power bills since adoption of the multi-currency system in 2009.
He has been on a crusade to urge defaulters to pay their electricity bills
to enable Zesa to settle a US$80 million debt owed to Hydro Cahora Bassa of
Mozambique.
Zesa is owed in excess of US$450 million by defaulting consumers. Mangoma
warned last month that his ministry had taken a position to switch off all
defaulters “without fear or favour”.
Mangoma was left exposed at the Tuesday meeting since his party boss and
Prime Minister Morgan Tsvangirai did not attend the meeting as he is out of
the country. Deputy Prime Ministers Arthur Mutambara and Thokozani Khupe,
who could have also rescued him, were also not at the meeting while MDC-T
secretary-general and Finance minister Tendai Biti did not intervene.
This gave the Zanu PF camp, led by Mugabe, a free rein to attack Mangoma.
Mangoma confirmed to the Independent yesterday the issue was discussed on
Tuesday. He said he accepted that it was wrong for people’s debts to be
leaked, saying he had clearly stated this position to Mugabe and his fellow
ministers.
“My belief is whatever is owed is private and should not be for public
consumption and therefore as the minister responsible I can only apologise
to those whose accounts were made public. I stated that position and it’s
the same position I’m stating now,” said Mangoma.
He however insisted he did not leak the bills and charged it was
“mischievous” for anyone to think he had done so.
The leaked Zesa bills allegedly showed that as at December 31 2011, Mugabe’s
family owed more than US$345 000 to the power utility.
The electricity bill for the first family’s four plots at Foyle Farm plus a
cottage as well as Gushungo Dairy stood at US$143 667 while Gwebi Woodlot
1st Farm owed US$24 901. Sigaro Farm 1st PO, 2nd PO, 3rd PO and 4th PO owed
a total of US$78 218.
The First Lady Grace Mugabe’s Iron Mask Cottage, Iron Mask 2nd POIN, Iron
Mask 3rd POIN, Mazowe Wholesalers, Annant Cottage, Iron Mask Farm 5th, 6th,
7th and 8th owed a total of US$98 306 as at December 31 2011.
Defence minister Emmerson Mnangagwa reportedly owed US$240 824 while the
Transport and Communications minister Nicholas Goche owed US$158 245 for his
plots at Ceres Farm and businesses, which include grinding mills, a farm
store and a service station.
Presidential Affairs minister Didymus Mutasa owed US$179 590 and Central
Intelligence Organisation Director-General Happyton Bonyongwe owed US$350
989 although he has made significant moves to clear his debt.
Air force chief Perence Shiri owed US$26 947 for his Hopdale Farm while
police boss Augustine Chihuri’s homestead and his Inyika Farm owed US$106
778.
Kasukuwere, who was breathing fire on Tuesday, owes Zesa US$100 602.
Defaulting Cabinet Ministers Negotiate to Settle Huge Electricity Bills
Defaulting Cabinet Ministers Negotiate to Settle Huge Electricity Bills
http://www.voanews.com
21 March 2012
ZESA spokesman, Fullard Gwasira told VOA's Blessing Zulu the power utility
is happy that government officials and other customers have started settling
their bills while some are still negotiating payment plans
Blessing Zulu | Washington
Senior Zimbabwean officials, among them President Robert Mugabe and many new
black commercial farmers, have opened talks with the country's power
utility, the Zimbabwe Electricity Supply Authority, to see how they can
settle their bills, going into hundreds of thousands of dollars.
Private media have since the weekend been publishing the names of defaulting
senior government officials following a decision by Mozambique's power
utility, Hydro Cahora Bassa to cut electricity exports to Zimbabwe.
Their exposure has, however, raised tensions in the rickety government of
national unity.
ZESA sources told the VOA that the majority of the ministers have been told
to pay 25% of what they owe and settle their bills within six months or risk
being switched off completely.
Most cabinet ministers say they want to sell their produce first before
settling their huge bills.
President Mugabe and vice president John Nkomo lead the list of defaulters.
Other senior government officials owing between $50,000 and $350,000 include
Defense Minister Emmerson Mnangagwa, Minister of State in the President’s
Office Didymus Mutasa, State Security Minister Sydney Sekeramayi,
Information Minister Webster Shamu, Indigenisation Minister Saviour
Kasukuwere and Higher Education Minister Stan Mudenge.
ZESA is struggling to offset a debt of $800 million dollars that includes a
$75 million owed to Hydro Cahora Bassa.
Energy Minister Elton Mangoma says he is headed to Mozambique next week for
negotiations with Hydro since it reduced exports to Zimbabwe from 200 to 50
megawatts only over non payment of its electricity bill.
The Mozambican power utility maintains. though, that it never switched off
Harare.
ZESA spokesman, Fullard Gwasira told VOA's Blessing Zulu the power utility
is happy that government officials and other customers have started settling
their bills while some are still negotiating payment plans.
Analyst Gladys Hlatyawayo says ZANU-PF ministers must pay up and not try to
politicize the issue.
Prime Minister Morgan Tsvangirai told lawmakers last week that he had
settled his $5,000 bill with ZESA, urging colleagues within both the MDC and
ZANU-PF to do the same.
Farmers Engage Zimbabwe Power Utility Over Huge Outstanding Bills
Farmers Engage Zimbabwe Power Utility Over Huge Outstanding Bills
http://www.voanews.com/
20 March 2012
The Zimbabwe Electricity Supply Authority management confirmed Tuesday that
members of the Zimbabwe Farmers Union and Zimbabwe Commercial Farmers Union
are seeking reprieve from the state entity claiming that they are not
generating a lot of income due to unreliable seasonal farming methods
Gibbs Dube | Washington
Some Zimbabweans, who forcibly took over farms from white commercial farmers
under the country's controversial land reforms, have started engaging the
state-owned power utility after failing to settle electricity bills, some as
high as US$300,000.
The Zimbabwe Electricity Supply Authority management confirmed Tuesday that
members of the Zimbabwe Farmers Union and Zimbabwe Commercial Farmers Union,
hard-pressed by lack of funds to pay the bills, are seeking reprieve from
the state entity, claiming that they are not generating a lot of income due
to unreliable seasonal farming methods.
The farmers are asking ZESA to either reduce the bills or stop disconnecting
power to their farms for failing to pay the required amounts.
Some of the non-paying farmers include President Robert Mugabe’s Gushungo
Estates which owes ZESA US$300.000. Most members of Mr. Mugabe's cabinet and
senior state officials also owe the power utility thousands of dollars.
ZESA in turn owes various entities US$800 million while consumers are
failing to pay it at least US$400 million for electricity provided.
Agronomist Thomas Nherera said farmers have to craft cash flow projections
which cover ZESA bills and other basic necessities.
Power cut hits Mugabe office, city
Power cut hits Mugabe office, city
http://www.dailynews.co.zw/
By Xolisani Ncube, Staff Writer
Tuesday, 20 March 2012 12:08
HARARE - Business came to halt in Harare’s city centre yesterday afternoon
including at President Robert Mugabe’s Munhumutapa offices due to
intermittent power cuts by the country’s rot- ridden, Zesa Holdings.
Munhumutapa offices which houses several core government offices was forced
to switch on to a standby generator to continue government business.
The rolling power cuts which are increasing everyday as a result of an
outstanding $80 million electricity debt to Mozambique are coming amid an
expose by the Daily News that several senior government officials owe Zesa
millions of dollars in unpaid bills.
The power cuts brought business to a halt at government offices, the courts,
private offices and hospitals.
High Court Judge Justice Chinembiri Bhunu had to postpone a bail application
hearing for MDC activists currently in custody on charges of murdering a
police officer because the courtrooms had no lighting.
Court proceedings could also not continue because recording equipment could
not function without electrical power.
Zesa has recently announced a punishing load shedding schedule for most
parts of the country due to reduced power generation from Hydro Cahora Bassa
(HCB) of Mozambique.
But Zesa keeps punishing the poor, by switching off electricity among the
suffering people yet the VIPs, are left untouched although they owe
millions.
Over the weekend, the power utility made a passionate plea to defaulters who
include politicians to settle their bills so that it could use the money to
increase its capacity to generate more power.
VIPs confirm Zesa bills
VIPs confirm Zesa bills
http://www.dailynews.co.zw/
By Bridget Mananavire, Staff Writer
Tuesday, 20 March 2012 12:01
HARARE - Zesa Holdings’ bid to protect senior government officials
defaulting on paying their power bills has failed as some of the VIPs have
personally confirmed to the Daily News that they are in arrears.
Residents also turned the heat on Zesa and urged the poorly-run parastatal
to push the politicians some of whom it has been giving special treatment as
“sensitive customers” to pay for their power usage and stop punishing poor
Zimbabweans only.
The power utility has made a futile and amateurish attempt to cover up the
embarrassment that came with the exposure of the defaulters by placing
statements in newspapers dismissing the Daily News story.
Zesa bizarrely went an extra mile apologising to its defaulters and urging
members of the public to dismiss our story.
But government officials who spoke to the Daily News yesterday confessed
that they indeed owe Zesa huge sums of money in unpaid electricity bills.
Patrick Zhuwao, Zanu PF MP for Zvimba East who is also Mugabe’s nephew, said
he owes Zesa and is yet to settle his bills. According to Zesa’s list of
defaulters he owes the power utility $54 407,31.
“I am a tobacco farmer, I use lots of electricity. But I have since made
payment arrangements with Zesa. I harvest once a year and that is when I can
make my payments,” Zhuwao said.
Minister of State in the President’s Office Didymus Mutasa who owes $179
590,31, said he was still discussing his bill with Zesa officials.
“There is absolutely nothing wrong I have done. I am meeting with Zesa
officials because there is more to it than meets the eye,” he said.
Thamsanqa Mahlangu, a former deputy minister and MDC legislator had some
explanation to make in confirming his bill.
“I was put there as the guarantor for my constituency, because I was paying
for some of the underprivileged,” he said of his $2 248, 34 bill.
Oppah Muchinguri, Zanu PF’s Secretary for Women Affairs and a Cabinet
minister said she like Zhuwao is a tobacco farmer and feels the Zesa bills
are too high for her. She owes Zesa $53 699,69.
“I sell once a year but Zesa is on the high. There are ulterior motives
because the publishing now makes it seem like we are criminals.
“Zesa knows we pay our bills, last year we paid around $40 000 in Zesa
bills,” she said.
Indigenisation minister, Saviour Kasukuwere confirmed he owes Zesa while
speaking to The Telegraph.
He said: “It’s no story here. I will pay my bill, but I am querying it
because I am not sure the figures are right. Remember there was
dollarisation in 2009.
“Also I am a farmer, I employ people, I have not yet been paid by the GMB
and I am waiting for money for the last three or four months, and I am sure
many of us are in the same situation. We will pay our bills.”
Harare Residents Trust (HRT), residents’ rights lobby group said the
politicians’ bills are shocking.
“Zesa must halt the disconnections of suffering Zimbabweans and deal with
government officials who owe hundreds of thousands. These are the same
people bleeding the economy.”
“Residents are concerned over why Zesa is shielding the powerful and
penalising the weak. They have failed to claim what is theirs. We call on
Zimbabweans to do their own metre readings and flock to Zesa offices if they
differ from what is on their bill sheets,” said Precious Shumba the HRT
Coordinator.
Zesa spokesperson Fullard Gwasira said his organisation is not trying to
shield anyone by denying the Daily News expose but was simply trying to
protect client information.
“Suggestions that Zesa is trying to protect any particular customer, or
group of customers, is not correct. It is essentially protecting client
information privilege, similarly to what other businesses do in pursuance of
professional business practice.”
“Zesa is dealing with all defaulters across the various customer categories
in an even handed manner, with fairness and transparency,” said Gwasira.
“Zesa is very aware of the central role it plays in the economy and its
recovery, and is very sensitive to the liquidity situation currently
prevailing in the economy. This explains why the utility then afforded all
customers categories the option of entering into payment plans to amortise
the debts which had accrued.
“Some customers entered into these payment plans and are abiding to them,
which is why some figures currently being highlighted in the media require
qualification and should not be taken at face value.
“Power Disconnections are in both high and low density areas to all
customers in a fair and transparent manner, and thus members of the public
should not doubt our resolve to collect the debt and our even handedness,”
added Gwasira in his response to the Daily News.
But he did not mention why Zesa only defended Mugabe yet there are dozens of
defaulters among the country’s top officials. Gwasira could not be drawn
into revealing details about payments on the First Family’s farms.
Among the top government officials owing Zesa hefty amounts of money, at a
time the country is struggling to pay off an $80 million debt to Mozambique’s
Hydro Cahora Bassa, are Mugabe’s closest aides such as Defence minister
Emmerson Mnangagwa, minister of State in the President’s Office Didymus
Mutasa, State Security minister Sydney Sekeramayi, Information and Publicity
minister Webster Shamu, Indigenisation minister Kasukuwere, Higher Education
minister Stan Mudenge, John Nkomo, Deputy Prime Minister Arthur Mutambara,
Members of Parliament and provincial governors among others.
Outrage over top government ZESA defaulters
Outrage over top government ZESA defaulters
http://www.swradioafrica.com
By Alex Bell
19 March 2012
There is growing outrage in Zimbabwe after top government officials were
exposed as defaulting on their power bills, with outstanding payments
believed to be in the millions of dollars.
A month long investigation by the Daily News newspaper has listed the top
ZESA offenders, with Robert Mugabe and his wife owing over US$300,000 to the
electrics utility as of December 2011.
Also exposed with more than US$300,000 in outstanding bills were Manicaland
Governor Chris Mushowe and CIO boss Happyton Bonyongwe. Others exposed
include; Mugabe’s nephew Patrick Zhuwao, whose bill ran to more than
US$54,000; Paddy Zhanda the ZANU PF Goromonzi North MP US$174,000; Women’s
Affairs Minister and ZANU PF Mutoko South legislator Olivia Nyembesi Muchena
who is US$44,000 in arrears.
The defaulters also included legislators from across the political divide in
the coalition government, as well as judges, provincial governors, deputy
ministers and permanent secretaries. Morgan Tsvangirai also recently
admitted that he had paid about US$5,000 to the electricity provider,
indicating that he too was defaulting on his payment. None of these
officials have seen their electricity service cut off. (See list below).
ZESA over the weekend made a desperate appeal to defaulting customers to pay
their bills, a day after jumping to Mugabe’s defense and insisting that the
ZANU PF leader’s bill was up to date. The Zimbabwe Electricity Transmission
and Distribution Company, a ZESA subsidiary, said in an ad that it required
funds to refurbish power stations, and urged customers to “pay your
electricity bills in time”.
The Daily News revelations have provoked outrage, with Prime Minister Morgan
Tsvangirai’s MDC accusing the state utility of employing an “animal farm”
approach to governance, where “some animals are more equal than others”.
Daily News journalist Gift Phiri said the reaction has been “overwhelming,”
particularly from the average consumer.
“We have had some allegations that we are deliberately trying to embarrass
the President. But overwhelmingly people are angry,” Phiri explained.
ZESA has started a countrywide campaign to disconnect defaulting individuals
and companies, further provoking already angry customers who have faced
months of blackouts. Precious Shumba from the Harare Residents Trust told SW
Radio Africa that normal residents are bearing the brunt of ZESA’s economic
problems.
“People are being cut off for tiny bills and yet there is sometimes only two
or three hours of power in Harare a day. ZESA should first be cutting off
those officials whose bills run into the thousands. Not the average
consumer,” Shumba said.
He added: “Zimbabweans deserve better. These government officials are
living large and they have forgotten their mandate to their citizens.”
The following were the major VIP ZESA defaulters as of December 31, 2011 as
listed by the Daily News. This list is in no particular order.
1. Paddy Zhanda – $174,000
2. Saviour Kasukuwere – $100,602.22
3. Simbaneuta Mudarikwa – $12,000
4. Mable Chinomona – $5,904.98
5. Brig Gen Ambrose Mutinhiri – $13,000
6. Joel Biggie Matiza – $15,710
7. Olivia Muchena $44,000
8. President Mugabe and Wife’s farms $345,000
9. Aneas Chigwedere – $8,000
10. Oriah Kabayanjiri – $29,029
11. Marian Chombo – $175,085
12. Faber Chidarikire – $22,395
13. Joey Bimha – $7,967.76
14. Amos Midzi- $34,056.05
15. Munyaradzi Kajese – $23,483.45
16. Walter Chidakwa – $7,618.31
17. Patrick Zhuwao – $54,407.31
18. Bright Matonga – $11,607.12
19. Henry Muchena – $31,800.56
20. Munyaradzi Mangwana – $41,512.94
21. Kudakwashe Bhasikiti – $77,828.66
22. Shuvai Mahofa – $9,299.41
23. Stan Mudenge – $9,478.35
24. Samuel Mumbengegwi – $4,961
25. Titus Maluleke – $16,857.33
26. Chris Mushowe – $367,606.07
27. Happyton Bonyongwe $350,989.48
28. Tamsanqa Mahlangu $2,248.34
29. Kembo Mohadi + wife – $12,38.57
30. Hwange President’s Office – $8,863.37
31. Paul Gunda – $7,517.68
32. Kasukuwere & Co. – $6,733.89
33. Didymus Mutasa – $179,590.31
34. Enock Porusingazi – $186,525.46
35. Oppah Muchinguri – $53,699.69
36. Zanu PF Mash West Office – $2,792.45
37. John Nkomo – $1,402.28
38. Misheck Cheda – $5,959.78
39. Samuel Sipepa Nkomo – $ 2,238.60
40. Fletcher Dulini Ncube – $3,256.90
41. Giles Mutsekwa – $1,656.38
Industry wants Zesa board fired
Industry wants Zesa board fired
http://www.dailynews.co.zw
By Taurai Mangudhla, Business Writer
Sunday, 18 March 2012 12:20
HARARE - State-owned power utility Zesa Holdings should dissolve its board
of directors for failing to collect $500 million tariff arrears from
consumers, Confederation of Zimbabwe Industries president Joseph Kanyekanye
said yesterday.
He told the Daily News on Sunday the directors’ failure to cause management
to perform one of the company’s key mandate was a sign of incompetence,
which threatened industry’s performance as a result of erratic power supply.
“The problem with Zesa Holdings is that some people were not paying their
bills deliberately while some cannot afford the money, but we should never
have a situation where we have people not paying for their consumption
because we won’t go forward,” he said.
“Addressing debt collection is what needs to be done now so government
should look at a situation where it dissolves the whole board and appoint
people who have a no-nonsense approach because a company can’t have its
debtors’ book continuing to balloon in the face of such liquidity
challenges,” added Kanyekanye, who is also Allied Timbers chief executive.
In its defence, the state-owned power utility last month said it had failed
to collect overdue bills because the charges were out of the reach of
consumers because of liquidity challenges and a general poor remuneration
across the job market.
While creating a pool of prepaying customers is a solution, Kanyekanye said,
the government should allow private players to import their electricity
directly from suppliers to diffuse the potential threat caused by the
company’s debts to regional power producers.
“I have also said Zesa Holdings should be abolished because of its cost
structure which goes up to $40 million a year. It’s an albatross to the
consumer and we should do away with it and maintain productive units only.”
Industry and Commerce minister Welshman Ncube also said the problems at Zesa
Holdings were a result of mismanagement.
“The problems lies with the leadership of Zesa Holdings, how does one
accumulate a $50 000 bill and they are not switched off,” he said.
“If people don’t pay then they should be switched off before it gets to that
amount,” added the minister.
“Sadly, industry is the worst casualty because load-shedding can be managed
at domestic level through use of gas, solar and other energy alternatives,
but for an industry to use diesel powered generators it will cost them a lot
and make their business uncompetitive.”
President Robert Mugabe and his allies in both government and Zanu PF are
top the list of defaulters.
Mugabe’s bill, which amounted to $350 000 as at December 31 last year, was
less than that of Manicaland governor Chris Mushowe and Central Intelligence
Organistion boss Happyton Bonyongwe who owe the power company $367 606,07
and $350 989,48 respectively.
Standard Comment: Zesa denials shield electricity looters
Standard Comment: Zesa denials shield electricity looters
http://www.thestandard.co.zw/
Zesa Holdings has always maintained a veil of secrecy around the accounts of
politicians who are not paying their astronomical bills.
Hiding behind client confidentiality, Zesa is trying to sweep under the
carpet a brewing scandal involving the politicians.
But it’s now a matter of public record that ministers, permanent
secretaries, MPs and military strongmen who have vast properties and
multiple farms have not been paying their power bills which amount to
millions of dollars. This is a scandal of the same magnitude as the War
Victim’s Compensation Fund which the same Zanu PF clique looted.
In a cynical move, Zesa has descended heavily on poor people groaning under
the weight of prolonged periods of power rationing; their bills hardly ever
exceed US$200 per month but have had their homes disconnected. The same
vigilance apparently doesn’t apply to the ruling elite, who have accrued
bills of up to US$400 000 for a single household.
These unscrupulous politicians should be ashamed of themselves for
plundering the power utility that is saddled with a huge power import debt.
The scandal at Zesa is only a tip of the iceberg. Other parastatals like the
Zimbabwe National Water Authority are also owed millions of dollars by the
same politicians and their cronies.
Recently it was reported that the GMB had been looted by the selfsame
coterie of maniacs who see themselves as divinely ordained to rule this
country, and therefore have the right to do as they please.
This systematic looting of parastatals is so deep-rooted in Zimbabwe that it
is bleeding the economy. It is in this light that denials by Zesa that no
big people owe the struggling parastatals anything becomes untrue and
therefore unhelpful.
The denials only show that the organisation is led by a management that is
keen to ingratiate itself with the political leadership while not concerned
about the wellbeing of the power utility itself and the common people who
pay their bills under very difficult conditions.
Politicians are people’s servants and therefore must be held accountable to
them. The press has done the right thing by bringing them to public
scrutiny.
Mangoma dates Mozambique
Mangoma dates Mozambique
http://www.dailynews.co.zw/
By Xolisani Ncube, Staff Writer
Friday, 16 March 2012 12:43
HARARE - Energy and Power Development minister Elton Mangoma has been jolted
into action as large parts of the country face darkness over Mozambique’s
decision to switch off Zimbabwe due to an unpaid debt.
Mangoma told the Daily News yesterday he would be travelling to Mozambique
to discuss the matter, although there was no hint that Zimbabwe had the
money to pay up.
He said Maputo’s decision to cut electricity supply will “certainly” affect
most parts of the country as Mozambique was the only country that was still
supplying power to Zimbabwe.
He said the debt by power utility Zesa Holdings (Zesa) would be dealt with
by forcing consumers to pay their arrears with the firm as well as use
political means.
“We will continue disconnecting power to people so that they can pay their
dues as well as deal with the issue politically. I will be travelling to
Maputo soon so that we can find a solution,” said Mangoma.
Mangoma said the way in which Hydro Cahora Bassa (HCB) cut off the power had
no legal binding as it was supposed to give the country its quarter
allocation of the paid debt.
“They are supplying only 25 megawatts, a quantity which is being produced by
our Harare power station,” said Mangoma.
Zesa owes Mozambique’s Hydro Cahora Bassa (HCB) over $75 million for power
exported to Zimbabwe.
The country’s power supply authority, Zesa was importing between 100 and 185
Megawatts from (HCB), but it will only be receiving 25 megawatts forthwith.
The Energy minister had earlier told the Daily News that government had made
arrangements to clear the debt but HCB would have none of that.
So far, three other regional countries have already terminated their
assistance to Harare due to its poor track record of debt settlement.
Before the fallout with other countries, Harare used to get 35 percent of
its total distributed power from Zambia, Democratic Republic of Congo and
South Africa.
The national power supply authority on the other hand is battling to recover
over $400 million it is owed by customers hence it has resorted to power
disconnections.
The country requires 3500 megawatts but it could only supply 1400 megawatts,
a feat which is likely to worsen the current crisis.
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- Zesa mum on chefs’ electricity bills
- Essar Africa To End Zim’s Electricity Woes
- Kariba Dam Wall On Zimbabwe Side Risk Collapsing:Mangoma
- Mangoma taken to task
- Zimbabwe's debt-crippled power utility plans to get tough
