Zim power cuts to persist
2006-01-31 09:41
Special Report
The economy is slowly going back on track in Zimbabwe with some individuals able to celebrate this festive season.
Zimbabwean President Robert Mugabe says he doesn't expect the US sanctions on his country to be lifted soon.
Johannesburg - Power cuts that have plunged most parts of Zimbabwe into darkness since last week could continue longer than expected, Harare's Herald newspaper reported on Tuesday.
Its website said the national power utility, Zesa Holdings, was struggling to raise foreign currency and Zimbabwe dollars needed to pay for power imports and spare parts.
Many parts of Zimbabwe had in the past four days endured power cuts, with some areas going for long hours without supplies, as the power utility grapples to solve the problem.
The country has also lost all its 450 Megawatts power imports from Eskom South Africa due to a generator breakdown.
Zesa Holdings executive chairperson Sydney Gata said the problem had been aggravated by the local electricity import bill that had doubled.
"Our electricity power bill has increased from $4.5m per month denoted in Zimbabwe dollars to about $500bn at the inter-bank exchange rate," he said.
"It is obvious that Zesa cannot raise the required Zimbabwe dollars at the new exchange rate to pay for the imports given that the company's total revenue is a third of the electricity import bill alone."
Gata said generators at Hwange had broken down and needed repairing, which Zesa could not afford owing to its failure to raise money to buy foreign currency from the Reserve Bank of Zimbabwe.
"Yes, there is a shortage of foreign currency to procure the spares but we also need Zimbabwean dollars to pay for the foreign currency at the Reserve Bank of Zimbabwe."
About 60% of Zimbabwe's power requirements are met through internal generations and 40% through imports from South Africa, the Democratic Republic of Congo and Mozambique.
- SAPA