NANCY SIAME, Lusaka
THE Zambia Association of Manufacturers (ZAM) says the proposal by Zesco Limited to increase electricity tariffs by over 50 percent for commercial, social and industrial users is welcome as it will attract other investors into the sector.
ZAM president Maybin Nsupila said the electricity tariffs in the country are one of the lowest in the region and the proposal by the electricity company to increase them is long overdue.
Mr Nsupila said in an interview that the association has been calling for increased investment in the energy sector for a long time and is hopeful that Zesco will have competition once the tariffs have been increased.
He said ZAM is also optimistic that once the tariffs have been increased, the power utility will improve its service delivery.
“We hope that once the tariff increment has been approved, Zesco will improve its service delivery because our members want continuous and quality supply of electricity,” Mr Nsupila said.
Mr Nsupila said electricity tariffs in the country have been too low to attract any investment.
He said most ZAM members have in the recent past been facing low electricity voltage and this has made it very difficult for them to operate their respective businesses.
“This is a welcome move and as ZAM, we support this decision which Zesco has made,” he said.
Zesco has proposed to increase electricity tariffs by over 50 percent for commercial, social and industrial users, while residential customers whose consumption is below 500 units (kWh) per month have been spared and will continue paying the current tariff of K0.15 per kilo watt hour.