This comes as the Second Republic steps up efforts to end
current power challenges through the adoption of a cocktail of measures which
mainly hinge on increasing local power generation capacity through Government
and private sector partnerships.
Treasury has also supported the Zimbabwe Energy
Transmission and Distribution Company to the tune of US$34 million for it to
import additional power to augment local production, a development that is
expected to ensure the country achieves its national goals as envisaged by
Vision 2030 anchored by the National Development Strategy 1.
This was said by Finance and Economic Development Minister
Professor Mthuli Ncube in the National Assembly last week while steering the
Finance Bill that is meant to give legal effect to the 2023 National Budget.
“On the issue of electricity and power, of course this is a
challenge to the economy, and Government is doing everything it can.
“I am happy to report that we have thoroughly concluded on
the structure and framework of what we call the Government Implementation
Agreement to support investment from the Independent Power Producers (IPPS). It
will cover three areas — an appropriate level of tariffs; Government guarantees
on the power purchase agreement and also guarantee currency compatibility. They
have asked for these three things and we have put three of the projects on
pilot,” said Prof Ncube.
“We are now satisfied that we can as Government support GIA
to cover those three areas. Monday next week, we will make a formal
announcement and this will go a long way in the medium term in dealing with the
power situation.
“We also have intervened in terms of emergency resources to
support both ZETDC and ZPC to the tune of US$34 million for them to be able to
source power from outside. Unfortunately, that is the best we can do
immediately and this is being processed over the next seven days.”
He said some technical challenges had delayed the
commissioning of Hwange Unit 7 but Government through the power utility
was doing everything possible to have it go live.
“I have noted his comment about the delays in rolling out
Hwange 7 especially that 300 megawatts. There has been a delay and the minister
has been before this House to explain why these delays took place. There are
technical reasons behind that in terms of testing the system and so forth.
“It is our hope that in the first quarter, Hwange 7 is up.
There is a lesson from it which I think will hasten the commissioning of Hwange
8 so that we have the full 600 megawatts eventually,” Prof Ncube said.
Zimbabwe is presently facing acute power shortages which
have seen consumers going for long hours, outside the normal load-shedding
periods, without electricity.
The situation, caused by frequent breakdowns at Hwange
Thermal Station, has been compounded by water shortages in Kariba Dam which
provides the bulk of Zimbabwe’s electricity supplies.
The Zambezi River Authority (ZRA), which runs Kariba Dam,
wrote to the Zimbabwe Power Company last week directing it to stop generating
electricity until at least January, when water levels are expected to have
picked up.
Responding to why members of the security services earn
higher allowances than some of their superiors and other civil services, Prof
Ncube said they were paid consistent with a military salary concept that takes
into account the inherent risk they face.
“I reviewed the allowances for prison officers, Ministry of
Defence, the soldiers as well as the police. There is a risk factor and the
risk factor principle is that the officer who is on the frontline, the private
soldier, should get a higher allowance as a percentage of his/her salary than
the boss.
“The scale cascades upwards and the General is the least
paid in terms of risk allowance as a percentage of his/her salary. That is how
it works. So it is a risk factor,” the minister said.
“It is not surprising therefore that junior officers and
prison warders are getting a bit higher allowances than their bosses. That is
exactly how it works. That is exactly what we want to incentivise, we want to
deal with the restripes. Having said this, I therefore propose that I still add
half a billion Zimbabwe dollars ($500 million) to support our prisons
services.”
During debate, Prof Ncube proposed to increase the budget
vote for the Ministry of Information, Publicity and Broadcasting Services by
$1,5 billion, raising its 2023 national budget allocation to $10 billion.
“For the Ministry of Information, Publicity and
Broadcasting Services, I would like to move this budget to at least $10
billion.
“So I propose that we allocate an additional $1,5 billion,
to take it just above $10 billion. This is the ministry that sells the brand of
Government,” he said. Herald
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