Harare, Zimbabwe — ESI-AFRICA.COM — 09 November 2011 – Zimbabwe’s debt to the Namibian power utility Nampower has been cut down to US$18 million of the US$40 million that Windhoek had loaned to Harare in the first instance.
Revealing this here, Zimbabwe Power Company (ZPC) managing director Noah Gore said the company had also managed to negotiate a higher tariff for exports to Namibia with Nampower.
He was giving oral evidence before a Parliamentary Portfolio Committee on Mines and Energy. The committee was attempting to establish what the company was doing to enhance power generation.
“To date we have reduced our debt to Nampower to US$18 million “’ the US$40 million loan was for the refurbishment of the Hwange Power Station,” said Gore. “As part of repayment of the loan, we agreed to pay by exporting electricity to Nampower,” he added.
Gore said ZPC had various power generation projects but some of them had been stalled owing to lack of finance. He added that the Zimbabwe Transmission and Distribution Company, ZPC’s sister firm, owed it more than US$270 million in unpaid services.
He pointed out that pre-paid meters would improve ZETDC revenue and in turn enable the power transmission to pay its debts.