HomeIndustry SectorsFinance and PolicyZimbabwe mining companies concerned about erratic grid power

Zimbabwe mining companies concerned about erratic grid power

Winston Chitando,
Zimbabwe’s Chamber
of Mines
8 May 2012 – The president of Zimbabwe’s Chamber of Mines, Winston Chitando, says that the body is in discussions with Zesa Holdings on electricity supply and is hoping to come up with a framework conducive to the development of mining in the country.

Erratic power supplies have continued to affect production in the mining sector, and puts projected growth in the sector of 15.5% under threat. Platinum mining firms Mimosa and Zimplats recently advanced US$10 million to Zesa to enable it to settle part of its debts and ensure guaranteed uninterrupted power supply.

Chitando says negotiations are ongoing with Zesa subsidiaries Zimbabwe Power Company and Zimbabwe Electricity Transmission Distribution Company to arrive at an agreed tariff for ring fenced customers.

During 2011 an average of 1,105 MW was realised within Zimbabwe’s power generation against an envisaged capacity of 1,600 MW. An increased output of 1,244 MW is envisaged for 2012 compared to demand of 2,200 MW required to service all the sectors of the country’s economy.