Monday, March 10, 2008

Govt blames World Bank for energy situation

Govt blames World Bank for energy situation
By Chiwoyu Sinyangwe in Siavonga
Monday March 10, 2008 [03:00]

ENERGY Permanent Secretary Peter Mumba has said that the World Bank should bear the consequences of having misled the country on the energy situation. And parliamentary select committee on energy chairperson Garry Nkombo has urged Zesco Limited not to look at raising tariffs as the only option to improve its operations.

Mumba castigated World Bank-Zambia communications manager Jumbe Ngoma for saying that the current electricity crisis in the country was due to lack planning. He said that the World Bank was pushing government on the agenda of privatising Zesco without making wide consultations.

“World Bank is a culprit in the problem of electricity shortage that we’re facing today,” Mumba said.

“World Bank should sincerely admit that its prescription for attracting private sector investment in the energy sector has not worked. Even its agenda of privatising Zesco has not worked because they didn’t seriously study the environment in the country before coming up with that policy.”

And speaking after the select committee toured rehabilitation works at Kafue Gorge Power Station on Saturday, Nkombo said Zesco needed to improve its efficiency.
He also urged Zesco customers to settle their electricity bills promptly.

“Before you talk about adjusting electricity tariffs, as a company you have to look at other challenges you’re facing such as improving the efficiency of operations,” Nkombo said.

“And as you look at revising the tariffs, it’s important that you understand the poverty levels among the Zambian people.”

Nkombo also observed that failure by most customers to settle their bills was negatively impacting on the operations of the power utility.

“Zesco is owed millions of dollars by a lot of customers including government. It will be gratifying if those people paid their bills as it then will be left to Zesco to put its act together,” said Nkombo.

The Parliamentary Select Committee, officials from the Ministry of Energy and Zesco board members were last weekend on a familiarisation tour of Kafue Gorge, Kariba North and South bank power stations.

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