Maravi

Zesco losing K1.3bn per day

Zesco losing K1.3bn per day
Written by Florence Bupe
Monday, September 21, 2009 4:49:20 PM

ZESCO Limited is losing in excess of US $300,000 [about K1.3 billion] per day due to non-generation of power at the Kariba North Bank Hydro Power Station following a fire that swept through the station last Friday. And energy minister Kenneth Konga on Saturday visited the funeral houses of two victims of the Kariba North Bank inferno where he donated three bags of mealie meal and packets of beef.

In an interview, Zesco acting managing director Cyprian Chitundu said the power utility was losing substantial amounts of income as the station had halted power generation. Chitundu said 540 mega watts of power were being lost on a daily basis.

“We are losing an average of US $300,000 of income daily, which is quite substantial. However, we will only be able to assess the total revenue loss after we rectify the problem. We are working round the clock to ensure that we clear the debris from the inferno as soon as possible, and we hope by Monday [today] we should be able to resume normal supply to our customers so that major economic activities are not affected,” he said.

Chitundu said the loss went beyond physical infrastructure and direct revenue.

“There will definitely be a loss in confidence from our customers and the public at large. Our staff will also be traumatised, and this in itself, could affect their output. It is unfortunate that we are not able to foresee such events. We were in the process of expanding generation through additional infrastructure, and this is definitely a blow to our efforts. Power generation is a dynamic undertaking, and therefore it is hard to completely avoid such happenings,” Chitundu said.

Two people were burnt to death in the tunnels of the power plant, while more than 33 were hospitalised with burns and respiratory disorders as a result of fume inhalation.

Of the number that was admitted, 25 victims have been discharged, while one has been evacuated to the University Teaching Hospital (UTH) with 48 degree burns to the abdomen and upper legs, and is said to be in a critical condition.

And Konga visited the funeral houses of the two victims last Saturday afternoon, at which he donated three bags of mealie meal.

Konga consoled the bereaved families, and said the government would assist with the funeral expenses.

“What happened has already happened. All you have to do is put everything in God’s hands and he will see you through. If you need anything, you can inform Zesco management and we will be able to take care of it,” he said.

Earlier after a preliminary inspection of the gutted site, Konga expressed anger at the non-compliance of safety standards by the Chinese contractor Sinohydro, whom he blamed for the fire.

“It is lack of observance of safety rules that leads to such tragedies. The Chinese need to work in line with the Zambian law; it’s either they do that or we find ways of terminating their contract,” Konga said. “The preliminary investigations show that the fire started from the contractor’s site as a result of a spark from welding works. Despite efforts made to put out the fire, the inferno spread. It is unfortunate that we have lost lives in the process. There was clearly an element of negligence and lack of adherence to safety regulations.”

Konga said once experts assessed the complete level of damage to the powerhouse, the government would move in if required to repair the damage.

However, he could not estimate in value terms how much damage had been caused to the plant.

Konga disclosed that he had summoned the leadership of Sinohydro to get an explanation on the accident.

He said the Zambian government would write to the Chinese government to express disappointment on the work culture and attitude of most Chinese firms.

Konga commended the Zimbabwean Fire Brigade and the Zambian armed forces for their effort in putting out the fire.

Labels: HYDRO POWER, KARIBA, ZESCO

posted by MrK @ 3:49 PM