Q FM Africa's Modern Radio
Government says it will not be blackmailed by mining companies refusing to comply with new electricity tariffs.
Energy Minister David Mabumba has since warned Mopani Copper Mines (MCM), Kansanshi Copper Mine, and Kalumbila Mine to comply with the new tariffs saying no one will be given special consideration.
He says other mining companies including Luanshya, Chibuluma, NFC, Chambeshi, Lumwana,Konkola Copper Mines and Luwana mines among others have all agreed to the new tariff payment plan.
Mr Mabumba says government has been patient for a long time now, thus the need for the mines to pay and contribute to the growth of the economy considering that they consume 50 percent of the power.
He says mining companies refusing to comply with the new tariffs will be given the amount of power equivalent to the new tariffs at 9.30 cents.
Speaking during a joint media briefing, Mr. Mabumba says Copperbelt Energy Corporation (CEC) has had several engagements with mining consumers since December 2016, and that it was agreed that effective January 1, 2017, mining electricity tariffs will increase to 9.30 US cents per kilo watt, but that mining companies have refused to comply with the new tariffs.
And Chief Government Spokesperson Kampamba Mulenga says the electricity tariffs were increased in order to safeguard the security of supply of the electricity sector in Zambia, and to ensure that ZESCO has independent power producers (IPPs) as well as import from the region in order to meet the shortfall in electricity supply
Ms. Mulenga has since reminded the public that the last electricity tariffs increase of 25 percent will be effected on 1st September, 2017 for all domestic customers.
Mopani Copper Mines have suspended operations in Kitwe and Mufulira following the restriction of power supply to its operations by Copperbelt Energy Corporation (CEC).
Workers in the affected units have since been sent home.
Last May, ZESCO Limited increased electricity tariffs by 50 percent following the approval by the Energy Regulation Board. A further 25 percent increase is expected to be effected by September 1.