Zimbabwe's ZESA increases electricity tariff as country battles shortage

National power utility Zimbabwe Electricity Supply Authority (ZESA) has increased electricity tariff, local media platform iHarare on Thursday. The new tariffs will take effect from March 1 and are expected to pile more burden amid worsening poverty situation in the country.

In a statement, ZESA subsidiary company, the Zimbabwe Electricity Distribution Company (ZETDC) said the increase was a result of the exchange rate and inflation. "The Zimbabwe Electricity Transmission and Distribution Company (ZETDC) has adjusted the electricity tariffs by 19.02%. This is in accordance with the Tariff Award of 2 October 2019, which approved the implementation of monthly tariff indexation formula that takes into account the movement of macroeconomic fundamentals such as exchange rate and inflation for changes above 10%," said the statement.

The first 50 units of electricity will now cost ZWL$24.50 compared to ZWL$20.50 earlier, according to the report by iHarare. The next 150 units will now cost ZWL$162.00 up from ZWL$136.50.

The 200 units of electricity that had been sold at a lower price will now cost ZWL$186.50 up from ZWL$157. Any electricity purchased after the 200 units have been consumed will now cost ZWL$4.61 up from ZWL$3.87 per kWh.

Zimbabwe has been battling electricity shortage owing to low water levels at Kariba Dam and foreign currency shortages among other issues.