Southern Biopower Limited has supported Zesco’s proposed 26 percent tariff increment, saying Zambian tariffs were low in international comparison and way below cost of new generation.
Making submissions at the Zesco tariff review public hearing in Lusaka today, Southern Biopower Director, Thomas Krimmel, said the low electricity rates currently pertaining in the country do not encourage energy saving measures.
Dr Krimmel also said the low rates do not allow Zesco to purchase power from independent private power producers.
Dr Krimmel was however quick to raise concerns on Zesco’s high share of staff related expenses, saying this did not indicate prudent management of resources.
He added that the high number of unmetered customers was also worrying.
Dr Krimmel advised that Zesco to improve its efforts in urging customers to save energy and use off peak power.
In response Zesco Managing Director, Cyprian Chitundu, said his company welcomed the support and was keen on working out some of the weaknesses highlighted.
Southern Biopower Limited is an economically and development-oriented company focussing on renewable energy solutions for Africa.
It is centred around an economic model farm in Southern Province serving farmers, business and public institutions as clients on the basis of fair trade and value for money.