9.5 C
Alba Iulia
Thursday, September 24, 2020

Kwacha Weakness Preventing Trickle down of low oil prices to the Economy-Dora Siliya

Economy Kwacha Weakness Preventing Trickle down of low oil prices to the...

Energy and Water Development Minister, Hon. Dora Siliya
Energy and Water Development Minister, Hon. Dora Siliya

GOVERNMENT has said that Zambians have not been able to enjoy the benefits of the current low global oil prices because of the exchange pressure that the Kwacha was facing from other international currencies.
Energy and Water Development Minister, Ms. Dora Siliya has said that the current exchange rate shocks directly impacted her Ministry which had to make huge purchases of oil and power at colossal amounts in foreign currency, particularly now when the country was facing a serious energy deficit.

Ms. Siliya is in South Africa as President Edgar Lungu’s Special Envoy to South Africa’s President His Excellency Mr. Jacob Zuma. She was speaking this morning when she addressed diplomats at the High Commission of Zambia in Pretoria.

The Minister, accompanied by directors in her Ministry, Mr. Oscar Kalumiana for energy, and Ms. Viola Mtamila for Planning, and Zesco director of transmission Mr. Webster Musonda, have been meeting chief executive officers of various companies in the energy sector.

Ms. Siliya pointed out that apart from oil and power requirements, the country was also faced with a widening deficit of food in some parts of the country which Government had to address through provision of relief food.

“To add salt to the injury, at a time when the world is experiencing low oil prices, our people cannot gain from that because the same foreign exchange that we could have been saving is now going to purchases of power and other emergency interventions,” she said.

“Others say we should not compare with other countries yet economies of the world are inter-linked. What happens when China stops buying our copper which has been our main source of foreign exchange for a long time? Obviously we lose revenue yet at the same time other countries still want us to pay for what we import,” She added.

The Minister explained that shortage of water in some parts of the country was the primary problem which was manifesting itself through load shedding which was a secondary challenge. She said her Ministry had realised that out of the 40 percent of water resources that Zambia boasted, the country only accessed four percent of this while the rest ran off to the sea, evaporated or sunk into the ground.

“It was not strange for the President to call for prayers as no one can manufacture rain. It was difficult for people to fathom that Kariba could dry up until pictures showing rocks at the Victoria Falls went round.”

“We are, therefore, engaging each other and other experts to see how best we can harvest this water for the benefit of the country. It is now clear that the northern and north-western parts of Zambia have water and so it is paramount that we start moving the bulk of water related investment into those regions,” she said.
She regretted that the new thermal power plant at Maamba Collieries did not meet the November dead line by which it should have brought about 300 megawatts on stream. Maamba is now expected to be operational by July this year while it is also hoped that some solar and hydro energy sources would have come on board by the end of the year.

Ms. Siliya said Government was working hard to ensure that power supply did not drop to levels beyond what was prevailing by employing various sources of energy such as through imports and fuel-powered generators as part of the emergency measures.

The Minister urged Zambians not to allow to be misled about the energy problems the country was facing pointing out that investment in power generation and transmission took long to mature.

“Nobody should come to you and claim that they can play some magic and end our problems just like that because even solar takes not less than a year to put up. I think debate on who did not do what is long gone. We should all be patriotic and put our energies together so that we find solutions to these problems,” Ms. Siliya said.

She called on the private sector to participate in finding solutions.

The Minister also urged consumers to adopt the use of energy saving bulbs, solar geysers and gas stoves as an effective way of conserving energy.


  1. ati ”…..that Kariba could dry up until pictures showing rocks at the Victoria Falls went round…”
    I lived in Livingstone, stop lying, those rocks are exposed every year at around the same time those photos were taken.
    and why is your ministry not sanitising people to expose them to solar panels to save electricity during day light hours ? those savings can be passed on for industrial use.

    • This woman is already overweight and you look at the foodstuffs placed in front of her for consumption – cookies and coke. Its all about choices ba Dora

  2. This is a very dull minster. The exchange rate is just reacting to your foolish polices. If you had run your government prudently and you had not stolen all the money from the treasury, you would have benefited from the fall in the oil price. Now, you are a foolish minister working for a foolish government who have shot themselves in their feet and you will not be able to take advantage of this windfall in oil price.

  3. “Ms. Siliya is in South Africa as President Edgar Lungu’s Special Envoy to South Africa’s President His Excellency Mr. Jacob Zuma.” What does that supposed to mean?

    • Yes Jay Jay a barrel is at an all time low……..but how do you explain the recent increament of fuel by Saudi Arabia, the biggest oil producer/exporter in the world?

    • Ba Sebenza
      Low oil prices is bad news for the Opec cartel which includes the Saudis, it affects them like we get affected with low copper prices though we don’t even own the mines in terms of jobs,productivity slow down etc..hence they are attempting to kill off the threat from the US shale industry that is sending crude to its lowest level since the depths of the global recession almost seven years ago.

  4. Chicisusu and women who wear wigs in Africa are an embarassment! I have never seen a muzungu minster with an afro wig (kalao) tsk..tsk..Inferiority Complex?
    “The problem is that we Africans are throwing away our culture in the name of modernity. We don’t need to do that. Many in third world countries believe the only way to grow or be competitive is to forgo the ways of our forefathers, to become more western. That’s wrong. We are unique because of our culture, our heritage and our traditions. I’ve seen and know Americans and Europeans who admire the African culture. We should too.”

  5. Where is the $1 million dollars we were told by Yaluma will be paid to indeni for the importation of wrong fuel by the supplier.??? No accoutability again.

    • They are creaming off all the profits routeing it to the PF campaign account..all that money for importation of electricity is being misappropriated just pray that the do not shut down Kariba down as they will steal with impunity.

  6. Gensets are expensive to rub due to expensive fuel. Cost installation of solar panels is high. Gas stoves, with LPG at 25-35kwacha per kg, is also expensive. Charcoal Oloso has become very dulafull. So the 300MW to come online is set to a month before election? Yaaba.

  7. So who did not do what is not important?

    Give us a break! The facts of the matter are that Sata and his PF CANCELLED the contract for Kafue that would have been producing power by now and we would have no load shedding.

    This is not a problem of OF DROUGHT. This is a problem of incompetence, ignorance and poor planning by PF.


    In 2011 a whole years supply of water was just wasted and spilt out of the dam.


    And they think we will give them five more years of this nonsense ??????

Comments are closed.

- Advertisement -
- Advertisement -

Latest News

Lwandamina Reflects on Zesco United Departure

George Lwandamina has described his Zesco United exit as part of football evolution. Lwandamina left the eight-time champions by mutual...

Maize Smugglers abandon trucks at Mutenguleni graveyard

Two trucks laden with maize which was about to be smuggled into Malawi have been abandoned at Mutenguleni graveyard in Kasenengwa District in Eastern...

Government strives to improve provision of adolescent health services

Kabompo District Nursing Officer for Adolescent Health, Sondashi Bombwe says the health office is on course to implement programmes to help improve adolescent health...

Increase in Expectant Mothers Giving Birth at Home Worries the Government

Ministry of Health Permanent Secretary for Technical Services, Kennedy Malama has expressed concern on the increased number of home deliveries which may result...

AVAP backs on-line voter pre-registration

The Anti- Voter Apathy Project (AVAP) in Northern Province has welcomed the move taken by the Electoral Commission of Zambia (ECZ) to commence...

More Articles In This Category