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Alba Iulia
Wednesday, July 15, 2020

CEC to Restrict power supply to the mines that will not pay new Electricity Tariffs

Economy CEC to Restrict power supply to the mines that will not pay...

COPPERBELT Energy Corporation (CEC) will this month start restricting power supply to the mines that will not pay new electricity tariffs.

The Lusaka Securities Exchange-listed energy utility buys power from Zesco Limited under the bulk supply agreement and distributes it to Copperbelt-based mining companies.

Following several engagements with mining consumers since December 2016, it was agreed that effective January 1, 2017, mining tariffs will increase to 9.30 US cents per kilo watt.

Thereafter, mining tariffs will be determined based on the results of the cost of service study, which has been undertaken countrywide.

CEC managing director Owen Silavwe said the negotiations for the upward tariff adjustment have been concluded with relevant stakeholders.

“We have gone through negotiations and all the mines are very supportive.

“Expectations are that within July [this month], if there are any mining companies not paying new tariffs, power supply will be restricted to them because tariff numbers have been agreed and discussed with Government,” Mr Silavwe said in an interview last week.

Last May, Zesco Limited increased electricity tariffs by 50 percent following the approval by the Energy Regulatory Board. A further 25 percent increase is expected to be effected by September 1 2017.

He said Government has asked every consumer to play their role in contributing to meeting the increased cost of supplying power in the country.

Mr Silavwe said if there is any customer resisting, power supply will be restricted to them.

Meanwhile, CEC is optimistic that demand for power from the mines will increase by the end of the year as a number of mining firms have embarked on capital projects.

“The business with the mines is beginning to look good. We are coming from the year when the demand has been depressed as a result of copper price crush that we experienced in 2015 coming into 2016.

“The situation has continued to improve. The copper price outlook at the moment is upbeat although local power demand is still depressed,” he said.

Currently, the price of copper on the global market is hovering around US$6,000 a tonne.


  1. With the mines everything is negotiating… docile Zambians with their useless ERB dont have that luxury!!

  2. @1 jay jay, you are obviously a breed of UPNDonkey. Do you as an underfive baby negotiate with your mother whether to suck from her breasts or not? As a responsible mother, she just gives you what is good for you doesn’t she?

  3. Terrible, you must let other citizens express their views. Zambia is not for you alone. Respect your fellow citizens, after all no one, including yourself, chose to be born in Zambia. We all therefore MUST respect each other and debate issues objectively instead of calling others names or insulting them.

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