Zimbabwe’s mining industry has appealed to the government for help after ZESA Holdings failed to honour electricity-supply contracts.
In a letter written to Finance and Economic Development Minister Mthuli Ncube, the Chamber of Mines revealed that some companies are going for 3 days a week without power and if the situation persists, mineral production will fall by as much as 30% this year. It said:
We are also appealing for increased power allocation to the mining sector in line with anticipated increased mineral production in 2020.
ZESA Holdings promised mining companies that it would “ring-fence” their power supplies as they were paying electricity tariffs in foreign currency.
However, Zesa’s acting chief executive officer, Patrick Chivaura, has disputed the miners’ position, insisting that the miners are paying less than a third of the US$11 million they agreed to pay each month for electricity.