ZESCO’s Power Crisis, Higher Tariffs, Lower Supply—A Struggling Nation Pays the Price
The extension of ZESCO’s emergency tariff period for another three months has sparked national concern, as citizens continue to face severe electricity shortages while being asked to pay significantly higher tariffs. The Energy Regulation Board (ERB) approved these tariff hikes under the promise that ZESCO would improve power supply, yet the reality on the ground tells a different story. The question many Zambians are asking is: Why are we paying more for less?
When the emergency tariff was introduced, ZESCO assured the public of at least seven hours of electricity per day. However, many households are currently receiving as little as four hours or less, creating widespread frustration. Businesses are struggling, homes are in darkness, and essential services are being disrupted. The disconnect between ZESCO’s promises and the actual electricity supply has led to growing concerns over the accountability and transparency of the power utility’s operations.
ZESCO justified the tariff increase by citing a $15 million monthly revenue target needed to finance power imports and manage the energy crisis. However, in November and December 2024, the company only collected $2.4 million and $7.6 million, respectively. This significant shortfall raises serious doubts about the sustainability of ZESCO’s financial strategy. If consumers are already struggling to pay the current tariffs, how does the utility expect to generate more revenue from an already burdened population?
The latest tariff adjustments, which propose increases of 50% to 156%, will impact over 417,000 households—many of whom are already struggling with rising costs of living. While the government argues that these measures are necessary to sustain electricity imports, the reality is that higher costs are being imposed on citizens without a corresponding improvement in service delivery. This has led to growing concerns that ordinary Zambians are bearing the cost of systemic inefficiencies within ZESCO.
On the other hand, the government and ZESCO insist that these adjustments are temporary measures to stabilize the energy sector. Energy Minister Makozo Chikote has reassured the nation that electricity supply will stabilize by October 1st, 2024. He attributed this optimism to the full resumption of power generation at Maamba Energy Limited and the completion of maintenance works on the Namibia interconnector, which will enable additional power imports. However, with the government having previously failed to meet similar commitments, skepticism remains high among many Zambians.
At the same time, Namibia has expressed appreciation for Zambia’s continuous electricity exports, despite the severe local load-shedding crisis. Namibia’s Secretary to the Cabinet, George Simataa, conveyed his government’s gratitude, acknowledging Zambia’s efforts in maintaining power supply to its neighbor. This revelation has further fueled public frustration, as many Zambians question why electricity is being sent to other countries while local households and businesses are left in the dark.
Small business owners have been among the hardest hit by the ongoing power crisis. Welders, barbers, tailors, and restaurant owners—who depend on stable electricity—are forced to either invest in expensive fuel-powered generators or close their businesses during blackouts. Many argue that ZESCO’s failure to maintain a predictable load-shedding schedule has worsened the situation, making it difficult for businesses to plan operations efficiently. The economic impact of unreliable electricity is far-reaching, affecting productivity, employment, and overall economic growth.
Meanwhile, the government has also taken steps to encourage alternative energy sources. Speaking at the launch of Rubis Gas on Saturday night, Energy Minister Makozo Chikote warned energy companies that government incentives for the sector are meant to cushion the ongoing energy crisis, not to maximize profits. Rubis Zambia Managing Director Gift Dauchi stated that the company’s introduction of Rubis Gas aims to provide a reliable and cost-effective energy source, reducing dependence on charcoal and firewood. Additionally, Liquefied Petroleum Gas Association president Obed Chiluba has called for enhanced public sensitization on the benefits and safety of LPG usage.
The fundamental issue at hand is the need for greater transparency and accountability. If ZESCO and the government expect citizens to pay higher tariffs, then they must provide a clear, detailed roadmap on how this revenue will improve power supply. Additionally, ERB must strengthen consumer protection mechanisms to ensure that tariff decisions are made in the best interests of the people, rather than simply approving every request from ZESCO. Zambians deserve more than just price hikes and empty promises. The government and ZESCO must restore public confidence by delivering tangible improvements in electricity supply. Without a clear commitment to solving the root causes of the energy crisis, continued tariff increases will only deepen economic hardship while leaving the nation in prolonged darkness
