Find amicable solution, Zesco, CEC told

ZESCO and the Copperbelt Energy Corporation should find an amicable solution to the expiring bulky power supply agreement in order not to destabilize the economy, Golden Party president Jackson Silavwe has advised.

Mr Silavwe said the Zambia economy could not afford any setback when efforts were being made to revamp it.

He said in an interview that in as much as he sympathised with both Zesco and CEC, the wellbeing of the economy and Zambians was more important.

Mr Silavwe said there was need to accept that the bulk power supply agreement between the two companies was a ‘bad deal’. He however said CEC was a viable company that needed the support of Zambians to keep on contributing to economic growth of the country.

Mr Silavwe observed that once the mining sector was disturbed as a result of inadequate power supply emanating from the Zesco and CEC impasse, the Zambians were the one to suffer more.

He warned that mines had already reduced production but that it was lower even without steady power supply.

Mr Silavwe urged the two companies to find a solution that would ensure a win-win situation for both of them.

“I agree that CEC should not continue reaping where it did not sow by selling power that it did not generate. But I also symphasise with CEC because it’s a Zambian company and employees a lot of our people. So I only urge Zesco and CEC to come up with a plan that will ensure a win- win situation. “The fear is that if anything goes wrong, it is us the people who will suffer. Once power supply to the mines is interrupted, there will be low production and we will be affected badly because we depend on this sector,” he said.

The Bulk Power Supply Agreement between Zesco and CEC is a 20-year agreement that underpins power supply to the Copperbelt and it is set to come to an end in March, 2020.

The two companies are in talks following Zesco’s decision not to renew the agreement once it expires so that the company can start supplying to the mines directly.