(Ecofin Agency) - Chief executive of Zimbabwe Electricity Supply Authority (ZESA), Josh Chifamba, said his institution could lose twice more money this year than in 2015, thus from $112 to $224 million. This is mainly to more power being imported and that power being sold at a price lower than that it was acquired for from producers.

In 2016, ZESA imported $160 million of power against $28 million in 2015, amid lower rains in region which prevented optimal functioning of dams from which Zimbabwe mainly gets its energy.

Alson, power purchased from local diesel-powered plants at $0.15 Kwh was sold to local consumers at $0.986. In July, the regulatory authority of the energy sector rejected a request to increase power tariffs by close to 50%, fearing that it would affect the economy more.

ZESA has bad debts outlook standing at $65 million, which might worsen its financial status.

Gwladys Johnson