By Michael kaluba
Copperbelt Energy Corporation-CEC- chief executive officer Owen silavwe has warned that failure to secure a deal between zesco and his company in a bulk supply agreement will plunge the entire copperbelt province including the mines into darkness by March 2020.
Mr silavwe whose company owns the infrastructure that zesco uses to distribute power to the entire copperbelt has told journalists in Kitwe that there is need to quickly find a solution between zesco and CEC for the 20 year long power bulk supply agreement that was signed in 2000 and will come to an end in march 2020.
The CEC chief executive officer has stressed that failure by the two parties to reach an agreement and extend the bulk supply agreement beyond march 2020 will cripple the country’s economy which is mainly driven by the copperbelt with the mines providing the biggest chunk of forex and revenue for Zambia.
He has however assured mining firms that are supplied by CEC that they would not be affected as the company has contingencies through its membership of the southern African power pool where it would draw electricity from.
CEC owns transmission and distribution lines worth us$500 million that the DRC and other power utilities within southern Africa use to move power in the region with zesco also using the CEC lines to supply electricity to all its commercial and domestic customers on the copperbelt province and would need in excess of us$1 billion to put up a distribution and transmission network of its own.
Meanwhile, Green Party leader Peter Sinkamba has accused ZESCO Limited of playing games with the Bulk Supply Agreement (BSA) negotiations that are on-going with the Copperbelt Energy Corporation (CEC).
Mr. Sinkamba has since called on government through the ministry of Energy to intervene in the matter between ZESCO Limited and the Copperbelt Energy Corporation (CEC) over the Agreement which comes to an end in March 2020 before a crisis ensues further calling on the parties involved in the negotiations to quickly resolve all the underlying issues and reach an agreement.
Mr. Sinkamba told phoenix news in an interview that ZESCO must remain cognizant that while the power utility is in no position to build its own distribution and supply infrastructure, CEC can generate power from its alternative sources and has the capacity to import power from other utilities to supply its clients.
He added that government must be proactive in ensuring the Bulk Supply Agreement is settled amicably instead of folding their arms until the Copperbelt province and the mining sector experience the consequences of having no agreement in place before decisively dealing with the matter.
The green party leader further expressed worry over the agreement negotiations that have allegedly stalled despite the agenda of the contents coming from government in 2000 when the deal was initially signed.
PHOENIX NEWS – 28.11.2019
Michael Mwila Kaluba 