For the following five years, the Cabinet has approved a gradual increase in electricity rates.
However, according to Minister of Finance and National Planning SITUMBEKO MUSOKOTWANE, the increase will be small and manageable.
If prices are not raised, Dr. MUSOKOTWANE has warned that the nation could face a severe electricity deficit over the next five years.
Dr. MUSOKOTWANE stated today in Lusaka during the town hall discussion on the economic performance in 2022 and the execution of the 2023 budget that higher energy rates are required to draw investment to the sector.
Additionally, Dr. MUSOKOTWANE urged Zambia’s official creditors to grant the nation the necessary debt relief.
Zambia, according to him, is waiting to hear from the creditors on the status of the debt relief effort after the government fulfilled its end of the bargain.
And Dr. MUSOKOTWANE disclosed that, in contrast to the aim of 173 billion kwacha, the government spent roughly 140.4 billion kwacha last year.
He credited the reduced interest payments and the creditors’ varied debts remaining unpaid for the lower-than-expected spending.
The Minister added that certain investors have expressed interest in operating the Konkola and Mopani Copper Mines and that government is close to finding investors and settling issues there.