Increasing tariffs to prevent another electricity crisis in Zambia

International Growth Centre blogs Shivani Haria and Imaduddin Ahmed | 1 April, 2020 Zambia’s state-owned power utility company, ZESCO, is consistently struggling to meet demand, plunging Zambia into one electricity crisis after another. The Government of Zambia’s acceptance of ZESCO’s application to increase tariffs is a step in the right direction. Access to reliable power remains a problem across sub-Saharan Africa. The latest data from the World Bank’s Enterprise Surveys, show that 76.2% of firms in the region still experience electrical outages, on average 8.3 times a month. This has forced over half the firms in sub-Saharan Africa into owning … Continue reading Increasing tariffs to prevent another electricity crisis in Zambia

The cost of power outages to Zambia’s manufacturing sector

Policy Brief 41408 International Growth Centre | June 2019 Imaduddin Ahmed, Michelle Baddeley, D’Maris Coffman, Jim Meikle and Graham Sianjase In Brief: The researchers surveyed 146 large manufacturing firms in Zambia’s industrial hubs in 2018 to assess the impacts of power outages on Zambia’s manufacturing sector, and firms’ coping mechanisms. Following the outages of 2015 and 2016, manufacturing’s share of energy delivered by Zambian energy utility ZESCO dropped and had not recovered by 2017. The researchers find that: o Backup generation was associated with a reduction in production delays which was associated with reduced loss in clients; o Export-oriented firms … Continue reading The cost of power outages to Zambia’s manufacturing sector