By NOEL IYOMBWA
ZESCO has completed formalising long-term bulk electricity supply agreements with five mines following the termination of a power supply agreement with the Copperbelt Energy Corporation (CEC).
Zesco corporate affairs manager, John Kunda, said the power utility firm was up to the task in ensuring stable supply of electricity to the mines.
He said Zesco was aware that mines were critical to the economic growth of the country and would ensure that production was not disturbed.
Dr Kunda said in an interview that Zesco had successfully formalised agreements with Konkola Copper Mine (KCM), Chambeshi Mine, Kalumbila Mine, Lumwana and Kansanshi.
“Safety and productivity at the mines will not be compromised because the mines are very critical and sensitive. If you do not supply power to the mines, they can flood. So there will be constant supply and you will not hear of the mines flooding,” he said.
Dr Kunda said Zesco was equal to the task because it was the leading “boy” in the industry.
Zesco was losing over US$200 million annually to the “unfair and one-sided” nature of the Bulk Supply Agreement with CEC that expired on March 31, last year.
It is currently being owed millions of dollars by CEC for power supply under the recently expired Bulk Supply Agreement.
CEC was also accused of not being transparent in its metering process and benefitting an additional 50 to 100 megawatts that was not accounted for.
As a result, Zesco lost revenue amounting to US$67.2 million annually.