Tue, 09 May 2017 12:50:26 +0000
THE grave concern among Zambians egarding implementation of the cost reflective electricity tariff is time frame Government has attached to the exercise, says former National Energy Sector and Allied Workers Union (NESAWU general secretary Yotam Mtayachalo.
Mr. Mtayachalo said it was his view that majority of Zambians were not against the hike in electricity tariffs because Zesco was equally affected by the harsh economic environment prevailing in the country.
He however pointed out that the 75 percent proposed increment to be effected within five months was ‘‘too much’’.
Mr. Mtayachalo said the increase will have serious economic repercussions not only on business but on the majority Zambians.
“You cannot effect 50 percent hike this month and again effect another 25 percent in September; this will be unprecedented and will have ripple effects and at the end of the day it is the common man who will bear the brunt.
“It must also be realised that the producers of goods and services will pass the cost to the consumer and as such, the cost of living will go up beyond the reach of majority Zambians.
“I am wondering why the Government is in a hurry to implement cost reflective tariffs instead of doing it in phases by implementing it between the periods,” he said
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Mr. Mtayachalo further proposed that the life line tariff should be increased from 300 units to 500 units charged at K0.15 pkw.
He said that the wages of privatisation increased unemployment and poverty levels which the country was still nursing.
He said the economy of the country was fragile and could not cope with the high cost of doing business.
‘‘The argument cannot hold because we are a developing country we need a lower cost of doing business to attract foreign direct investment,” he said.
Mr. Mtayachalo urged Government to continue attracting more investors into the energy sector.