By OLIVER SAMBOKOZESCO made a loss of over US$1 billion from the Power Purchase Agreements it entered into with Independent Power Producers (IPPs), the 2020 Auditor General’s report on parastatals has revealed.The report revealed that during the period under review, Zesco Limited procured power from IPPs at higher rates which it sold to customers cheaply.The report revealed that Zesco bought 6, 749, 524, 592.28 kWh of electricity from 11 domestic PPA customers at costs amounting to US$1, 781, 302, 250.84 which were sold for US$402, 324, 247.61 resulting in a loss of US$1, 378, 978, 003.22.Zesco’s profit before tax decreased by K4, 971, 054, 000 from K19, 595, 000 in 2015 to a loss of K4, 990, 649, 000 in 2019.The report indicated that although the company recorded profits after tax of K1, 308, 639, 000; K345, 567, 000 and K1, 560, 679, 000 in 2016, 2017and 2018 respectively, these profits were due to tax […]
ZESCO loses $1bn from unfair deals
