Zimbabwe increases electricity tariffs by more than 200%

August 2, 2019
| Report Focus News

Harare – Zimbabwe has with immediate effect hiked electricity tariffs by more than 200%.

This was announced by Finance Minister Mthuli Ncube during the presentation of the mid term budget review.

For domestic consumers’ Ncube said electricity tariffs will now average 3 US cents per kilowatt/hour from 1 US cents.

“In the short term, power supply deficit can only be met through power imports and hence it is urgent that the government capacitates ZESA to mobilise requisite resources through appropriate cost recovery tariffs implemented through a differentiated scale,” Ncube said.

ZESA will be allowed to bill exporting firms in foreign currency which should be ring-fenced in a special account solely for purposes of importing electricity, the minister added.

Ncube did not announce any new pay increases to cushion government workers whose salaries have been eroded by the resurgent inflation.

The finance minister however did raise the tax-free threshold from the current ZW$350 to ZW$700