By Daily Revelation Editor
The UPND administration has fired Energy Regulation Board (ERB) chairman Reynolds Bowa and put director general Yohane Mukabe on forced leave for allegedly hiking the fuel and electricity tariffs without consulting the government.
The ERB last week hiked the fuel prices from the highs of K31.12 to K35.56, while Zesco’s multi-year electricity tariff for retail consumers in terms of metered residential tariffs of kWh rose from 0.40 in 2023 to 0.44 in 2024 and will rise further to 0.54 in 2025, 0.63 in 2026 and 0.73 in 2027.
To imagine that Reynolds and Yohane effected such punitive hikes without consulting the government is hard to imagine, given how such matters are handled in this country.
Many have argued that Reynolds and Yohane have been used by President Hakainde Hichilema and his administration as scapegoats following the very harsh backlash from Zambians following the upward adjustments in energy costs. We agree with those holding such views.
We feel Reynolds and Yohane have been used as scapegoats. If that were not the case, their dismissal would have been followed by the government actually moving to swiftly correct the harsh prices and tariffs effected. But that has not happened, and should confirm to all of us the assertions being raised by those criticising the President.
Therefore, no one should actually be hoodwinked or be fooled by the government’s actions against the two gentlemen. The steep hikes should actually be blamed on Hakainde himself who has ensured an escalation in the price of petrol by over 100 percent, from K17.61 to K35.56 now in just over the two years he has been in office. The administration has also ensured that electricity tariffs for the next three years have been increased in advance, meaning more suffering for Zambians who have been hoping for a reprieve. It is actually an insurance policy or an insurance scheme that has been put in place by the administration to guarantee more suffering for Zambians in the years to come. And the blame squarely falls on Hakainde and his administration.
The hiked fuel and electricity prices will have a telling effect on the worsening high cost of living in the country. The hikes mean that the cost of production will increase. With that happening, it means that producers will pass on the cost onto the consumers, meaning increased prices for goods and services on the market.
Who ever thought just a few months ago that fuel prices would become normalised in the K20s per liter, worse off the higher K30s the same is trading at? Very soon, the prices will hit K40s and then K50s. It should actually not be ruled out that the price could even get to as far as K100 per liter by the time the UPND administration will be clocking five years in office.
This all is happening under the punishing 8-hour load shedding Zambians are having to endure every day.
The energy sector should not actually be left to the private sector. Government must play a leading role by actively engaging in the sector through Indeni and TAZAMA for instance.
Further, the administration must address the Kwacha that has been spiraling out of control by increasing production in the economy, which of course will be a challenge on account of the crippling load shedding and the hiked fuel prices and electricity tariffs. The government should also come up with a policy drive that will ensure that more is gotten from the mines in terms of increased taxation and heavy government involvement in the country’s main key industry, especially given the high copper prices on the international market.
The government must also move swiftly to remove the hiked electricity fees and the very high fuel prices. These cannot be left to market forces. If it requires subsidies, then let them be introduced since the main beneficiaries will be the Zambian people, who those in office were elected to serve and also to please.
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By Daily Revelation Editor
The UPND administration has fired Energy Regulation Board (ERB) chairman Reynolds Bowa and put director general Yohane Mukabe on forced leave for allegedly hiking the fuel and electricity tariffs without consulting the government.
The ERB last week hiked the fuel prices from the highs of K31.12 to K35.56, while Zesco’s multi-year electricity tariff for retail consumers in terms of metered residential tariffs of kWh rose from 0.40 in 2023 to 0.44 in 2024 and will rise further to 0.54 in 2025, 0.63 in 2026 and 0.73 in 2027.
To imagine that Reynolds and Yohane effected such punitive hikes without consulting the government is hard to imagine, given how such matters are handled in this country.
Many have argued that Reynolds and Yohane have been used by President Hakainde Hichilema and his administration as scapegoats following the very harsh backlash from Zambians following the upward adjustments in energy costs. We agree with those holding such views.
We feel Reynolds and Yohane have been used as scapegoats. If that were not the case, their dismissal would have been followed by the government actually moving to swiftly correct the harsh prices and tariffs effected. But that has not happened, and should confirm to all of us the assertions being raised by those criticising the President.
Therefore, no one should actually be hoodwinked or be fooled by the government’s actions against the two gentlemen. The steep hikes should actually be blamed on Hakainde himself who has ensured an escalation in the price of petrol by over 100 percent, from K17.61 to K35.56 now in just over the two years he has been in office. The administration has also ensured that electricity tariffs for the next three years have been increased in advance, meaning more suffering for Zambians who have been hoping for a reprieve. It is actually an insurance policy or an insurance scheme that has been put in place by the administration to guarantee more suffering for Zambians in the years to come. And the blame squarely falls on Hakainde and his administration.
The hiked fuel and electricity prices will have a telling effect on the worsening high cost of living in the country. The hikes mean that the cost of production will increase. With that happening, it means that producers will pass on the cost onto the consumers, meaning increased prices for goods and services on the market.
Who ever thought just a few months ago that fuel prices would become normalised in the K20s per liter, worse off the higher K30s the same is trading at? Very soon, the prices will hit K40s and then K50s. It should actually not be ruled out that the price could even get to as far as K100 per liter by the time the UPND administration will be clocking five years in office.
This all is happening under the punishing 8-hour load shedding Zambians are having to endure every day.
The energy sector should not actually be left to the private sector. Government must play a leading role by actively engaging in the sector through Indeni and TAZAMA for instance.
Further, the administration must address the Kwacha that has been spiraling out of control by increasing production in the economy, which of course will be a challenge on account of the crippling load shedding and the hiked fuel prices and electricity tariffs. The government should also come up with a policy drive that will ensure that more is gotten from the mines in terms of increased taxation and heavy government involvement in the country’s main key industry, especially given the high copper prices on the international market.
The government must also move swiftly to remove the hiked electricity fees and the very high fuel prices. These cannot be left to market forces. If it requires subsidies, then let them be introduced since the main beneficiaries will be the Zambian people, who those in office were elected to serve and also to please.
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