By Daily Revelation Editor
Last Friday, we reported in our lead story that the Government of the Republic of Zambia, through the Energy Regulation Board (ERB), has approved ZESCO’s application to supply 120 megawatts (MW) of energy to the neighbouring Democratic Republic of Congo (DRC).
This is according to the approval letter signed by ERB Director General Elijah Sichone dated January 6, 2025.
The same Friday, March 7, 2025, the ERB issued a press statement purporting to clarify this transaction. In their so-called clarification, the ERB accused us at Daily Revelation of misleading the public because Zambia is currently exporting only 30 MW to the DRC while the approved 120 MW is for future trade.
We have carefully read Sichone’s approval letter dated January 6, 2025 and the ERB press statement dated March 7, 2025. However, we have difficulty seeing where we are misleading the public. In fact, it will be safer to say it is actually ERB that is misleading the public. Why do we say so?
The ERB letter of approval is very clear and we reproduce it here for easy of reference. It is addressed to ZESCO Managing Director Justine Loongo under reference: RESUBMISSION OF POWER SUPPLY AGREEMENT (PSA) BETWEEN ZESCO LIMITED AND PETRODEX TRADING LCC FOR APPROVAL.
“Reference is made to the above captioned matter.
The Energy Regulation Board (ERB) has considered your resubmitted application for regulatory approval of the Prepayment Power Supply Agreement (PSA) between ZESCO Limited (ZESCO) and Petrodex Trading LCC (Petrodex) relating to 120 MW for onward conveyance to the Democratic Republic of Congo (DRC).
After due consideration of the matter, the Board has resolved to APPROVE the PSA at the agreed energy tariff of US$c7.95/kWh for the first 30 MW and US$c8.20kWh for any additional power above the 30 MW.
The PSA has been approved subject to parties obtaining approval from the Minister of Energy to export power pursuant to Section 17 of the Electricity Act No. 11 of 2019.
Should you require any clarity on this matter, do not hesitate to contact the undersigned.
Yours Faithfully.”
This is the ERB approval for ZESCO to export power to the DRC. But in her Friday’s press statement, ERB Public Relations Manager Namukolo Kasumpa stated: “The Energy Regulation Board (ERB) has noted with concern reports that may mislead the public in some sections of the media. This is regarding the matter of Zambia’s export of 120 Megawatts (MW) of electricity to the Democratic Republic of Congo (DRC).
The public may wish to know that Zambia has through ZESCO Limited, signed a Power Supply Agreement (PSA) with Petrodex LCC of Congo DR, for future supply of up to 120 MW. The country is not currently exporting 120 MW of electricity to Congo DR as reported on some media platforms.
The ERB emphasizes that the agreement Between ZESCO and Petrodex LCC is for future trade. Zambia currently only exports 30 MW to Petrodex LCC due to pre-existing agreements entered before Zambia’s energy crisis.
According to the agreement, exports to Petrodex LCC will only increase after sufficient improvement in Zambia’s hydrological and the in-land generation beyond 700MW. This will ensure that ZESCO retains a huge portion of its generation for in-country consumption before exporting.
The ERB wishes to reaffirm its continued commitment to effectively regulate the energy sector and to being responsive to stakeholder needs to achieve sustainable, reliable and quality energy products and services.”
So where have we misled the public? The ERB approval is very unequivocal. It approved ZESCO’s application to supply 120 MW of electricity to the DRC with the first 30 MW at a cost of US$c7.95/kWh and US$c8.20/kWh “for any additional power above the 30 MW.”
In this approval, there was no mention of future supply of the 90 MW tied to “sufficient improvement in Zambia’s hydrological and the in-land generation beyond 700 MW,” to “ensure that ZESCO retains a huge portion of its generation for in-country consumption before exporting.”
The ONLY condition clearly stated in the ERB approval letter was for ZESCO and Petrodex to obtain approval from the Minister of Energy “to export power pursuant to Section 17 of the Electricity Act No. 11 of 2019.”
Now, the ERB claims that ZESCO is currently supplying 30 MW to Petrodex in line with the contract executed before Zambia got into a power crisis, and that the remaining 90 MW will be supplied after the hydrological conditions improve. However, in ERB approval letter, there was no indication of there having been an earlier contract for the supply of 30 MW, to be followed by another one for an additional 90 MW.
If such a contract existed before, the ERB is encouraged, in the interest of transparency, to furnish the nation with the details of the same contract, and all the contracts entered into with Petrodex together with the ZESCO resubmitted application which resulted in this approval.
Our understanding is that the January 6, 2025 ERB approval clearly indicates that the 30 MW supply contract came into effect on that same day as the 90 additional megawatts (altogether 120 megawatts), as opposed to claims by ERB.
The ERB says “Zambia currently only exports 30 MW to Petrodex LCC due to pre-existing agreements entered before Zambia’s energy crisis.” If this is true, why then is this 30 MW still subjected to the minister of Energy’s approval before the power can be exported when the ERB is saying the 30 MW is already being exported in line with the earlier executed contract?
And assuming the 90 MW are for future trade, why did ZESCO apply now for authority to export this 90 MW instead of waiting for the time of “sufficient improvement in Zambia’s hydrological and in-land generation beyond 700 MW?
When these questions are answered honestly, it will not be difficult for any discerning person to see that ERB is covering up something here.
We have no intention to mislead the public in our reporting because we are bound by the professional ethics obliging us to report factually. Should we get our facts wrong, we will not hesitate to apologise and correct the record.
For now, ERB better put its house in order and stop falsely accusing and maligning a media house that is professionally working hard to objectively, factually and fairly inform the nation on matters of public concern.
Clearly, there is something that ERB and ZESCO are finding uncomfortable to explain about this transaction. When we contacted the ZESCO managing director Justine Loongo, prior to the publication of the story, he asked why we could not get comments from ERB on the matter. But is it ERB that initiated the application to export electricity to the DRC in the midst of the power crisis in the country? And when we look at how the ERB letter was titled (RESUBMISSION OF POWER SUPPLY AGREEMENT (PSA) BETWEEN ZESCO LIMITED AND PETRODEX TRADING LCC FOR APPROVAL), it clearly shows that ZESCO was making a second attempt at this application after the earlier one was turned down.
And why is it difficult for Loongo, who has been entrusted with the mandate to manage a highly sensitive public utility, to explain the rationale of their decision to export power to DRC in the midst of a deficit at home?
We demand transparency and accountability from those individuals and institutions that are privileged to manage public institutions on behalf of Zambians. Zambians would like to appreciate why they should continue to endure long hours of loadshedding when ZESCO is busy exporting power to Namibia and the DRC.
It’s ERB misleading the public on power exports to DRC
By Daily Revelation Editor
Last Friday, we reported in our lead story that the Government of the Republic of Zambia, through the Energy Regulation Board (ERB), has approved ZESCO’s application to supply 120 megawatts (MW) of energy to the neighbouring Democratic Republic of Congo (DRC).
This is according to the approval letter signed by ERB Director General Elijah Sichone dated January 6, 2025.
The same Friday, March 7, 2025, the ERB issued a press statement purporting to clarify this transaction. In their so-called clarification, the ERB accused us at Daily Revelation of misleading the public because Zambia is currently exporting only 30 MW to the DRC while the approved 120 MW is for future trade.
We have carefully read Sichone’s approval letter dated January 6, 2025 and the ERB press statement dated March 7, 2025. However, we have difficulty seeing where we are misleading the public. In fact, it will be safer to say it is actually ERB that is misleading the public. Why do we say so?
The ERB letter of approval is very clear and we reproduce it here for easy of reference. It is addressed to ZESCO Managing Director Justine Loongo under reference: RESUBMISSION OF POWER SUPPLY AGREEMENT (PSA) BETWEEN ZESCO LIMITED AND PETRODEX TRADING LCC FOR APPROVAL.
“Reference is made to the above captioned matter.
The Energy Regulation Board (ERB) has considered your resubmitted application for regulatory approval of the Prepayment Power Supply Agreement (PSA) between ZESCO Limited (ZESCO) and Petrodex Trading LCC (Petrodex) relating to 120 MW for onward conveyance to the Democratic Republic of Congo (DRC).
After due consideration of the matter, the Board has resolved to APPROVE the PSA at the agreed energy tariff of US$c7.95/kWh for the first 30 MW and US$c8.20kWh for any additional power above the 30 MW.
The PSA has been approved subject to parties obtaining approval from the Minister of Energy to export power pursuant to Section 17 of the Electricity Act No. 11 of 2019.
Should you require any clarity on this matter, do not hesitate to contact the undersigned.
Yours Faithfully.”
This is the ERB approval for ZESCO to export power to the DRC. But in her Friday’s press statement, ERB Public Relations Manager Namukolo Kasumpa stated: “The Energy Regulation Board (ERB) has noted with concern reports that may mislead the public in some sections of the media
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Related
By Daily Revelation Editor
Last Friday, we reported in our lead story that the Government of the Republic of Zambia, through the Energy Regulation Board (ERB), has approved ZESCO’s application to supply 120 megawatts (MW) of energy to the neighbouring Democratic Republic of Congo (DRC).
This is according to the approval letter signed by ERB Director General Elijah Sichone dated January 6, 2025.
The same Friday, March 7, 2025, the ERB issued a press statement purporting to clarify this transaction. In their so-called clarification, the ERB accused us at Daily Revelation of misleading the public because Zambia is currently exporting only 30 MW to the DRC while the approved 120 MW is for future trade.
We have carefully read Sichone’s approval letter dated January 6, 2025 and the ERB press statement dated March 7, 2025. However, we have difficulty seeing where we are misleading the public. In fact, it will be safer to say it is actually ERB that is misleading the public. Why do we say so?
The ERB letter of approval is very clear and we reproduce it here for easy of reference. It is addressed to ZESCO Managing Director Justine Loongo under reference: RESUBMISSION OF POWER SUPPLY AGREEMENT (PSA) BETWEEN ZESCO LIMITED AND PETRODEX TRADING LCC FOR APPROVAL.
“Reference is made to the above captioned matter.
The Energy Regulation Board (ERB) has considered your resubmitted application for regulatory approval of the Prepayment Power Supply Agreement (PSA) between ZESCO Limited (ZESCO) and Petrodex Trading LCC (Petrodex) relating to 120 MW for onward conveyance to the Democratic Republic of Congo (DRC).
After due consideration of the matter, the Board has resolved to APPROVE the PSA at the agreed energy tariff of US$c7.95/kWh for the first 30 MW and US$c8.20kWh for any additional power above the 30 MW.
The PSA has been approved subject to parties obtaining approval from the Minister of Energy to export power pursuant to Section 17 of the Electricity Act No. 11 of 2019.
Should you require any clarity on this matter, do not hesitate to contact the undersigned.
Yours Faithfully.”
This is the ERB approval for ZESCO to export power to the DRC. But in her Friday’s press statement, ERB Public Relations Manager Namukolo Kasumpa stated: “The Energy Regulation Board (ERB) has noted with concern reports that may mislead the public in some sections of the media. This is regarding the matter of Zambia’s export of 120 Megawatts (MW) of electricity to the Democratic Republic of Congo (DRC).
The public may wish to know that Zambia has through ZESCO Limited, signed a Power Supply Agreement (PSA) with Petrodex LCC of Congo DR, for future supply of up to 120 MW. The country is not currently exporting 120 MW of electricity to Congo DR as reported on some media platforms.
The ERB emphasizes that the agreement Between ZESCO and Petrodex LCC is for future trade. Zambia currently only exports 30 MW to Petrodex LCC due to pre-existing agreements entered before Zambia’s energy crisis.
According to the agreement, exports to Petrodex LCC will only increase after sufficient improvement in Zambia’s hydrological and the in-land generation beyond 700MW. This will ensure that ZESCO retains a huge portion of its generation for in-country consumption before exporting.
The ERB wishes to reaffirm its continued commitment to effectively regulate the energy sector and to being responsive to stakeholder needs to achieve sustainable, reliable and quality energy products and services.”
So where have we misled the public? The ERB approval is very unequivocal. It approved ZESCO’s application to supply 120 MW of electricity to the DRC with the first 30 MW at a cost of US$c7.95/kWh and US$c8.20/kWh “for any additional power above the 30 MW.”
In this approval, there was no mention of future supply of the 90 MW tied to “sufficient improvement in Zambia’s hydrological and the in-land generation beyond 700 MW,” to “ensure that ZESCO retains a huge portion of its generation for in-country consumption before exporting.”
The ONLY condition clearly stated in the ERB approval letter was for ZESCO and Petrodex to obtain approval from the Minister of Energy “to export power pursuant to Section 17 of the Electricity Act No. 11 of 2019.”
Now, the ERB claims that ZESCO is currently supplying 30 MW to Petrodex in line with the contract executed before Zambia got into a power crisis, and that the remaining 90 MW will be supplied after the hydrological conditions improve. However, in ERB approval letter, there was no indication of there having been an earlier contract for the supply of 30 MW, to be followed by another one for an additional 90 MW.
If such a contract existed before, the ERB is encouraged, in the interest of transparency, to furnish the nation with the details of the same contract, and all the contracts entered into with Petrodex together with the ZESCO resubmitted application which resulted in this approval.
Our understanding is that the January 6, 2025 ERB approval clearly indicates that the 30 MW supply contract came into effect on that same day as the 90 additional megawatts (altogether 120 megawatts), as opposed to claims by ERB.
The ERB says “Zambia currently only exports 30 MW to Petrodex LCC due to pre-existing agreements entered before Zambia’s energy crisis.” If this is true, why then is this 30 MW still subjected to the minister of Energy’s approval before the power can be exported when the ERB is saying the 30 MW is already being exported in line with the earlier executed contract?
And assuming the 90 MW are for future trade, why did ZESCO apply now for authority to export this 90 MW instead of waiting for the time of “sufficient improvement in Zambia’s hydrological and in-land generation beyond 700 MW?
When these questions are answered honestly, it will not be difficult for any discerning person to see that ERB is covering up something here.
We have no intention to mislead the public in our reporting because we are bound by the professional ethics obliging us to report factually. Should we get our facts wrong, we will not hesitate to apologise and correct the record.
For now, ERB better put its house in order and stop falsely accusing and maligning a media house that is professionally working hard to objectively, factually and fairly inform the nation on matters of public concern.
Clearly, there is something that ERB and ZESCO are finding uncomfortable to explain about this transaction. When we contacted the ZESCO managing director Justine Loongo, prior to the publication of the story, he asked why we could not get comments from ERB on the matter. But is it ERB that initiated the application to export electricity to the DRC in the midst of the power crisis in the country? And when we look at how the ERB letter was titled (RESUBMISSION OF POWER SUPPLY AGREEMENT (PSA) BETWEEN ZESCO LIMITED AND PETRODEX TRADING LCC FOR APPROVAL), it clearly shows that ZESCO was making a second attempt at this application after the earlier one was turned down.
And why is it difficult for Loongo, who has been entrusted with the mandate to manage a highly sensitive public utility, to explain the rationale of their decision to export power to DRC in the midst of a deficit at home?
We demand transparency and accountability from those individuals and institutions that are privileged to manage public institutions on behalf of Zambians. Zambians would like to appreciate why they should continue to endure long hours of loadshedding when ZESCO is busy exporting power to Namibia and the DRC.
It’s ERB misleading the public on power exports to DRC
By Daily Revelation Editor
Last Friday, we reported in our lead story that the Government of the Republic of Zambia, through the Energy Regulation Board (ERB), has approved ZESCO’s application to supply 120 megawatts (MW) of energy to the neighbouring Democratic Republic of Congo (DRC).
This is according to the approval letter signed by ERB Director General Elijah Sichone dated January 6, 2025.
The same Friday, March 7, 2025, the ERB issued a press statement purporting to clarify this transaction. In their so-called clarification, the ERB accused us at Daily Revelation of misleading the public because Zambia is currently exporting only 30 MW to the DRC while the approved 120 MW is for future trade.
We have carefully read Sichone’s approval letter dated January 6, 2025 and the ERB press statement dated March 7, 2025. However, we have difficulty seeing where we are misleading the public. In fact, it will be safer to say it is actually ERB that is misleading the public. Why do we say so?
The ERB letter of approval is very clear and we reproduce it here for easy of reference. It is addressed to ZESCO Managing Director Justine Loongo under reference: RESUBMISSION OF POWER SUPPLY AGREEMENT (PSA) BETWEEN ZESCO LIMITED AND PETRODEX TRADING LCC FOR APPROVAL.
“Reference is made to the above captioned matter.
The Energy Regulation Board (ERB) has considered your resubmitted application for regulatory approval of the Prepayment Power Supply Agreement (PSA) between ZESCO Limited (ZESCO) and Petrodex Trading LCC (Petrodex) relating to 120 MW for onward conveyance to the Democratic Republic of Congo (DRC).
After due consideration of the matter, the Board has resolved to APPROVE the PSA at the agreed energy tariff of US$c7.95/kWh for the first 30 MW and US$c8.20kWh for any additional power above the 30 MW.
The PSA has been approved subject to parties obtaining approval from the Minister of Energy to export power pursuant to Section 17 of the Electricity Act No. 11 of 2019.
Should you require any clarity on this matter, do not hesitate to contact the undersigned.
Yours Faithfully.”
This is the ERB approval for ZESCO to export power to the DRC. But in her Friday’s press statement, ERB Public Relations Manager Namukolo Kasumpa stated: “The Energy Regulation Board (ERB) has noted with concern reports that may mislead the public in some sections of the media
You can subscribe to read all our past and latest ePapers, plus all premium content at only K22 weekly and K65 monthly on this link
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