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Manufacturers waiting cost-of-service study – ZAM

• The study seeks to do an overview analysis of electricity in Zambia.
• Zambia Association of Manufacturers applauds the commissioning of the 750 Mega Watts Kafue Gorge lower.
• Estimated increase in generational capacity will also reduce downtime which some manufacturers have been facing during load shedding

Zambia Association of Manufacturers says it is expecting to see conclusion of the cost-of-service study following welcomed increase in installed power generation capacity through the commissioned Kafue Gorge Lower Hydro Power Station.

ZAM Chief Executive Officer Florence Muleya responded to Money FM News in a Press Query that the study seeks to do an overview analysis of electricity in Zambia, in order to identify inefficiencies and price electricity accordingly.

Mrs. Muleya noted that “with the deadline having been extended twice, manufacturers have been eagerly waiting to see the findings of the study and how they will affect electricity prices.”

She however said Zambia Association of Manufacturers applauds the commissioning of the 750 Megawatts Kafue Gorge lower as it is a boost to Zambia’s installed generation capacity.

According to Mrs. Muleya, “despite the fact that installed generation capacity and actually generated capacity due to adverse climatic conditions, the Kafue Gorge lower is an investment which increases Zambia’s installed generation capacity to 3,550 Mega Watts.”

She stated that the estimated increase in generational capacity will also reduce downtime which some manufacturers have been facing during load shedding and will enable them to operate at full capacity.

“This development comes at a time when the manufacturing sector is poised to grow, after coming from a slowdown during the Coronavirus 19 pandemic, and therefore will need a steady supply of power to keep machines running,” she said.

Her comment comes following the commissioning of the second unit of Kafue Gorge Lower Hydro power station in Chikankata District of Southern Province.

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