Tariffs hike to reduce power cuts – Sampa

Miles Sampa
Miles Sampa
Commerce, Trade and Industry Deputy Minister, Miles Sampa says while the increase in ZESCO electricity tariffs will result in the high cost of production, this will also help reduce the power outages affecting the manufacturing industry.

Speaking during the official opening of the 28th Zambia Association of Manufactures (ZAM) Annual General Meeting in Lusaka this morning, Mr. Sampa notes that one of the challenges the manufacturing industry has been facing is power cuts.

Mr.Sampa says the problem of intermittent power supply affecting manufacturers will be addressed once new hiked tariffs come into effect next month.

He notes that the manufacturing industry is one important sector in terms of job creation and fostering economic development.

Speaking earlier, ZAM President Bright Chunga, said a report done by the International Council of Mining and Metals (ICMM) on the social-economic benefits of mining in Zambia has indicated that annual recurrent expenditure by mining companies in Zambia on manufacturers including low technology products currently being manufactured in Zambia has increased to over one point eight billion dollars (US$ 1.8 million).

Dr. Chunga says the mining sector provides a platform for manufacturers to foster the growth and development of the manufacturing sector and ensure manufacturing contributes meaningfully to GDP growth, export earnings and job creation.

Dr. Chunga has also observed that the space occupied by locally manufactured products on the shelves of international chain stores remains small and probably decreasing.

He says local manufacturers need more space and more products on the shelves of chain stores.


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