Zim power crisis deepens

14 February 2012 - 02:33
By Sapa-AFP
Mozambique’s Hydro Cahora Basa power plant. File photo
Image: Supplied Mozambique’s Hydro Cahora Basa power plant. File photo

Zimbabwe's energy minister warned that the country risks losing electricity imports from its major supplier if it fails to pay a $90-million debt to Mozambique's Hydro Cabora Bassa dam.

"That is one debt that we have got to service because if we do not service it our major source of power will go away," minister Elton Mangoma told a committee of lawmakers.

Mangoma said the Zimbabwe Electricity Supply Authority had piled up almost a billion dollars in unpaid electricity imports, unserviced loans and outstanding contributions to a joint power project with neighbour Zambia.

"At this stage, with the cash flows of the electricity authority there is no possibility of repaying them.

"We are not planning in the short term to have them repaid but that treasury when they are looking at their debt management will be able to look at that."