Nhava Bharats Maamba Collieries (MCL) coal fired plants has suffered major glitches due to failure to meet its maintenance costs fueled by ZESCOs inability to service its outstanding arrears.
“Maamba Collieries makes a significant contribution to the national grid, and provides a vital diversification from the reliance on hydropower that has proved so vulnerable to climate change. We stand ready, willing and able to supply significant base load power to the nation,” said Maamba Collieries Chief Executive Officer, Rear Admiral Venkat Shankar. MCL CEO could not disclose the amount owed exactly.
“But without payment from ZESCO – our sole source of revenue – we have insufficient funds to pay for costly spare parts and maintenance as also the project dues to our principal equipment supplier whose expertise we depend on, which is not a desirable situation in these times of energy crisis that the country is facing and may face over the next couple of years.”
Zambia currently grapples with a 700MW energy deficit due to weak power generation capacity following receding dam levels at the Kariba. Africa’s red metal hotspot has resorted to buying power from independent producers such as Maamba Collieries as it looks to plugging the deficit with 300MW imports from South Africa’s Eskom and 150MW from Mozambique’s EDM.
ZESCO Limiteds Public Relations Office Bieber in a memo on 30 October regretted to inform its esteemed customers and the general public that the outage period for the generator which was taken out at Maamba Collieries Limited (MCL) Power Station 12 days ago has been extended until further notice due to unforeseen circumstances encountered during repair works.
The effects of this extension have been borne by Zambians through extended load management as the power utility finds means of absorbing the energy bottleneck.
During the period of the shutdown, generation at Maamba Collieries limited will remain at 50% of the dispatchable capacity. The daily 15 hours load shedding has been effected in order to protect the generation installations.
Zambia power utility is faced with widening debt and a tariff structure that is not cost reflective amidst a cost of service study that has been ongoing for years.
The Kwacha Arbitrageur