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Drought-Hit Zambia Boosts Power Imports to Combat Blackouts

Daba Finance/Drought-Hit Zambia Boosts Power Imports to Combat Blackouts
AFRICAN BUSINESS AND ECONOMYNovember 4, 2024 at 9:59 AM UTC

TLDR

  • Zambia increases electricity imports due to El Niño-induced drought impacting hydropower production
  • Zesco Ltd. imports electricity from South Africa, Mozambique, and the Southern African Power Pool to combat blackouts
  • Emergency tariff hikes approved by Zambia's energy regulator to cover rising import costs, with Zesco aiming for a five-hour daily power supply

Zambia has significantly increased electricity imports from neighboring nations to mitigate the impact of extended power outages caused by an El Niño-driven drought. This weather pattern has reduced hydropower production, Zambia's primary electricity source, leading to widespread blackouts across the country.

Zesco Ltd., the state-owned power utility, has been importing electricity from South Africa’s Eskom Holdings, Mozambique’s EDM, and the Southern African Power Pool. In response to rising import costs, Zambia's energy regulator recently approved emergency tariff hikes to cover the expenses, with a review set for three months.

While Zesco aims to deliver a steady five-hour power supply daily, it warns that unforeseen factors could disrupt this schedule. So far, only the mining sector has maintained stable power access, while other consumers have received an average of three hours per day due to the drought—the worst Zambia has experienced in over a century.

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Key Takeaways

Zambia’s increased power imports underscore the economic impacts of climate-driven weather patterns on infrastructure. Hydropower, which constitutes around 85% of Zambia’s electricity generation, has been critically strained by persistent droughts, highlighting the need for diversification in Zambia's energy sector. The extended blackouts have impacted daily life and the non-mining economy, slowing productivity and raising the cost of doing business.

Relying on power imports has brought limited relief but also raised tariffs, underscoring the financial burden of climate resilience measures.

Zambia
Economy
Blackouts
Electricity
Power Shortage

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