vp joice mujuru 29.09.10.jpgGovernment has issued operating licenses to 5 companies which are generating their own power while selling surplus to the Zimbabwe Electricity Supply Authority for national consumption.

 

As government continues to seek ways of building capacity within the manufacturing sector, a number of firms have been licensed to generate power to boost production capacity which has remained low for several years.

 

Addressing captains of industry at the launch of the 2010 Confederation of Zimbabwe Industries manufacturing sector survey, Vice President Joice Mujuru said government has issued 5 firms with operating licenses to generate their own power and supply the surplus to the national grid.

 

Cde Mujuru challenged local and foreign companies to invest in the energy sector.

 

“It is noted that growth was retarded due to inadequate electricity and working capital. Thus, there is need for massive investment in electricity generation.
 
“Government has opened up this sector for investment by either local or foreign investors. Zimbabwe has untapped potential sources of hydro-electricity, massive reserves of coal, reported deposits of methane gas….to date around 5 companies have been issued with operating licenses and are already generating their own and selling generated surplus to ZESA for national consumption,” said Cde Mujuru.

 

Vice President Mujuru added that the manufacturing sector is key to economic performance, hence the need for the financial service sector to collaborate with industry in increasing availability of lines of credit which have been affected by the existence of illegal economic sanctions imposed on the country by the west.

 

zesa.jpg”I urge the financial sector in liason with other relevant stakeholders to put in place concrete measures to improve liquidity situation. Government is committed to mobilising resources and enabling business to access lines of credit with international financial institutions and also through our regional co-operating partners in SADC, COMESA and AU.

 

“We believe there will be a more positive response once the sanctions imposed on Zimbabwe are lifted, hence our call for the lifting of the sanctions on Zimbabwe continues unabated,” added  Cde Mujuru.

 

Unreliable supply of electricity has been cited as a major drawback to economic growth.

The power utility has blamed lack of investment in the energy sector as a contributory factor to erratic power supply.