The consistent and sustainable provision of energy is a key determinant to the well-being of any economy. With electricity being the major source of energy used not only in business and industrial processes, it is imperative that this energy resource be availed.
The electricity supply industry (ESI) is dominated by government owned power entities , namely the Zimbabwe Power Company (ZPC) and the Zimbabwe Electricity Transmission and Distribution Company (ZETDC).
ZPC operates and manages five power stations while ZETDC carries out the system/network operator function, operates the transmission and distribution networks and conducts trade regionally through the Southern African Power Pool (SAPP).
Some independent power producers also operate through production for own consumption or for trading.
Who Is Regulated
ZERA regulates any person or private companies that operate an electricity undertaking which generates, transmit, distributes, or retail electricity for commercial purposes in excess of 100kilowatts (kW).
How Are They Regulated?
ZERA issues the following licences subject to applicants satisfying the terms and conditions spelt out in the relevant Acts:
(a) Generation licence authorises the licensee to construct, own, operate and maintain a generation station for purposes of the generation and supply of electricity to any transmission, distribution or supply licensee who purchases electricity for resale to consumers. A holder of a generation licence includes a generating company outside Zimbabwe that is entitled under an arrangement approved by the Authority to sell power to Zimbabwean licensees or consumers.
(b) Transmission and bulk supply licences authorises the licensee to carry out grid construction, operation, and maintenance of transmission facilities within Zimbabwe; and to carry out the operation of an electric power network.
(c) Distribution and retail supply licences authorises licensee to construct, operate and maintain a distribution system and facilities including the connection of customers for the purpose of receiving a supply of electricity; the installation, maintenance and reading of meters, billing and collection.
• Technical audits
• Compliance audit
• Licensing of operators
• Tariff approval
• Promotion and awareness raising of energy efficiency and renewable energy
• Light handed regulation on power projects less than 100Kw