Coal miners are seeking US dollar payments for supplies to power utility Zesa citing high operating costs and failure to access forex on the auction system.
About 90% of coal produced by local miners is consumed by local power stations.
Energy Minister Zhemu Soda: “They want Zesa to pay in forex because they are not getting enough from the auction system,”. “They need to import fuel, consumables & spares. It is something that we are looking at but for now we are trying to see if they can access RTGS fuel.”
The price of coal is pegged at US$30/t, payable at the official exchange rate. Coal Producers Associat chair Linos Masimura confirmed requesting US$ payments for coal supplies.”We have sent the request and we are waiting for feedback,”
“But as it is, the viability of the coal miners is seriously eroded.” Almost everything (costs) is US dollars; fuel, consumables, spares and now labour.“