Business
Mozambique cuts off electricity exports to Zimbabwe over unpaid debts
Thursday, March 15, 2012
The Cahora Bassa hydroelectric plant in Mozambique, provides electricity to Mozambique, Zimbabwe and South Africa.
Mozambique’s power utility has cut off electricity supplies to Zimbabwe over an outstanding US$80 million debt.
The drastic move has forced Zimbabwe to intensify load shedding, private newspapers reported on Thursday.
The Zimbabwe Electricity Supply Authority (Zesa) has been struggling to pay for electricity imports to complement depressed local generation capacity.
It owes Mozambique’s Hydro Caharo Basas (HCB) US$80 million but an agreement had been reached that would have seen Zesa paying 50 percent of the debt.
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