Econet to Invest in Alternative Power

  • The blackouts have also exacerbated mobile network operators’ need for foreign currency as it is the medium for exchange for diesel and procurement of spare parts.
  • ECONET Wireless Zimbabwe says it will increase investment in alternative power solutions to ensure reliable network availability during power outages.

ECONET Wireless Zimbabwe says it will increase investment in alternative power solutions to ensure reliable network availability during power outages. In the trading update for the third quarter to November 2022, EWZ said it was implementing green energy initiatives complemented by continued investment in diesel engine generators to counter grid supply interruptions. Growing its green energy footprint will also reduce energy costs while advancing the firm’s drive to attain carbon neutrality for its entire business and supply chains by 2030. Last year alone, the group installed over 100 solar base stations. Zimbabwe faces power challenges as output at its key power stations is curtailed due to old equipment or low water levels in Lake Kariba, which has negatively impacted businesses,

Charles Banda, EWZ company secretary, in a statement accompanying the firm’s trading update for the third quarter to November 2022. “Due to the unreliable national power grid, the business continues to invest in alternative power solutions to ensure network availability. As green energy solutions such as solar and battery storage require significant foreign currency investment, the pace of investment has remained below desired levels, impacting service quality. The business has also had to continue investing in diesel engine generators despite sharp declines in available grid power.”

Most base stations run on electricity but have lately grown to rely on diesel generators due to load-shedding, making it hard to provide quality services. Power outages and high fuel prices have resulted in companies losing revenue in real terms as working capital continues to grow ahead of income, leading to reduced network investment. “The increased power blackouts have posed a serious challenge to operational efficiencies, impacting the overall quality of service and raising the cost of service provision,” said Dr Machengete. In the outlook, EWZ said it would focus on network maintenance, sustained innovation, and expansion to ensure the delivery of enhanced digital offerings to the clientele in line with evolving global trends.

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