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The Independent Observer > News > Tough times expected if cost effective tariffs are implemented-ANDD

Tough times expected if cost effective tariffs are implemented-ANDD

By MAIMBO MWEEMBA
The Advocates for National Development and Democracy (ANDD) says tough times are expected if the UPND government goes ahead to effect cost reflective tariffs on electricity and fuel.

ANDD Executive director Samuel Banda said that the plan to make Zesco tariffs and fuel prices cost reflective is going to be catastrophic for the SME’s and general populace.

Mr Banda said that they are aware that cost reflective prices basically mean that government will remove subsidies that have ensured energy prices are kept affordable for the average Zambian and wiping them off will merely cause untold misery to the general public.

He also observed that citizens involved in small businesses in Zambia such as barbershops and metal works to name a few, will be negatively affected as the cost of doing business will significantly go up leading to loss of revenue and jobs.

“Electricity costs are too high for the average household in the country to manage, we also note that the inevitable increase in fuel prices will lead to higher costs in various sectors of the economy, leading to transport becoming expensive, and other goods and services in Zambia will go up” he said.

Mr Banda further questioned if Zambia in its current state is ready for such a sudden hike in the cost of living.

He has subsequently advised the UPND administration to rescind their decisions of proposed increase in fuel prices and Zesco tariff units.

“While we know and appreciate that Zambians are resilient and have the ability to survive almost anything, we however do feel that right now everyone needs a break from sacrifices that will make our lives harder to live” he said.