Mismanagement of funds at ZESA the major contributor of load shedding …Audit

By Staff Reporter

An audit report by Price WaterHouse Coopers has revealed that the currently incessant power cuts and unscheduled load shedding are a result of mismanagement of funds by ZESA and its subsidiaries.

The audit revealed that besides other many ills, top managers were also splashing money on top of the range vehicles which they were not entitled to in the first place.

A Final Forensic Investigation Report (January 2019) seen by this publication indicates that Zesa Enterprises (ZENT) acquired equipment which includes transformers, electricity meters and cables among other machinery which is lying idle at ZENT warehouse in Harare.

According to the report, that equipment is worth more than US$1.5 million and this loss comes at a time when ZESA is struggling to pay its service providers such as ESKOM of South Africa which they owe about US$43 million.

ZESA insiders revealed that the managers in the procurement department would connive with suppliers and pocketed kickbacks while purchasing equipment which the power utility had no use of.

The report further states that a “dubious” company Zebra Consultancy started working and financially benefiting from Zimbabwe Electricity Transmission Distribution Company (ZETDC) in 2003 with no contract.

“We discovered that Zebra Consultancy started working for ZETDC from September 2003 without a contract,” reads part of the audit.

According to sources within ZESA Holdings, over a billion dollars was paid to Zebra consultancy to dig trenches over the period in question and the records were all distorted by some senior managers.

“Over a billion dollars was paid to Zebra Consultancy to dig trenches and some top managers (names supplied) were behind the deal and they were benefiting and some are believed to be behind the company’s shareholding.

Show More

Daniel Chigundu

Daniel Chigundu is a male journalist in Zimbabwe and has been practising since September 2009. He used to the editor for The Business Connect (newspaper) in Harare, has his own news website Tourism Focus which is biased towards the tourism sector. Daniel is also working with Magamba Network on their project called Open Parliament where they do live coverage of Parliamentary activities on Twitter and Facebook. He is currently the secretary-general of the Zimbabwe Parliamentary Journalists Forum, is a member of Zimbabwe Small Broadcasters Association and a board member of Digital Communication Network. He holds a Diploma in Communication and Journalism from the Christian College of Southern Africa (CCOSA), a certificate in Youth leadership training from the Friedrich Ebert Stiftung (FES), a certificate in Citizen Journalism from Magamba Network and is currently a first-year student at Zimbabwe Open University studying for a Bachelor of Arts Honours in Ethics and Organisational Leadership.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Please wait...

Subscribe to our newsletter

Want to be notified when new articles are published? Enter your email address and name below to be the first to know.