Treasury suspends duty on Zesa equipment

In an interview with The Herald, Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube said the Government expected to achieve single-digit year-on-year inflation in ZiG by the first quarter of this year, a milestone not seen in nearly three decades.

Farirai Machivenyika-Senior Reporter

Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube yesterday suspended duty on power equipment, critical spares and transformer components imported by subsidiaries under Zesa Holdings.

The suspension was announced in Statutory Instrument 93 of 2024 cited as Customs and Excise (Suspension) (Amendment) Regulations, 2024 (No. 272) published in an Extraordinary Government Gazette yesterday.

The suspension of duty will be for a two-year period on power equipment, critical spares and transformer components imported by ZESA Enterprises (ZENT), Zimbabwe Electricity Transmission and Distribution Company (ZETDC) and Zimbabwe Power Company (ZPC).

Reads a part of the new regulations: “Subject to this section and to such conditions as the (Zimra) Commissioner General may fix, a suspension of duty shall be granted for a period of two years, on power equipment, critical spares following commodity codes, imported by ZENT, ZETDC, the successor company of the ZETDC and the ZPC.”

Zesa has suffered from vandalism and theft of its equipment, especially transformers with the suspension of duty expected to lessen the replacement burden.