Zera records $1,1m surplus

via Zera records $1,1m surplus | The Herald 30 December 2014

The Zimbabwe Energy Regulatory Authority (Zera) says it recorded a $1,1 million surplus from its operations in the financial year ending 2013, up from a profit of $313 722 the previous year.

The 2013 Zera annual report released shows the authority has managed to live within its means and not depend on Government bailouts like most State-linked institutions.

The bulk of Government-owned or linked institutions are reportedly also failing to produce annual reports in line with good corporate governance practices.

According to its latest financial, Zera’s revenue increased to $10,7 million from $9,4 million the previous year.

Annual electricity levies, charged at one percent of sales and paid by all generating, transmission and distribution companies in the sector, accounted for the bulk of Zera’s income at $8,4 million, followed by petroleum license fees at $1,1 million, electricity license fees at $816 817 000 while the remainder came from license application fees.

The energy regulator also earned nearly $500 000 in investment income up from $350 000 the previous year.

Employee costs, at $2 million up from $940 000 the previous year were among the authority’s biggest expenditure items.

Zera employed 26 people by the end of 2013.

“In the year under review, Zera managed to raise sufficient funds for operations and capital expenditure. Funds were raised mainly through electricity levies, license fees and investment income,” the authority said.

Zera said the number of license applications in the petroleum sector shot up 64 percent to 470 during the year.

With more players having joined the energy’s sector this year, the authority is likely to remain in the black in the 2014 financial year. — New Ziana.