The Public Utility Regulatory Commission (PURC) says it has received proposals from both the Electricity Company of Ghana (ECG) and the Ghana Water Company (GWCL) for a possible increase in utility tariffs in the country.
PURC says the two utility companies have both made a strong case for a new tariff regime that will cover their operational cost.
Speaking to Citi News, Head of Public Relations and External Affairs at PURC, Bawah Munkaila said the Board of the PURC will meet the utility providers before making a decision.
“It is now left to the PURC to analyse and go through the necessary processes in arriving at tariffs that we think are realistic,” he said.
The last increment in utility tariffs was in October 2019.
At a public forum on Thursday, April 8, 2021, the Managing Director of the Electricity Company of Ghana (ECG), Kwame Agyeman-Budu, suggested that the company needs more funds to support its operations and be more effective.
This request is coming on the heels of erratic power cuts in Ghana.
Timing for proposed increment in electricity tariffs wrong – Consumer Protection Agency
But the Chief Executive Officer of the Consumer Protection Agency, Kofi Kapito, had said any possible increment in electricity tariffs would be ill-timed.
Though he acknowledged the need for an increase in tariffs, he instead urged the Public Utility Regulatory Commission to focus on seeking compensation for customers who have lost electrical gadgets due to the recent erratic power supply.
“The timing is very wrong considering what the Ghanaian is going through when it comes to these recent power outages. The outages are the concern of the Ghanaian. I think if the outages are solved or resolved, we can look at these non-tariffs that ECG is proposing,” Mr. Kapito said in a Citi News interview.
“PURC should actually look at what has gone on with the recent power outages as to how they will compensate Ghanaians who might have their appliances destroyed,” he added.
Residents in Kumasi kick against ECG’s proposal for tariff increment
Some residents and business owners within the Greater Kumasi Metropolitan Area of the Ashanti Region, have also kicked against the proposed increment in utility tariffs.
“We won’t agree to this tariff increment. They [ECG] should focus on fixing the light before talking about increasing the tariffs, otherwise, we won’t accept it,” a fashion designer, Sadia Adams fumed.
“We hardly get light for our businesses. If there is any intention of increasing the tariff in this current state, it will badly affect us. This is because we are already facing challenges with our businesses and there is no money in the system,” another resident, Moro Ahmed indicated.