Ghana News

We won’t allow consumers to bear demands of utility providers – PURC

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The Public Utility Regulatory Commission (PURC) is assuring consumers that it will not grant some of the demands made by utility providers.

The Electricity Company of Ghana and the Ghana Water Company Limited are demanding over a 100% increment in tariff to meet what they call operational cost.

The PURC is currently meeting all stakeholders across the country before announcing new tariffs.

The Chairman of the Technical Committee of the PURC, Ishmael Edjekumhene said “PURC is considering the proposals presented by the utility providers, after which we will make a decision.”

“What I am certain of is no way will consumers be made to bear the outrageous cost.”

The Electricity Company of Ghana had proposed that its tariffs be increased by 148% for 2022 and with 7.6% average adjustments between the periods of 2023 to 2026.

The proposed sharp increment, according to ECG, is due to the gap between the actual cost recovery tariff and PURC-approved tariffs as well as the cost of completed projects.

The GWCL also argued that while the average tariff per cubic metre in 2019 was 1.27 USD, the same was reduced to USD 1.13 as a result of cedi depreciation.

The GWCL said this has affected its ability to carry out repairs and replacements of aged and obsolete equipment and pipelines.

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