Audio By Carbonatix
The Chief Executive Officer of the Volta River Authority, Kweku Awotwi, says the authority might be compelled to consider shutting down its thermal plants should electricity tariffs remain unchanged.
The VRA is demanding tariff increases to enable it expand and deliver more efficient services to consumers.
At an inter-agency public forum in Accra on Monday, the VRA and other electricity distribution companies including GRIDCO and ECG pushed strongly for the need for consumers to pay more for electricity.
“When we ask for tariff increase, it’s to reflect the cost of hydro which is fairly inexpensive as well as the cost of thermal which is much more expensive.
“The right tariff will cover our cost, will allow for maintenance, and will allow for expansion. If it’s below that, it makes it difficult to the point that we might consider cutting our thermal – which is unthinkable because people will not get electricity,” Mr Awotwi said.
The VRA currently generates about 800 megawatts of thermal and 1200 megawatts hydroelectric energy.
The last tariff increase was in 2007, Mr Awotwi indicated and although consumption has been increasing since then, consumers pay the amount for a unit of electricity.
Mr Awotwi said power consumption has been increasing with at the rate of GDP increase of 6 – 7 percent annum.
According to him, the increase in tariff is necessary to take care of the current level of demand.
The VRA has already served the Public Utilities and Regulatory Commission (PURC) a proposed tariff range, Mr Awotwi said.
The PURC is expected to start a nationwide consultation on the tariff increases and to draw its conclusions.
The Ghana Grid Company (GRIDCo), which distributes power, also made a strong case for some urge in the pricing of power.
Chief Executive Mr Charles Darko told the forum in Accra that the electricity supply sector is on the verge of a major transformation.
Mr Darko believes power generation in Ghana is likely to experience the recent revolution happening in the telecom industry.
Play attached audio for excerpts of Awotwi's presentation at the public forum
Story by Fiifi Koomson/Myjoyonline.com/Ghana
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Tags:
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Latest Stories
-
Vice President launches Mfantsipim’s 150 years of shaping Ghana’s greatest mind
7 minutes -
I assure Otumfuo, Mahama will join him to commission KNUST Teaching Hospital by end of this year – Haruna Iddrisu
49 minutes -
Gov’t to roll out free special education for persons with disabilities from July 1 – Education Minister
1 hour -
“We used it to test our officiating officials’ readiness” – Bawah Fuseini after CAA Athletics event
2 hours -
Volleyball emerges as Ghana’s fastest rising sport
2 hours -
National Sports Fund needs strong leadership from the top – Administrator David Wuaku
2 hours -
JoySports Exclusive: Steve McLaren in talks with GFA after expressing interest in Black Stars job
2 hours -
Fire guts auto parts warehouse at Bubuashie, one fire officer injured
2 hours -
I owe my victory to coach Ofori Asare – Allotey after winning WBA Africa Gold Super Flyweight belt
2 hours -
Church of Pentecost supports over 2,000 BECE candidates in Obuasi with career guidance seminar
4 hours -
Brandon Asante and Coventry all but promoted to Premier League despite Sheffield Wednesday draw
4 hours -
GPL 2025/26: Late Kwartemaa strike downs Hearts in Tema
4 hours -
Ghana Faces Sierra Leone Moment as Prosecutorial Powers come under strain
5 hours -
Don’t consume fish or seafood from Tema Shipyard until further notice – FDA warns
5 hours -
Why volunteering might be Africa’s most underrated career accelerator
5 hours