The Public Utilities Regulatory Commission (PURC) has started developing a new electricity tariff regime tailored for businesses operating under the government’s 24-hour economy policy.

When introduced, the new regime is expected to offer lower or reduced tariffs during off-peak hours to encourage nighttime economic activities within the country.

With the new tariff structure, businesses that consume power between 11 p.m. and 4 a.m. will benefit from significantly lower electricity costs, supported by the installation of special smart meters.

The initiative, which is currently undergoing technical and regulatory assessment in collaboration with the Energy Commission and the Electricity Company of Ghana (ECG), is expected to take effect by the fourth quarter of this year.

The Executive Secretary of PURC, Dr Shafic Suleman, in an exclusive interview with the Daily Graphic in Accra, stated that the policy was aimed at boosting commercial activities, supporting electric vehicle adoption and driving the success of the country’s emerging night-time economy.

“Under this new regime, a special electricity tariff will be introduced for consumers who use power between 11 p.m. and 4 a.m., although the policy is still being finalised.

“Eligibility will apply to individuals and businesses that sign onto the 24-hour economy initiative, particularly those intending to operate around the clock,” he said.

Background

The reduction in electricity tariffs was one of the flagship campaign promises of the governing National Democratic Congress (NDC) while it was in opposition.

President John Dramani Mahama, then the flag bearer of the NDC, indicated on several campaign platforms that his government would ensure reduced electricity tariffs for businesses operating under the 24-hour economy.

Since taking office, the President has spearheaded the establishment of the 24-Hour Economy and Accelerated Export Development Authority under the 24-Hour Economy Authority Act, 2026.

The authority is to serve as the central coordinating body to implement the policy, aligning public and private sector efforts and addressing infrastructure and regulatory needs.

Time-of-use

The Executive Secretary of PURC stated that it had prioritised the introduction of a “time-of-use” tariff system as a central component of the new pricing framework.

Dr Suleman explained that the concept was under evaluation following the approval of the 24-hour economy policy to help establish varying electricity prices based on usage periods.

He said the policy was designed to encourage electricity use at night, with the time-of-use model serving as a tool to influence and regulate consumption patterns across sectors.

Dr Suleman added that the initiative would be reinforced by a regulatory framework being developed in partnership with the Energy Commission to ensure effective implementation.

Smart metering

To support the rollout of the policy, Dr Suleman stressed that it had been collaborating with the ECG to introduce specialised smart meters that would automatically apply reduced tariffs during designated hours.

“So, you would buy a special meter, and it would function normally during the day, but from 11 p.m., it would automatically charge a lower tariff until early morning,” he explained.

He said the automated system would enable consumers to benefit seamlessly without requiring manual adjustments, while also enhancing operational efficiency.

Regarding timelines, he said that implementation was being targeted within the year, subject to the completion of technical processes and meter deployment.

“We were hoping to roll it out by the third quarter, around July to September, or possibly between October and December, depending on how quickly we coordinated with ECG on the availability of the meters,” he stated.

He added that the commission would first introduce the tariff structure before allowing market participants to respond accordingly.

Economic impact

The PURC boss stated that the proposed tariff regime was expected to significantly support the 24-hour economy by encouraging increased business activity at night and lowering operational costs.

He said the initiative would also facilitate the adoption of electric vehicles (EVs), as reduced night-time tariffs would make charging more affordable.

He said that a stable and reliable electricity supply would be key to the success of the initiative, as energy would lead the night economy because nobody would want to operate in the dark.