Audio By Carbonatix
Finance Minister, Seth Terkper, has justified the government's decision to suspend a planned hike in prices of some petroleum products.
Although a civil society group, African Center for Energy Policy (ACEP), has admonished government to stop meddling in utility provider-consumer affairs, the Minister has insisted government the intervention is necessary.
John Peter Amewu, Director of Research and Policy at ACEP, told Joy Business on Tuesday that government's intervention in halting the price increase opens up the problematic issue of unsustainable government subsidies again.
He noted that the balance sheets of the utility providers, especially those of the Electricity Company of Ghana (ECG) and Volta River Authority (VRA) have not been the best because of non-payment of realistic tariffs by consumers, stressing the need for government to stop intervening on behalf of consumers.
"My worry is, are we as a country going to maintain this subsidy regime? And how long are we going to take that?...I don't think [the policy] is sustainable", he said.
However, Mr. Seth Tekper explained that the policy is sustainable. He said the Public Utilities Regulatory Commission (PURC), for instance, will ensure realistic prices are charged on consumers - as they are mandated to do.
"The policy is intact, government has not changed that policy. But that does not mean government is not going to watch other developments in the economy", the Minister said.
Meanwhile, the Minister, together with his deputies has started deliberations with Ministries, Departments and Agencies (MDAs) to examine what should go into the budget for 2014.
The Finance Minister met with the Minister for Roads and Highways, Alhaji Amin Amidu Sulemana, on Tuesday to determine how funding should be allocated to the sector next year.
According to government, this measure is important to ensure that projects are executed with due regard to the resources available.
Seth Tekper told Joy FM's Super Morning Show this is a sure way of ensuring that development projects do not get started when funds are not available.
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
-
MTN announces airtime and data sales blackout for January 2 in preparation for new VAT tariffs
10 minutes -
12 of the best TV shows to watch this January
12 minutes -
NPP begins nationwide exhibition of voter register for 2026 presidential primaries
33 minutes -
Senegal conclude Group D with comfortable win over Benin as both progress to Round of 16
1 hour -
Scores sleep overnight at Accra Sports Stadium more than 18 hrs ahead of Alpha Hour Convocation
2 hours -
When revenue collection hurts business
2 hours -
Creative Canvas 2025: Shatta Wale – Disruption as a strategy, dominance as the result
3 hours -
Is talk of “losses” by GoldBod just abstract drivel? Bright Simons asks
4 hours -
US Strikes: Ondo Amotekun arrests 39 fleeing suspected terrorists
4 hours -
New Passport Office opens in Techiman, bringing vital services closer to Bono East residents
5 hours -
Anthony Hopkins shares advice as he celebrates 50 years of sobriety
5 hours -
KTU Radio wins international award for its unique programme on World College Radio Day
5 hours -
German court jails man for drugging, raping and filming wife for years
5 hours -
Ashanti police intercept 2,600 AK-47 rounds and tactical gear at Asankare Barrier
5 hours -
Alhaji Agongo builds lifeline facility for Ghana Police Hospital’s ‘Unknown Patients’
5 hours
