Audio By Carbonatix
The Northern Electricity Distribution Company (NEDCo) has submitted a proposal to the Public Utilities Regulatory Commission (PURC) seeking approval for a sharp increase in its Distribution Service Charge.
This follows similar tariff proposals from the Electricity Company of Ghana (ECG), the Ghana Grid Company (GRIDCo), and the Volta River Authority (VRA).
NEDCo has proposed a tariff of 153.03 pesewas per kilowatt-hour for 2025, compared to the current 56.474 pesewas, marking a 171% increase.
Speaking during a public hearing in Accra on Tuesday, September 9, the Director in Charge of Commercial at NEDCo, Hashim Iddrisu, said: “We’re proposing an increase of 171%. We expect that the new tariff that we’re proposing will have an impact on our performance, our collection rate will increase, and distribution losses will improve from 31% to 21%.”
According to the utility company, its operational area is geographically vast with a sparse customer base, and only 0.01 per cent of customers are on special load tariffs, limiting its ability to generate sufficient revenue to cover fixed and variable costs.
The company clarified that for 2025, its variable cost per unit is projected at 67.10 pesewas, with fixed costs estimated at 85.92 pesewas per unit, figures that together justify the proposed tariff.
It added that a significant portion of its capital expenditure, such as network expansion, meters, and IT systems, is denominated in foreign currency, which has worsened its financial pressures.
Latest Stories
-
Mahamud Iddi wins TCL Electronics worth GH¢100,000 in EGL’s Akye3de3 Kese3 Promotion
2 hours -
Lands Minister, NAIMOS mourn fallen soldier killed during anti-galamsey operation in Obuasi
3 hours -
Ghana Impact Project donates $20k to restore mobility for children
3 hours -
JoyNews’ Kwaku Asante named Best Radio and TV Journalist in Parliamentary Reporting
4 hours -
Education Ministry updates EMIS indicators to strengthen ICT integration in schools
4 hours -
Interior Ministry declares Christmas, Boxing Day and New Year’s Day public holidays
4 hours -
President Mahama directs Finance Ministry to disburse $78m for completion of Takoradi–Agona-Nkwanta road
5 hours -
Interior Minister lauds NIA staff for dedication, pledges continued government support
5 hours -
First Atlantic Bank will run a “proper and decent business” to protect shareholder value – CEO
5 hours -
First Atlantic Bank targets African expansion as IPO strengthens capital, governance
5 hours -
First Atlantic Bank CEO attributes IPO and GSE listing decision to renewed confidence in Ghana’s economy
6 hours -
GPL 2025/26: Bechem United end All Blacks 6-game unbeaten run
6 hours -
Eggs fly off shelves as shoppers throng The Multimedia Group’s X’mas Egg Market on final day
7 hours -
Bankable energy: Why Africa’s downstream sector is the next global investment frontier
7 hours -
Working Capital Management: Do’s and don’ts to consider for 2026
8 hours
