Increases in utility tariffs show that government does not have regard for the plight of the people, journalist Abdul Malik Kweku Baako Jnr has said.
Speaking on Peace FM’s morning show ‘Kokrokoo’, Wednesday, the Editor-In-Chief of the New Crusading Guide newspaper added that the timing of the increases show gross insensitivity to the difficult times that Ghanaians are going through.
The Public Utility Regulatory Commission (PURC) announced a 59% increase in electricity as well as 67% increase in water tariffs which are expected to take effect from December 14, 2015.
The commission says it considered factors such as Consumer Interest, Investor Interest, Economic Development of the country, the Generation Mix, Fuel mix, Availability of the Service, Growth in Demand, Power Purchase Cost, Revenue Requirement (to ensure Financial Viability of the Utility Service Providers) and the Cedi-Dollar Exchange Rate in setting the new rates.
The increments come at a time when the economy of Ghana is very fragile and a-four-year erratic supply of power has led to the collapse of Industries and businesses.
Some unions have condemned the hikes in utility prices, some have threatened to demonstrate.
But Veteran Journalist Kweku Baako says the reasons given by the PURC have always been the same. The reasons have been given on other occasions when utility companies wanted increments.
“The reasons are the same, none of it is new if you do a cross check I think that the same thing,” he stated.
Kweku Baako is of the view that consumers will not be able to pay for utilities if the poor services continue and the prices keep increasing.
“The laying off of workers by industries is their way of demonstrating against how things are going. It will get to a stage where consumers will not be able to pay,” he said.
Mr Baako added that “If they are able to pay then they will downsize (industries will cut down labour and cut down the hours of work) and it will cripple the economy the more and the revenue the government is seeking he will not get.”
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