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
-
Ga Adangbe traditional priests petition Mahama over McDan aviation licence revocation
9 minutes -
Anti-LGBTQ Bill: NDC’s arrogance is worrying – Hassan Tampuli
19 minutes -
Let’s give OSP time to mature, not to scrap it – Hassan Tampuli
23 minutes -
Nigeria convicts 386 Islamist militants in mass trials
28 minutes -
Djibouti president wins election with 97.8% of vote, state media saysÂ
33 minutes -
We don’t have mandate to deduct tax from rent allowance of security services personnel – Interior Ministry clarifies
47 minutes -
Ablakwa receives Presidential Special Envoy on Reparations to advance global agenda
1 hour -
Christina Koch becomes first woman to travel around the moon on Artemis II
1 hour -
Epstein survivors’ calls to meet King Charles and Queen harder to ignore as US visit approaches
1 hour -
UN Secretary-General names Ghana’s Anita Kiki Gbeho as South Sudan envoy
1 hour -
Mali withdraws recognition of Sahrawi Republic, backs Morocco’s autonomy plan
1 hour -
Gov’t distributes over 8,500 laptops to One Million Coders project
1 hour -
Julius Debrah, ‘man to beat’ as NDC’s James Agbey dismisses Musah Dankwah’s polls
2 hours -
GPRTU in Savannah Region to protest alleged eviction in Damongo
2 hours -
Re: Reinsurance does not replace process — A response to the SIGA–SIC defence
2 hours