The Public Utility Regulatory Commission (PURC) is assuring consumers of some respite ahead of the utility tariff adjustments.

The Chairman of the Technical Committee of PURC, Ishmael Edjekumhene, said the Commission will not approve any unreasonable tariffs.

“PURC is considering the proposals presented by the utility providers, after which we will make a decision.”

“What I am certain of is that there is no way consumers will be made to bear the outrageous cost.

Meanwhile, the Commission is currently meeting all stakeholders across the country before announcing new tariffs.

PURC had earlier said it will consider the interest of all stakeholders in determining the new utility tariffs.

“PURC will weigh the concerns of the consuming public and other stakeholders. We’ll consider the interest of the consuming public and the investor community and protect the interest of the utility company by making sure that it is financially viable.

“We will also look at our regulatory benchmark, including the allowable losses, and all these are put together, so it isn’t just an academic exercise,” Head of Public Relations and External Affairs of PURC, Ali Simon Jarana said in a media interview.

Demands by utility providers

The Electricity Company of Ghana and the Ghana Water Company Limited are demanding over a 100% increment in tariff to meet what they call operational cost.

The Electricity Company of Ghana had proposed that its tariffs be increased by 148% for 2022 and with 7.6% average adjustments between the periods of 2023 to 2026.

The proposed sharp increment, according to ECG, is due to the gap between the actual cost recovery tariff and PURC-approved tariffs as well as the cost of completed projects.

The GWCL also argued that while the average tariff per cubic metre in 2019 was 1.27 USD, the same was reduced to USD 1.13 as a result of the cedi depreciation.

The GWCL said this has affected its ability to carry out repairs and replacements of aged and obsolete equipment and pipelines.

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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.