Electricity and water tariffs up by 27.15%, 21.55% respectively; effective September 1
Electricity and water tariffs are up by 27.15% and 21.55% respectively. The increment is to take effect from September 1,2022.
The Public Utility and Regulation Commission (PURC) has announced the tariff, but was quick to add that they acknowledged the economic difficulties faced by consumers but said without these tariff increases, the utility providers may not meet their mandate.
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“In balancing interests of the service providers and consumers, the PURC acknowledged that the very economic variables that have occasioned the steep increases proposed by the service providers also affect the consumers.
The Commission, however, admitted that some level of increases in utility tariffs were inevitable if the nation was to avoid another power crisis and its attendant effects including job losses.
PURC, therefore, decided to increase the average end-user tariff for electricity by 27.15% and water by 21.55%, effectively September 1.”
You will recalled that the Electricity Company of Ghana(ECG) had earlier demanded 148% increase in tariff.
The proposal from the power distributor, submitted to the PURC requested the increment to cover the period 2019 and 2022
The ECG also proposed an average increase of 7.6% in tariff over the next four years. This they say is to cover Distribution Service Charges (DSC).
On the other hand, the Ghana Water Company Limited (GWCL) you will remember also demanded 334% increase in tariff.
This they indicated is because the approved tariffs over the years have not been fully cost-reflective. Consumers argued that that proposals for utility tariffs are too high.
Most consumers disagree strongly that the do not agree that the increase in utility tariff is commensurate with the services rendered.