PURC defers tariff announcement

GWCL wants 334% increase in tariff

Some challenges need to be addressed, Dr Ackah on tariff announcement deferment

The Public Utilities Regulatory Commission (PURC) has postponed the announcement of new tariffs for 2022 to 2027 multi-year major tariff to July 15, 2022.

In a press statement sighted by GhanaWeb, the Executive Secretary of PURC, Dr Ishmael Ackah, said the Commission identified several issues during the analysis and examination of the tariff proposals that need further deliberations and engagements.

The deliberations and engagements with the utility companies, Dr Ackah said, will help address the challenges.

"The Commission has scheduled a meeting with the regulated utilities to afford them the opportunity of providing clarity and justifications for some of the figures quoted in their proposals, and to respond to some important issues raised during the tariff analysis," Dr Ackah said in the statement.

"The Commission has adopted these steps to ensure that, only prudent and efficient costs are passed on to consumers of the regulated utilities while sustaining the financial viability of the utilities," he added.

Dr. Ackah assured consumers of a transparent and fair process that will benefit both consumers and the regulated utility companies.

It would be recalled that the Electricity Company of Ghana (ECG) and the Ghana Water Company Limited (GWCL) have earlier made claims for an increment in their tariffs.

The Electricity Company of Ghana demanded a 148% increase in tariff.

A proposal from the power distributor submitted to the Public Utilities Regulatory Commission (PURC) wants the adjustment to cover the period 2019 and 2022.

ECG also proposed an average increase of 7.6% in tariff over the next four years to cover Distribution Service Charges (DSC).

The Ghana Water Company Limited, on the other hand, requested a 334% increase in tariff.

These proposals generated widespread conversation with many Ghanaians asking the PURC to reject these proposals.

But the issue has been tabled before PURC and are looking into the matter.

ESA/FNOQ