By: Ashiadey Dotse
The Public Utilities Regulatory Commission (PURC) has announced new increases in electricity and water tariffs, which will take effect from January 1, 2026.
The announcement follows the completion of the 2026–2030 Multi-Year Tariff Review process, carried out under the PURC Act, 1997 (Act 538). According to the Commission, the review became necessary to support utility investment needs and ensure reliable services while considering the living conditions of consumers.
Under the new adjustments, electricity tariffs will go up by 9.86% across all customer groups. Water tariffs will also increase by 15.92% for all consumers over the same period.
The PURC explained that the major tariff review done every 3 to 5 years takes into account both capital expenditure (CAPEX) and operational expenditure (OPEX). This is different from the quarterly reviews, which focus only on operational costs such as changes in inflation, exchange rates, fuel prices, and shifts in the generation mix.
The Commission said the review considered several key factors including:
The investment needs of utility companies from 2026 to 2030.
Economic conditions such as inflation and the cedi-to-dollar exchange rate.
Changes in the cost of fuel, especially natural gas.
Stakeholder consultations and regional public hearings.
PURC also indicated that quarterly tariff adjustments will continue to be applied to protect utilities from unexpected cost increases while ensuring consumers are not overburdened.
As part of reforms in the new MYTO (Multi-Year Tariff Order), the PURC has also introduced a mini-grid tariff system. This seeks to support electricity supply to island and remote communities by including their service costs in the Volta River Authority’s revenue requirements.
The Commission said these new tariffs will remain in place for the next five years, ending in 2030, unless quarterly adjustments dictate otherwise.
The PURC assures the public that the new tariff structure aims to balance the financial health of utility providers with fair pricing for consumers.
