By Yvonne Atilego
The much anticipated multi-year major tariff review for 2022-2027 by the Public Utilities and Regulatory Commission (PURC), will take effect in few days. The Commission has already engaged the Utility companies, CSOs and the public where it sought their views on proposed increases in tariffs. The proposals from the Utility companies have attracted widespread condemnation from the public with many questioning the quality of service provided by these utility companies.
The Electricity Company of Ghana wants tariffs to be increased by 148% for 2022 and with 7.6% average adjustments between the periods of 2023 to 2026. The sharp proposed 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. In a similar fashion, the Ghana Water Company is also proposing a 334 % increase in its tariffs to be able to at least recover its costs.
CSOs want utility companies to reduce inefficiencies, however, other stakeholders also believe it is time Ghanaians pay realistic tariffs to sustain the companies.
Commissioner at PURC, Ishmael Agyekumhene, during one of the recent engagements assured the public that their views will be considered before a decision will be taken.
In its recent report released earlier this month, the Commission says its stakeholder consultations have brought to the fore, some pertinent operational and technical challenges, which utility companies need to address going forward to enhance their operations, and to ensure better provision of services to customers.
The Commission adds that stakeholders have in turn been adequately informed about these challenges, interrogated the tariff proposals presented, and have also made valuable contributions that would help enhance operations and service delivery to customers.