The Public Utilities Regulatory Commission (PURC) is set to marginally adjust upwards prices of utilities such as electricity and water come July 2021.
The marginal increment in the prices by the PURC is expected to be around 8 percent on current utility charges.
PURC ahead of the implementation of the new tariffs has begun engagements with stakeholders to solicit their input on the upward adjustment in utility prices.
The increment tariffs according to the PURC is due to the rise in the operational costs of utility firms – Electricity Company of Ghana (ECG) and the Ghana Water Company Limited (GWCL).
With the new increment, businesses are expected to pay slightly lower tariffs than individual consumers in order to encourage more production to stimulate economic growth amid the Covid-19 pandemic.
Meanwhile, the PURC in March this year, also approved an upward review in non-tariff service charges requested by the Electricity Company of Ghana (ECG) and Northern Electricity Distribution Company (NEDCo).
The increment in the non-tariff service charges, the PURC noted, was in line with “prevailing market prices for the various cost items, service charges, and economic indicators.”
Non-tariff service charges are fees charged by the ECG and NEDCo for the their service of providing electricity to households and businesses.
The service charges are deducted once every month on purchased prepaid electricity – usually on the first purchased prepaid electricity for the month.
In January 2020, a non-tariff service charge for residential and non-residential usage of electricity were Ghs 2.94 pesewas and Ghs 12.43 pesewas respectively. This has however, been reviewed upwards to Ghs 20 for both residential and non-residential usage of electricity.
The new non-tariff service charge as noted by PURC, is also scheduled to take effect from June 1, 2021.
