Consumer Protection Agency Urges PURC to Suspend Planned Utility Tariff Hikes, Cites Lack of Stakeholder Consultation
The Consumer Protection Agency (CPA) has called on the Public Utilities Regulatory Commission (PURC) to immediately halt its planned adjustment of utility tariffs, citing the absence of mandatory stakeholder consultations and consumer representation.
The PURC, in an earlier publication, announced proposed upward tariff adjustments of 14.75% for electricity and 4.02% for water, slated to take effect on May 2, 2025. However, the CPA maintains that the intended increases are premature and risk undermining public trust in the regulatory process.
In a statement signed by Nana Prempeh Okogyeabour Aduhene, Director of Mediation and Arbitration at the CPA, the agency questioned the legitimacy of the Commission’s decision-making process, particularly following the dissolution of its Technical and External Committees.
“These two important committees were dissolved following the assumption of the new government,” the CPA stated. “We strongly believe that the PURC didn’t do much consultation and also the interest of consumers was not properly represented.”
The CPA underscored the critical role played by these committees, which are mandated under the PURC Act, 1997 (Act 538). The Technical Committee is tasked with reviewing tariff applications, assessing methodologies, conducting benchmarking exercises, and performing technical audits. The External Committee, on the other hand, functions as a community-based feedback mechanism, aiding the PURC in gathering consumer insights and proposing service delivery improvements.
The CPA argued that without the reconstitution of these committees, the Commission’s decision to proceed with tariff increases lacks legitimacy and fails the test of fairness, transparency, and inclusivity.
“There are several concerns raised by consumers in relation to utility services in the country which have not been given the needed attention by the PURC and therefore need to be addressed before any tariff increases will be accepted by consumers,” the statement noted.
Beyond the procedural irregularities, the CPA also expressed concern over the quality of service delivery by utility providers, pointing to unresolved complaints that have been consistently flagged by consumers.
The Agency concluded its statement by urging the PURC to fulfil its statutory mandate of ensuring reliable and affordable utility services, and to suspend the proposed tariff adjustments until broad-based consultations are conducted and consumer interests are adequately represented.
