Public Utilities Regulatory Commission summoned to appear before Committee of Parliament
Ghana’s Public Utilities Regulatory Commission (PURC) has come under pressure to explain its decision to raise electricity and water tariffs.
Mines and Energy Committee of Parliament has summoned the PURC to appear before the committee and provide clarification on the rationale behind the 29.96% and 8.3% increases, respectively, which were announced on January 16.
The PURC has defended the increases, stating that the utility companies are significantly under-recovering and require an upward adjustment of tariffs in order to keep the lights on and water flowing.
The commission added that it was mindful of the current difficult economic circumstances but noted that the potential for outages would be catastrophic for Ghana and had to be avoided.
The Chairman of the Committee, Abuakwa South Lawmaker, Samuel Atta Ahyea, said, “We, as a committee, think about the generality of the people of Ghana. If the PURC should roll out any programme or decision and there is not clarity, the people will not understand why, in the circumstances we find ourselves, we should have an upward review of utilities.”
PURC’s decision has sparked concern among consumers and businesses, who are already struggling with the economic impacts of the COVID-19 pandemic.
The PURC has stated that it sought to balance the prevention of extended power outages and its deleterious implications on jobs and livelihoods with minimizing the impact of rate increases on consumers.
This development highlights the challenges that regulators face in balancing the interests of consumers and utility companies in Ghana, particularly in the current economic climate.
The appearance of the PUC before the committee could provide crucial insight into the decision-making process and help to mitigate public concern.
