Consumers feel the burn as electricity tariffs jump 29.96%
The Public Utilities Regulatory Commission (PURC) in Ghana has announced an increase in tariffs for electricity and water for the first quarter of 2023, citing the need to prevent extended power outages and the impact of currency depreciation and inflation on utility companies.
Effective from 1 February, electricity tariffs will rise by 29.96% and water tariffs by 8.3%.
The PURC stated that it considered the exchange rate of the Cedi against the US dollar, inflation, generation mix and the weighted average cost of natural gas before setting the new tariffs.
In addition to the rate increases, the commission approved varying adjustments for selected industrial and commercial consumers as part of the ongoing restructuring of the existing water rate structure.
For example, water tariffs for bottled water and drink producers were reduced from GHp/m3 4595.84 to GHp/m3 3000, while that of industrial service also decreased from GHp/m3 1351.45 to GHp/m3 2000.
This is not the first time tariffs have been increased. In September 2022, tariffs for electricity and water were raised by 27.15% and 21.55% respectively in a major tariff review.
At the time, the Ghana Water Company Limited requested a 334% tariff increase and the Electricity Company of Ghana called for a 148% increase.
The new tariffs will be in effect for January to March 2023 and will impact all consumer groups.
