Ghana’s Public Utilities Regulatory Commission Increases water, electricity tariffs for some following 3rd quarter review

The Public Utilities Regulatory Commission (PURC) of Ghana has conducted a review of utility tariffs, resulting in adjustments for certain customer categories. The changes, made under the framework of the Quarterly Tariff Review Mechanism and Guidelines, are set to take effect from September 1st and will remain in place until the end of the year.

Power Lines Electricity
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Electricity Tariff Changes

The PURC has given the nod for a 4.22 percent increase in electricity tariffs that will apply across the board for non-lifeline residential customers. This increment reflects a broader consideration of various factors impacting utility service costs.

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Differential Treatment for Different Customers

However, the tariff adjustments aren’t uniform for all customer groups. Lifeline customers, who often belong to vulnerable or lower-income segments, will not experience any tariff increments. This is in line with efforts to shield these customers from additional financial burden while maintaining essential services.

Moreover, industrial customers and non-residential customers, including businesses such as hairdressing salons, barber shops, chop bars, tailoring and dress-making shops, cold stores, and other small- and medium-scale enterprises, will also be exempt from the tariff adjustments.

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Water Tariff Modifications

For water tariffs, the commission has approved a marginal 1.18 percent increase, applicable to most customer categories. However, similar to the approach with electricity, the lifeline customers for water services will not be subject to any tariff increments.

Photo of gray faucet PURC
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Guiding Principles

The PURC has emphasized that its decision-making process was guided by a comprehensive approach, taking into consideration the ultimate welfare of consumers, the financial health of utility providers, and the prevailing general economic conditions in the country. This balanced approach aims to ensure that necessary utility services remain accessible and sustainable while considering the broader economic landscape.

As utility tariffs play a pivotal role in the daily lives of citizens and businesses, these measured adjustments reflect a delicate equilibrium between economic realities and consumer well-being.