The Public Utilities Regulatory Commission (PURC) has authorized a tariff increase for residential usage this morning, increasing the cost of electricity by 5.8 percent and water by 5.1 percent.
The PURC ascribed the increase to a number of factors, including cedi devaluation, inflation, fuel costs, and the balance of energy producing sources.
In their May 31 announcement, PURC stated that rates for lifeline users will rise 3.45%.
“…there will be 3.45% increase in electricity tariffs for lifeline consumers (0-30kWh); 5.84% increase for all other residential consumers who are not part of the lifeline category bracket (31 kWh and above) as well as the non-residential category,” announced the PURC.
However, the industrial group would see a 4.92% increase in power costs.
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According to a statement signed by PURC’s Executive Secretary, Ishmael Ackah, the reviews were conducted in accordance with the Commission’s Quarterly Tariff Review Mechanism, which tracks and incorporates movements in key uncontrollable factors such as the exchange rate between the US dollar and the Ghana cedi, domestic inflation rate, electricity generation mix, and fuel cost, primarily natural gas.
In addition, the Commission claims to have taken into account the competitiveness of industries and Ghanaians’ overall living circumstances when conducting its study.
Read Full Statement Below:
