The Public Utilities Regulatory Commission (PURC) of Ghana has announced new electricity and water tariff increments of 3.02% and 1.86%, respectively, effective October 1, 2024.
These adjustments are part of the PURC’s routine quarterly review to align tariffs with key economic indicators, including the US Dollar/Ghana Cedi exchange rate, inflation, and natural gas costs.
In a statement, the PURC explained that the tariff increment was necessary due to several factors, including a 4.96% depreciation of the cedi against the dollar from the second to the third quarter of 2024, along with rising inflation and gas prices.
As a result, the electricity sector faces a revenue shortfall of GH₵173.98 million, while the water sector is short by GH₵12.01 million.
“Following the quarterly tariff review, the Commission wishes to inform the public that there will be a 3.02% increment in electricity tariffs and a 1.86% increment in water tariffs for the third quarter of 2024 for all categories of customers,” part of the statement read.
The Commission explained that the increments are necessary to ensure the financial stability of utility providers, including the Electricity Company of Ghana (ECG), Ghana Water Limited (GWL), and Northern Electricity Distribution Company (NEDCo) while balancing consumer protection.
PURC stressed that regulated utilities are expected to meet a revenue collection benchmark of 98%, which is critical to the sustainability of the energy and water sectors.
The statement assured consumers that it will continue to monitor the operations of utility companies to ensure value for money and improve service quality.