GRIDCo seeks over 130% tariff hike to sustain operations

The Ghana Grid Company (GRIDCo) has submitted a request to the Public Utilities Regulatory Commission (PURC) for approval to more than double its transmission service tariff in 2025 from the current 5.6422 pesewas to 12.9768 pesewas per kilowatt-hour.

This represents a 130% increase from the Q1 2025 rate.

GRIDCo argues that the current tariff is no longer cost-reflective and falls short of supporting its operational and infrastructure needs.

In its multi-year proposal (2026–2030), the utility company projects more moderate annual increases, with tariffs ranging between 13.04 and 13.44 pesewas per kilowatt-hour, excluding statutory levies.

Samuel Kow Acquah, Acting Director of Corporate Strategy at GRIDCo, explained that the sharp increase in the first year is necessary to stabilise operations and fund critical investments, noting that future increases would be modest.

“We’ve implemented several cost-saving measures to avoid burdening consumers unnecessarily.

“The jump to GHS12.96 per kilowatt-hour in the first year is essential, but after that, annual adjustments will be minimal, around 0.5% or less,” he said.

He added that if the tariff adjustment is approved, GRIDCo could even consider a 0.5% reduction in 2027, with small increases of 0.1% to 2.5% from 2028 to 2030.

“This level of support is critical,” Acquah emphasised, “to roll out the infrastructure investments we’ve outlined and maintain a stable, reliable power grid.”