The Public Utilities Regulatory Commission (PURC) has defended its recent tariff adjustments, asserting that they were necessary due to various economic and operational indicators. The Commission recently announced a 14.75% increase in average end-user electricity tariffs and a 4.02% rise in water tariffs across all consumer categories.
According to Dr. Eric Kofi Obutey, Director of Research and Corporate Affairs at PURC, the adjustments were necessitated by factors such as the exchange rate between the Ghana cedi and the US dollar, inflation projections, fuel costs, and the current hydro-thermal generation mix. He explained that the PURC uses a standard set of parameters to ensure that rates reflect prevailing economic realities.
Dr. Obutey clarified that while minor tariff adjustments are not subject to public consultations, a major tariff review is expected in the next quarter, which will factor in capital and operational expenses. However, he could not confirm whether this would lead to a further increase or decrease in utility prices.
The PURC has reaffirmed its commitment to striking a balance between sustaining utility service providers and protecting the interests of consumers. The Commission’s goal is to ensure that utility rates are fair and reflective of the current economic situation.
Sankofaonline
