Public Utilities Regulatory Commission (PURC) says it may announce new tariffs for electricity and water at the end of March.

The Volta River Authority (VRA) and Electricity Company of Ghana (ECG) are seeking 310 per cent increase in tariffs while the Ghana Water Company Limited (GWCL) wants a 300 per cent hike.

A statement from the Public Utilities Regulatory Commission (PURC) on Monday said VRA and ECG argued that the current tariffs charged neither meet their operational cost nor make room for the necessary investments required to improve on the quality of service.

They mentioned the depreciation of the cedi and losses on transmission lines as contributory factors to their operational losses.

The GWCL cited illegal connections, obsolete machinery and old pipelines as being the cause of leakage that lead to the loss of about 50 per cent of its production.

The statement said stakeholders and members of the public after listening to both the electricity and water providers acknowledge the need for a rise in tariffs but complained that the levels proposed were too high.

The statement said the PURC has started working on the outcome of the hearings and cannot rush into approving new tariffs without taking the concerns of stakeholders and the general public into consideration.

"It is also essential that government be informed of any decision taken by the PURC since ...the impact of PURC's tariff decisions on the utilities must be fully understood and appreciated," the statement said.