Consumers of water and electricity in Ghana will experience a price hike starting today, June 1, 2023, as the Public Utility Regulatory Authority (PURC) has recently approved an upward adjustment in tariffs.

The electricity tariff will be increased by 18.36%, while water tariffs will see a 19% increase. These adjustments are attributed to the rising costs of production.

Alhaji Abubakari Jabari, the Regional Director of Operations for the PURC, explained in an interview with Starr News on Wednesday, May 31, 2023, that customers who pay postpaid bills on June 1, 2023, will still be charged based on the old rates.

He clarified that most water bills, for example, will continue to use the old rate until consumption for the month of June, after which the new rate will be implemented.

Any credit deposits made by customers will be calculated using the old rate until the end of the month, after which the new rate will be applied for subsequent billing cycles.

Addressing concerns about purchasing credit at the beginning of the month, Alhaji Abubakari Jabari advised against panicking or rushing to buy credits to avoid the effects of the tariff adjustment.

He noted that the practice of buying credits early in the month to potentially benefit from discounts is merely a perception.

He emphasized that purchasing credit at any time during the month is equivalent to buying it on the first day or week, as the operational procedures do not provide specific advantages based on timing.

Alhaji Abubakari Jabari urged consumers not to queue or rush to purchase credits today in an attempt to mitigate the impact of the tariff adjustment.

He reassured customers that they would not miss out on any potential benefits by buying credits at a later time during the month.

He further clarified that consumers should not worry about falling within a specific usage bracket, as the billing calculation will accurately reflect their consumption regardless of the date of purchase.

“I know most people go to buy their credit at the beginning of the month, I don’t see any point in that but people have the perception that if you buy credit in the first week of the month you might get some discount. You can’t force yourself to be within the lifeline, so any time you go to buy your credit, it is as good as buying in the first week or first day of the month. It’s a normal operational issue so we don’t expect people to go and cue today in trying to avoid the effect of any adjustment that has been done,” Alhaji Abubakari Jabari added.

As the new tariffs take effect, consumers are encouraged to be aware of the adjusted rates and factor them into their budgeting and consumption patterns.

The tariff increase reflects the rising costs of production in the water and electricity sectors and highlights the ongoing challenges faced by utilities in providing reliable services to customers.

YNA/OGB