Business News of Wednesday, 18 January 2023

Source: atinkaonline.com

Push tariff increment to April - Former MP to PURC

Dr Ishmael Ackah, PURC Executive Secretary Dr Ishmael Ackah, PURC Executive Secretary

A former Member of Parliament for Buem, Daniel Kosi Ashiamah, has added his voice to those pushing for the increase in tariffs to begin in April.  

This comment by the former lawmaker is in line with the increase in electricity and water tariffs.

The Public Utilities Regulatory Commission (PURC) yesterday, January 16, 2023, announced an increase in electricity and water tariffs by 29.96% and 8.3%, respectively.

This follows a major increase in tariffs in August 2022.

An earlier statement by the PURC mentioned that although it is equally mindful of the current difficult economic circumstances, the potential for outages would be catastrophic for Ghana and had to be avoided.

“The Commission, therefore, decided to increase the average end-user tariff for electricity by 29.96% across the board for all consumer groups.” The average end-user tariff for water has also been increased by 8.3% (Table 2). The Commission, however, approved varying rate adjustments, including some reductions for selected industrial and commercial consumers, as part of the ongoing restructuring of the existing water rate structure.

“The PURC is equally mindful of the current difficult economic circumstances but notes that the potential for outages would be catastrophic for Ghana and has to be avoided. “The PURC, therefore, sought to balance prevention of extended power outages and its deleterious implications on jobs and livelihoods with minimizing the impact of rate increases on consumers,” excerpts of the statement from the PURC read.

Former NDC Member of Parliament for Buem, Daniel Kosi Ashiamah, argued on Atinka TV’s “Ghana Nie” with host Ama Gyenfa Ofosu Darkwa that a delay in the increase is appropriate given the current school fee burden on citizens.

“We are in difficult times. Considering the fact that January is a school fee month, I would side with those calling for a delay in the adjustment. I believe that if it starts somewhere in April, we will not complain like we are doing now,” Daniel Kosi Ashiamah told Ama Gyenfa Ofosu Darkwa.