The Public Utilities Regulatory Commission (PURC) has announced that electricity and water tariffs will remain the same till next year.
The Commission said though there has been a significant decline in the price of crude oil and the exchange rate has remained largely stable, the Commission did not reduce the tariffs because of the surge in the “prices of natural gas from the West African Gas Pipeline.”
President John Mahama earlier urged the reconstituted board of the PURC to fix reasonable electricity tariffs for business and residential consumers, saying that this would will ensure more private sector participation.
[contextly_sidebar id=”YOVBFf7VxAYeKdcMrYJ1pAvi6v1MWb3C”]“We are entering an era where we are seeing more private sector, interest and participation in the Energy and Power sector and the only way that the private sector will invest their money in energy and power generation is if they feel that the plain field is conducive, that it is level and reasonable and it guarantees them a fair return on the investment that they make and it is the PURC that can create that kind of environment for them,” the president said.
The last time the PURC adjusted the tariffs on September 30, it announced an increase of 6.54 percent and 4.54 percent in electricity and water tariffs respectively.
The move was met with widespread criticism, with the Trades Union Congress (TUC) calling for its “immediate and unconditional reversal, labelling it “ill- timed” and “absolutely insensitive.”
However, according to the Commission, the increase in the tariffs for the third quarter of the year was agreed on, after careful consideration of all factors which form the basis of the Automatic Adjustment Formula.
The Commission also cited other factors such as inflation, power purchase cost among others that contributed to its decision.
By: Marian Efe Ansah/citifmonline.com/Ghana