This is because the Electricity Company of Ghana (ECG) has explained that the reduction will only reflect on the bills of consumers when they make their second purchase of credit for electricity for April.

The latest also follows the shift of the implementation date of the tariff reduction from March 15, 2018 to April 1, 2018.

The Public Utilities Regulatory Commission (PURC) on March 5, 2018, announced a reduction in electricity tariffs of between 17.5 and 30 percent for residential and commercial consumers to ease the burden of the high cost of electricity in the country.

The power distributor had earlier explained that the implementation date of 1^st April was due to its monthly billing system which could not immediately effect the change after the announcement in March.

Though some of ECG vendors had earlier told Citi Business News that the reduction had not been effected on April 1^st, a vendor at Circle confirmed to Citi Business News the situation has changed as of Tuesday, April 3^rd.

“The subsidies have started reflecting, unlike yesterday when you came here to check. So for today I can confirm that it has started reflecting”.

The Public Relations Officer for the Accra East Region of the ECG, Isaac Nurris Ainooson also explained to Citi Business News that consumers should see the reduction upon their second purchase this month.

“We told customers that when you vend on the 1^st of April , the first vending would aggregate your consumption for the whole of March and would give you the credit refund due you from the 15^th to the 31^st of March”, he stated.

He added, “so those who went to our vending points to deposit money for the first purchase, some of them saw the tariff as in the subsidies and all that and in the second vending, whatever is due you from the 15^th to the 31^st of March will be given to customers”.

But one customer who spoke to Citi Business News at the ECG vending point in Osu said she has been left disappointed after making her first purchase in April only to realize that the tariff reduction has not reflected on her purchase.

“Every month I pay one hundred Ghana cedis but now I pay more than that, I came today to purchase credit hoping to see the tariff reduction on my receipt but unfortunately for me, it’s the same just like the old ones, so I will have to wait until my next purchase”.

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By: Anita Arthur/citibusinessnews.com/Ghana

The post New electricity bills to start with second purchase in April – ECG appeared first on Citi 97.3 FM - Relevant Radio. Always.

This is due to the full implementation of the recently announced electricity tariff reduction from residential and non-residential power users in the country.

The Public Utilities Regulatory Commission (PURC) in March announced a reduction in electricity tariffs of between 17 and 30 percent for residential and commercial consumers.

Though the reduction was scheduled to take effect on March 15, the ECG suggested that its monthly billing system couldn’t allow the immediate implementation.

The Managing Director of the ECG, Engineer Samuel Boakye-Appiah in an earlier press conference explained why the reduction could not take effect as indicated.

He said that “the monthly billing cycle of the prepayment metering system does not technically allow ECG to implement the review in the middle of the month”.

“Consequently, prepaid customers of ECG should note that the programming of the billing system will refund the reduction from the implementation date of the 15th to 31st March 2018. When they deposit cash or purchase electricity from 1st April 2018 onwards,” he added.

Engineer Boakye-Appiah pointed out that, the prepayment system will detect aggregate purchase for consumers in March, and then compute the reduction due them, from the effective date of 15th March to 31st March.

“This will be refunded to you on your next visit to vending point”.

He stated that the average percentage reduction, which is 15.5 percent for residential, 30 percent for non-residential, 25 percent for SLT and 10 percent for the mines, effective 15th March 2018 is only on energy consumption.

“Therefore the addition of statutory levies and other fixed charges will reduce the average percentage relief announced by the PURC”, he noted.

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By: Jonas Nyabor/citifmonline.com/Ghana

The post ECG tariff reductions take effect today appeared first on Citi 97.3 FM - Relevant Radio. Always.

This was after the meter compartment in their area caught fire.

The Electricity Company of Ghana (ECG), is yet to fix the problem despite several calls from customers.

According to residents, even though some technicians from the Nungua branch of the ECG have inspected the problem, nothing has been done to restore the power.

One of the residents, Ben Awuah, who spoke to Citi News about the situation, said “It was 3:00am and we woke up and all the meters were on fire and actually, it was a neighbour who drew our attention and we called ECG and it took them three days to come… they came to checked and they said they would come and fix it. As at today [Thursday] being one week, we called them on Wednesday, and they said we should stop calling them. When they are ready to solve the problem for us, they will come and solve it.”

Meanwhile, a technician at the Nungua branch of the ECG, Wisdom Morki, in an interview with Citi News said his outfit was waiting for new meters from the head office to replace the burnt ones.

“As I am talking to you now, we don’t have materials so we go round and see the situation and then rectify the faults we are supposed to… They have ordered some. It is left for them to hand them over to us. They promised that they will give it to us but we don’t know when; so we are waiting for them.

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By: Naa Shika Caesar/citifmonline.com/Ghana

The post Burnt meters leave Nungua Cold Store residents in darkness appeared first on Citi 97.3 FM - Relevant Radio. Always.

According to the Coalition, some of the companies bidding to takeover ECG have demonstrated that they are incapable of delivering since they are already engaged with the ECG.

Government is expected to look for a private operator to manage the ECG under the Power Compact Two agreement to enable the U.S government inject 498 million dollars into the company through the Millennium Challenge Corporation.

But speaking at a press conference, a member of the group, Dr. Steve Mantey Yaw, warned that the bidding process must be rechecked to enhance transparency.

“A combination of MiDA’s wavering and the apprehensions about the three players left in the bidding, give us serious cause for concern. Our main concern, therefore is to ask publicly whether MiDA can confirm and assure the nation that this Compact is on course and would not suffer hiccups and possible reversal. We also need their assurance that they will conduct the assessment of bidders in a most stringent and transparent way to ensure we have the best,” he said.

“At least MiDA and the Ministry of Energy need to explain to the Ghanaian people why they shifted due dates, altered requirements, and are allowing players with clear problems to remain in the bidding process.”

The Coalition of ECG Concession Arrangement (COSECA), had earlier in 2017, called for further negotiations on government’s decision to partly privatize the Electricity Company of Ghana (ECG).

The proposed deal will see the ECG being ceded to a private investor for some 20 years.

But speaking on Eyewitness News at the time, the Convener of the Group, Richard Nyamah, argued that the move if not carefully negotiated, will lead to “redundancies” within ECG.

“We want further negotiations and we want the Minister to address the letter we have sent…If we are able to solve this venture thing I think we will jump the hurdles because we do not think as a country we have money to pay redundancies in ECG …,” Mr. Nyamah said when queried on implications of the said deal.

As part of his suggestions, Mr. Nyamah further advised government to allow the ECG enter into a “joint venture” with the private investor to address the likely challenges the deal might create.

“Concessionary means a new company taking over, and we are saying that to go around this redundancy that we don’t have money for, let us find a way of introducing ECG into the whole process. Let them enter into a joint term venture.”

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By: Michael Ogbodu/citifmonline.com/Ghana

The post COSECA raises issues with ECG concession processes appeared first on Citi 97.3 FM - Relevant Radio. Always.

This is the concern of Policy Analyst with ISODEC, Dr. Steve Manteaw.

His argument follows the submission of proposals by two companies bidding for the management of the power distribution company.

But how will this affect the outcome of the program?

Citi Business News has been engaging industry players who share divergent views on the matter.

Click to listen to full audio report.

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By: Pius Amihere Eduku/citibusinessnews.com/Ghana

The post Red flags over local content in ECG as bidders submit proposals (Audio) appeared first on Citi 97.3 FM - Relevant Radio. Always.

She added that within the same period 97 customers were prosecuted and billed to pay for the power that had been stolen.

Speaking at a meeting with some media houses in Tema, Madam Kyei Gyamfi noted that the most prevalent recorded cases involved meter bypassing and meter tampering.

She said the company was able to recover about six million Ghana cedis out of about nine million one hundred and sixty-eight thousand that had been lost.

She said the level of illegal siphoning of power was realised when the company last year organised a routine house-to-house operation to check on its meters within some parts of the Tema region.

According to her the exercise formed part of efforts to ensure that customers pay for power they use and are deterred from stealing power.

She said “a report is currently being compiled by the headquarters to come out with a few issues and then we can bounce back to begin the next phase of the operation”

Madam Kyei Gyamfi added that customers who have been found culpable have been given time to pay their bills.

“The bills are such that customers don’t pay them at a go. It is not a mainstream billing so those who are found culpable are given a payment plan to settle their bills”

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By: Elvis Washington/citifnonline.com/Ghana

The post Tema: 96,000 homes cited for illegal electricity connections in 2017 appeared first on Citi 97.3 FM - Relevant Radio. Always.

The latest follows the close of submission of request for proposals today, March 26, 2018.

A statement from the Millennium Development Authority (MiDA) and copied to Citi Business News said that at the close of the submission, two companies namely; BXC Ghana and Manila Electric Company (MERALCo) had submitted their bids.

It is interesting to note that French electricity conglomerate EDF and French transnational company Veolia, together with their local partners CH Group, did not put in bids for the private participation.

The businesses had raised concern over the 51 percent local stake in the new entity.

It is unclear what led to their latest decision.

Meanwhile MiDA says the evaluation of the bids is expected to be completed in April 2018.

Read full statement below;

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By: Pius Amihere Eduku/citibusinessnews.com/Ghana

The post Bidders for ECG concession drops to two appeared first on Citi 97.3 FM - Relevant Radio. Always.

Even though the reduction has been initially scheduled to take effect today, ECG maintains consumers should see it reflect from next month due to the monthly billing system.

According to the PURC, consumers should benefit from the reduction starting today, March 15, 2018.

But at a media briefing, the Managing Director of the ECG, Engineer Samuel Boakye-Appiah stressed that his outfit could apply the changes at the end of the month due to the monthly billing system.

Non residential users comprising businesses are to pay between 25 and 30 percent less in electricity tariffs.

The CEO of the Association of Ghana Industries (AGI), Seth Twum Akwaboah explains that they are hopeful the power company will fulfill its plan.

“If that is the case, then it means it is a systems challenge and for that reason we cannot have too much qualms about it as long as the businesses could buy credit for the next two weeks and then the ensuing month when they buy, they are crediting, then that is fine, we should be able to accommodate it,” he said.

Similarly, mining companies are expecting a ten percent reduction in electricity tariffs.

Though the sector believes plans may have been distorted a little, the Director of Communications at the Chamber of Mines, Ahmed Naatogmah says they will still comply with the directive.

“Definitely you were expecting something to start so you would have planned for it but I wouldn’t say we are disappointed. Unless of course at the end of the process the reimbursement is still not done, then we can have some concerns to raise,” he argued.

Meanwhile the ECG has indication that it will not hesitate to go back to the PURC to demand an upward adjustment in the tariff if the implementation of the tariff reduction leads to losses.

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By: Pius Amihere Eduku/citibusinessnews.com/Ghana

The post Businesses track ECG on reimbursement promise appeared first on Citi 97.3 FM - Relevant Radio. Always.

Government in the 2018 budget suggested that it is working to reduce tariffs by some 14 percent on the average, for industrial and residential users.

But information available to Citi Business News rather points to a marginal drop in the tariffs.

Documents sighted by Citi Business News indicate that the PURC is proposing a 12.54 percent reduction in tariffs for businesses.

According to the utility regulator, this is premised on two grounds; the first is that, the PURC will remove the 5 percent Benchmark provision for tariffs that have been in default to the various utility companies such as ECG, VRA, NEDCo, enclave power, among others.

The second reason for the PURC’s proposed reduction is that there has been about 32 percent increase in consumer base from 3.5 million to 4.7 million between 2015 and presently.

However, earlier stakeholders’ consultations have all shown that the various providers are pushing for an increase in their allocations.

For instance, NEDCo proposed about 200 percent increase in tariff likewise did the power distributor; VRA, enclave power, among others.

According to documents available to Citi Business News, the end user tariffs comprising Bulk Generation, Transportation and distribution service charges will inch up by some 27 percent; from 64 pesewas per kilowatt hour to 81 pesewas per kilowatts hour.

But Citi Business News understands that the decision by the PURC to scrap the 5% benchmark provision will have to be reviewed as it is likely to have dire consequences on the power distributors as they risk huge financial losses over unpaid debts.

It is still unclear when the new tariffs will be announced but industry watchers are hopeful the final decision should be made within the next few days.

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By: Pius Amihere Eduku/citibusinessnews.com/Ghana

The post Electricity tariffs to drop below govt’s proposed 14% appeared first on Citi 97.3 FM - Relevant Radio. Always.

The program was launched in January to commemorate five decades of the existence of the state power producer under the theme “50 Years of Powering the Socio-Economic Growth and Development of Ghana”.

The event brought together current and past Managing Directors, Board Chairmen and Members, representatives of the ministries of Energy and finance, staff of ECG, staff  of Volta River Authority VRA and other partners.

Speaking at the awards ceremony, the Managing Director of the Electricity Company of Ghana, Ing. Samuel Boakye-Appiah, said they have achieved greater heights over the years despite the challenges they face.

“These challenges, notwithstanding we shall focus on executing our mandate by prudently investing in various modernization projects. To this end, we will continue with the smart prepayment metering expansion programs, introduce electronic payment platforms, install geographic information system GIS, improve system reliability and ultimately enhance customer satisfaction.”

He further assured the general public and staff of ECG that the concession will prioritize their interest by ensuring quality service delivery and zero job losses.

On his part, the Chairman of the ECG Board, Keli Gadzkpo, said the board will give the necessary support to the company in ensuring that Ghana gets a better deal in the concession of ECG.

Awards were presented to donors and development partners, banks and other financial institutions, manufacturers, power producer and several others who are key stakeholders of ECG.

The awardees include: JICA, World Bank, AFDB, Ghana Commercial Bank Limited, Volta River Authority, Nexans Kablemetal Ghana Limited, Dupaul Wood, Byes and Ways Limited, A T Kearney BV, Tropical Cables Limited, and the Public Utilities Workers Union, PUWU.

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By: Anass S. Seidu/citifmonline.com/Ghana

The post ECG holds awards night to climax 50th anniversary appeared first on Citi 97.3 FM - Relevant Radio. Always.