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.

Mr. Agyarko explained that, government could not reduce the tariff in this year’s budget due to moves to stabilize power supply in the country.

Speaking at a conference in Accra, Mr. Agyarko assured that government is working to input the tariff reduction in the budget to bring relief to businesses and domestic users.

“On the budget, it is our faithful expectation that we should be able to reduce tariff. We are getting a lot of cooperation in so doing. So we believe that through this budget to the end of the year, we should be able to start bringing the prices down,” he assured.

Mr. Agyarko explained that, government is working to stabilize the price by reducing waste in the power generation and distribution systems.

“When we set out, the commitment was that we need to correct two things. One was stabilizing power, so that we get the product that we are paying for. I believe that we have largely succeeded in stabilizing the supply of power”.

“Our next mandate is to begin the reduction of prices, and the reduction of prices takes a number of forms. Levies which we did in the last budget,” he added.

Mr. Agyarko pointed out that, the ministry is working to substantially reduce the cost of production in the power sector.

“It doesn’t make much sense that for the same turbines and the same fuel, Ivory Coast is producing power cheaper than us, they on the average produce at 9 cents per kilowatts hour, we on the average producing at 14 cents per kilowatt hour,” he said, adding that “we have to find a way to reduce the cost of production and we are working on it”

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By: Lawrence Segbefia/citibusinessnews.com/Ghana

The post Electricity tariffs to go down next year appeared first on Citi 97.3 FM - Relevant Radio. Always.