The Public Utilities Regulatory Commission (PURC) has declared an upward hike in the current tariffs for electricity and water consumers.
Sources from the regulatory commission indicate that there will be a 5.94% increment on electricity tariffs and a 2.22% on water tariffs.
The hike is expected to take effect from today, October 1, 2019.
Clarifying the reasons for the increment, the PURC in a press release, indicated that an automatic adjustment formula was decisive in calculating the real cost of electricity and water on a quarterly basis.
“Following a review of Electricity and Water Tariffs for the fourth Quarter 2019 which is from October – December 2019, the PURC wishes to announce for the information of consumers of electricity and water that there has been an upward adjustment in the existing tariffs.”
“The increase is 5.94% on electricity tariffs and 2.22% on water tariffs across board for all customer categories effective October 01, 2019.”
The press release, which was signed by the executive secretary of the PURC, Mrs. Mami Dufie Ofori explained that dynamics such as the Ghana cedi-US dollar exchange rate, inflation, demand forecast, and electricity cost accounted for the increase.
Other factors such as the price of crude oil and Natural Gas, fuel mix, generation mix and the power purchase cost also affected the increment.
“The Automatic Adjustment Formula (AAF) is a Tariff Mechanism that seeks to track and incorporate movement in key determining factors to reflect the real cost of electricity and water quarterly.”
The PURC has further guaranteed consumers of the commission’s obligation to embark on an effective tariff monitoring program to ensure improved quality of service.
“The commission, however, wishes to reiterate its commitment to embark on an effective Tariff monitoring program aimed at providing the end-user improved quality of service.”
Read the full press statement from the PURC in the image below.