Minority faults tariff hikes as sign of failed leadership, demands immediate suspension

Minority faults tariff hikes as sign of failed leadership, demands immediate suspension

The parliamentary Minority has condemned the recent utility tariff increases, calling them a symptom of failed leadership and poor leadership choices.

The demand for suspension was made at a press conference addressed by the Ranking Member of Parliament’s Energy Committee, George Kwame Aboagye.

At the briefing, Aboagye criticized the decision by PURC to raise electricity and water tariffs, arguing the hike lacked justification. He said the increase reflects deeper problems in governance and management of the utility sector rather than any real improvement in service delivery.

“Our position remains firm and non-negotiable. This tariff must be reversed immediately, and measures must be taken to protect consumers and sustain businesses. Ghanaian deserves relief, not repeated shots,” he said.

PURC concluded its 2026–2030 Multi-Year Tariff Review (MYTO) and announced new utility rates to take effect on 1 January 2026.

Under the new order, electricity tariffs will rise by 9.86 percent across all customer categories, and water tariffs will increase by 15.92 percent for all consumers.

The Commission said the increases reflect the investment needs of water and electricity utilities over the next five years, covering both capital expenditure and operational costs, under prevailing macroeconomic conditions such as inflation, exchange rate fluctuations, and rising fuel costs.

PURC added that the review followed a series of investment hearings, stakeholder consultations, and regional public forums across the country.

The Commission also introduced a mini-grid tariff scheme under the MYTO, bringing the costs of supplying electricity to island and remote communities into the national tariff framework under the purview of the Volta River Authority (VRA).

During the press conference, the Minority argued that customers should not be made to pay more while chronic inefficiencies persist at utilities such as the Electricity Company of Ghana (ECG) and the Ghana Water Company Limited (GWCL).

They described the tariff increases as unjustifiable, given the lack of transparent reforms, persistent mismanagement, and failure to address technical and commercial losses. The group maintained that the hike shifts the burden to consumers many of whom are already under economic pressure.

“The minority stands firmly with Ghanaian workers, households, small businesses and industries struggling to survive, continue to use every legitimate parliamentary tool to command fairness, transparency and accountability in the management of the nation’s utilities.”

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