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This is how the Ghanaian government intends to reduce utility tariffs for its citizens in 2019

This is how the Ghanaian government intends to reducThe Trades Union Congress (TUC) in Ghana, the main umbrella organisation for trade union activities, has projected a 15 per cent downward adjustment in the country’s utility tariffs.

This is how the Ghanaian government intends to reduce utility tariffs for its citizens in 2019

The downward adjustment is meant to reflect the wages and salaries of Ghanaians.

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In a public hearing organised by the Public Utilities Regulatory Commission (PURC) of the country in respect of the 2019 Major Tariff Review for Electricity and Water in Accra, the capital of Ghana on Tuesday, January 15, 2019, the TUC said the takeover of Electricity Company of Ghana (ECG) by the Power Distribution Service Ghana Limited on February 1 should not in any way burden utility consumers with tariff increment. 

The Ghana Statistical Service pegged Ghanaian workers’ wages at an average of $163 per month, therefore, the TUC thinks it will suicidal for the PURC to accept the upward tariff adjustments proposed by the utility service providers.

The utility service providers of the country recently proposed an increment of utility tariffs since they suffered an energy loss of about 21 per cent.

This hence has triggered the TUC to condemn the proposal, describing it as unacceptable to the Ghanaian people.

According to the Director in charge of Research and Policy at the TUC, Mr Kwabena Otoo, it was unacceptable for service providers to pass on their technical and commercial losses onto consumers and thus asked the PURC to ignore the proposals. 

He further said “Ghanaians were not supposed to suffer for the 21 per cent energy losses by utility service providers,” and urged the PURC to consider generally the low wages of Ghanaians.

However, the Chairman of the PURC Technical Committee, Mr Ishmael Agyekumhene who presided over the meeting, said the PURC would go into caucus meeting to consider the tariff adjustment proposals made by the utility service providers and chart the way forward.

He said “We’re reminded to strike a fair balance between consumers on one side and utility service providers on the other side, and we’re insisting on prudent cost,” adding that, “the PURC would announce new utility tariffs soon, but would be implemented from February 1, this year.”

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