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ECG Tariffs Gov't reduces electricity by 15% after caving in to pressure

Under the new agreement, electricity tariff has been reduced by 15%, a slash from 59% to 45%.

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Haruna Iddrisu, Employment and Labour Minister play

Haruna Iddrisu, Employment and Labour Minister


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Government has said it will provide relief for lifeline consumers of electricity and the vulnerable which will take effect from February 1, 2016.

This was announced on Wednesday evening after negotiations with Organised Labour and Government.

RELATED: Govt to provide 'stimulus package' for Organised Labour

The Memorandum of Understanding (MoU) was signed by the Minister of Employment and Labour Relations, Haruna Iddrissu; the General Secretary for Organised Labour, Kofi Asamoah; Terrence Darko for the Ghana Employers Association and James Asare-Adjei, for the Association of Ghana Industries.

Under the new agreement, electricity tariff has been reduced by 15%, a slash from 59% to 45%.

This means that consumption between zero and 50 units will attract a relief of 45 percent, and those between 51 and three hundred units, 50 percent.

However, the percentage increase in water tariffs and taxes on petroleum products remain the same.

The Public Utilities Regulatory Commission on December 14, 2015, announced that electricity tariffs had gone up by 59.2% and 67.2% for water tariffs.

RELATED: Organised labour demonstrate against government

Organised Labour, including the Association of Ghana Industries (AGI), Ghana Employers’ Association and the Industrial and Commercial Workers Union subsequently embarked on a nationwide demonstration to demand withdrawal of the energy sector levy as well as a reduction in utility tariffs.

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