Utility tariff increment 'too small' - Wereko-Brobby

efua

December 7, 2015 10:05 PM

Dr. Wereko-Brobby said if these increments are not accepted, the utility companies will collapse.

Former Volta River Authority (VRA) boss Dr. Charles Wereko-Brobby says the utility price increment announced by the Public Utility and Regulatory Commission (PURC) is “too small”.

He argued that the increment should have been higher saying, “absolutely justified and I expected it to be even double what they were. There is a 99% depreciation of the currency. Ninety per cent of the inputs that produce power are foreign exchange based like all business people in Ghana they denote and charge do we want to see the death of the utilities?”

Speaking on Joy FM, Dr. Wereko-Brobby said if these increments are not accepted, the utility companies will collapse.

The PURC has announced electricity tariffs will be increased by 59.2 % , while that of water will go up by 67.2 % for residential consumers. The changes will take effect from December 14, 2015.

In his submission, the former VRA boss compared one kilowatt of power to the amount of credits used on phones and argued that topping up phone credits cost more than the cost of power.

“People keep talking about wages and salaries. I don’t here this argument when people are talking about credits and buying and units to talk on mobile phones.67 pence represent six and a half minutes of a mobile cost and I don’t hear anybody complaining about mobile cost charges being excessive,” he said.

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