The Minority in Parliament has criticised the Public Utilities Regulatory Commission’s (PURC) decision to increase electricity and water tariffs, arguing that prevailing economic conditions should have resulted in lower utility charges rather than higher ones.
The criticism follows PURC’s announcement on Monday, June 22, that electricity tariffs will rise by 3.49 per cent and water tariffs by 0.85 per cent, effective July 1, 2026, under its third-quarter tariff review.
According to the Minority, recent improvements in key economic indicators and developments within the energy sector had raised expectations of a reduction in utility tariffs of about six per cent.
Speaking on Accra-based Citi FM, Deputy Ranking Member of Parliament’s Energy Committee, Collins Adomako-Mensah, questioned the basis for the latest tariff adjustments, insisting that the figures cited by the Commission do not justify the increases.
“How does just a change of exchange rate of 0.2% push you to increase electricity by close to 4%? It just does not add up. And I’m surprised that PURC is doing this to us. I’m totally surprised. Cumulatively, they’ve increased electricity by 31.69% from January 2025 to date,” he said.
He further argued that the tariff reductions implemented during the first and second quarters of 2026 were insufficient and had already been challenged by the Minority.
“It was just the first and second quarters of this year that they reduced it by 4%. Even that, we challenge that. I’m surprised that PURC is doing this to the Ghanaian people. This particular increment, based on the figures that we’ve seen, does not make mathematical sense to me at all,” he added.
Mr. Adomako-Mensah maintained that recent gains within the utility and energy sectors should have translated into lower costs for households and businesses rather than additional financial burdens.
The Minority also questioned the rationale behind the quarterly tariff review mechanism, particularly in light of previous explanations that linked the reviews to Ghana’s programme with the International Monetary Fund (IMF) during the administration of former President Nana Addo Dankwa Akufo-Addo.
In announcing the new rates, PURC said the adjustments were made in line with its statutory mandate to conduct quarterly reviews of utility tariffs to reflect changes in key operational and economic variables affecting service providers.
According to the Commission, factors including exchange rate movements, inflation, fuel costs and the generation mix were considered in determining the latest tariff adjustments.
However, the Minority insists that the increases are unjustified and will place additional pressure on consumers and businesses already grappling with the high cost of living, arguing that the available data does not support the tariff hikes announced by the regulator.
