The Public Utilities Regulatory Commission’s (PURC) recent 2.45% increase in electricity tariffs has drawn sharp criticism from CUTS International, a leading consumer advocacy group. West Africa Regional Director Appiah Adomako Kusi described the hike as “illogical and lacking transparency.”
“We know that Ghana’s energy mix is largely thermal, about 72% thermal and 28% hydro. Thermal generation depends heavily on natural gas and crude oil, both of which are dollar-denominated. If prices for these thermal inputs have dropped by as much as 30%, and we know most of our electricity is generated through thermal means, then it makes no scientific or economic sense to raise tariffs. This defies logic,” Kusi said.
Kusi is calling on PURC to publicly disclose the methodology behind the new tariff adjustment, emphasizing that Ghanaians deserve a clear explanation. “PURC must come clean with the calculation that led to this 2.45% increment,” he stated.
The PURC announced the new tariffs would take effect from July 1, 2025, following its regular quarterly review of economic indicators, including the cedi-dollar exchange rate, inflation trends, natural gas prices, and the overall electricity generation mix. However, CUTS International argues that the decision lacks transparency and accountability.
