The Electricity Company of Ghana Ltd (ECG) has proposed between 60 and 100 percent adjustment in utility tariffs to the Public Utilities Regulatory Commission (PURC).
The proposals, if approved by the PURC, would lead to the payment of rates the ECG says will enable it recover full cost of operations.
However, the Chairman of the PURC, Mr Kwame Pianim, and the Executive Secretary, Mr Stephen Adu, while admitting the receipt of proposals for the upward adjustment in tariffs by the EGG, assured Ghanaians that inefficient costs in the generation and distribution of electricity would not be passed on to consumers.
According to Mr Pianim, the country is at a crossroad, where Ghanaians have to choose between the payment of "right tariffs for the sustainability of the energy sector or the payment of rates that would result in the stagnation of the sector and also a retardation in the country's growth."
In a cost and benefit analysis of the two scenarios, Mr Pianim said the energy crisis and subsequent load management programme had cost the country about two percent of its Gross Domestic Products (GDP) and industries about five percent of their output.
He pointed out that each Ghanaian had faced the inconvenience of the situation, the cost of which, if monetised, would be astronomical for all households.
"There is a choice to be made by Ghanaians," he said, and noted that "whether to stick to the inconvenience and cost of the interruptions in power supply we all faced or pay right tariffs with a sustainable and uninterrupted service," he said.
Mr Pianim said the implementation of a full cost-recovery measure would be gradual and not abrupt, while policy directives would be taken to make sure that consumers and service providers both did not lose out.
He mentioned one such policy initiative already being implemented as the importation of the six million Compact Fluorescent Lamps (CFLs) by the government.
He said if the lamps were properly installed and faithfully used by all Ghanaians, most households would have a reduction in the lighting component of their ECG bills.
Mr Pianim said the government alone could no longer invest in the energy sector and the participation of private entrepreneurs required the payment of realistic rates to sustain investors in the sector.
Source: Daily Graphic
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Tags:
Latest Stories
-
Ken Ashigbey, Joyce Aryee and others grace MTN’s Festival of 9 Lessons and Carols
3 hours -
Obuasi Cricket Academy celebrates excellence at end-of-year awards night
3 hours -
WASSCE: Scanning of objective answer sheets to start tonight – WAEC
3 hours -
Education Minister hasn’t prioritised WAEC – Nortsu-Kotoe
4 hours -
Bawumia meets Manifesto Committee members to express appreciation
4 hours -
To chocolate, Ghana’s pride by Bioko
5 hours -
Chartered Institute of Bankers, Ghana, confers Honorary Fellow status on Victor Yaw Asante
5 hours -
BoG marks end of year with Thanksgiving Service
5 hours -
Ghana’s Next Sports Minister: The Debate Begins
5 hours -
Election 2024: NPP advised to be mindful of the reasons being ascribed to their election lost
6 hours -
GNFS urges Ghanaians to prevent fires during yuletide
6 hours -
Report tobacco users who smoke publicly – FDA advises
6 hours -
Abdallah Ali-Nakyea elevated to Associate Professor at UG School of Law
7 hours -
Kick2build commissions 5 libraries in Klo Agogo, donates school supplies
7 hours -
Slim and Fit Ghana donates to kids at Motherly Love Orphanage in Kwabenya
7 hours