PURC announces 8.01% increase in water tariff effective July 1

The Public Utilities Regulatory Commission (PURC) on Monday announced an 8.01 per cent increase in water tariff for the 2019/2020 period, effective July 1, 2019.

This follows an 11.17 per cent increase in electricity tariff on Friday for recovery of total electricity revenue requirement for the regulated electricity market

Speaking at a press conference, Mrs Mami Dufie Ofori, the Executive Secretary of the PURC, said the water tariffs increase was over the restored rates of July 15, 2018.

“Due to the compliance by Ghana Water Company Limited to the Commission’s Regulatory Order Number GWCL012018 dated September 06, 2018, the Commission has restored water tariffs to the July 15, 2018 rates which are the basis of the increase,” she said.

Mrs Ofori said many factors, including the projected inflation rate, the Ghana Cedi/US Dollar Exchange Rate and projected electricity and water demand for the 2019-2020 tariff period, were considered before the tariff decision was taken.

She said the key objective of the tariff review was to sustain the financial viability of utility service providers as well as ensuring delivery of quality service to consumers.

The 2019-2020 Major Tariff Review Decision is the outcome of prudent cost review and effective monitoring undertaken by the Commission, she said.

The decision was taken after the Commission considered tariff proposals from stakeholders, including the utility service providers in the electricity and water sectors.

“It is therefore expected that the utilities will be able to cover their administrative, operations, and maintenance costs resulting in the provision of quality utility services for consumers,” Mrs Ofori said.

The Statement said as a major policy shift aimed at enhancing the competitiveness of Ghanaian industries, the Commission has eliminated the Maximum Demand Charge on industrial customers (Special Load Tariff-SLT Customers).

It is expected that this policy will result in some SLT customers experiencing savings in their overall electricity bills.

“The Commission wishes to reiterate its unwavering commitment to ensuring the sustainability and growth of quality electricity and water service provision for socio-economic development,” Mrs Ofori added.

Source: GNA

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