[ 2015-03-28 ]

We won’t reverse utility tariffs – PURC
The Public Utilities Regulatory Commission (PURC)
says a reversal of the recently announced tariff
hikes is not an option.

“We haven’t thought about reversal,” the
Commission’s Director of Communication Nana Yaa
Jantuah told Starr News’ Osei Owusu Amankwaah in
an interview Friday.

“The Commission has taken a decision, the
tariffs have been gazzetted,” she emphasised.


The Commission recently announced it has increased
electricity and water tariffs by 2.63 per cent and
1.06 per cent, respectively. Customers have
received the announcement with a lot of anger.

The Consumer Protection Agency has said it will
drag the Commission to Court to put an injunction
on the implementation of the new tariffs.

Also pressure group Alliance For Accountable
Government (AFAG) says it considers the new
utility tariffs “insensitive, needless and
baseless,” and has demanded an immediate
reversal of the hikes.

“There is neither a commonsensical nor economic
basis for this increment,” AFAG said in a
statement issued Friday, a day after the
Commission announced that the new tariffs will
take effect from April 1, 2015.

“Clearly it seems the PURC has become a tool for
the oppression of business and domestic
consumers,” AFAG asserted.

“At a time when “dumsor” [erratic power
supply] has become “dum dum” [even more
erratic], and businesses are laying workers off,
it is amazing the PURC would allow this increment
to go ahead,” the group said, adding: “As of
today, coca cola has laid off 500 workers; so have
many other businesses as a result of erratic power
supply in order to stay afloat.”

According to the statement, “consumers are
already paying market prices for utilities with no
commensurate services from operators. For the past
six years, the excuse for price hikes has always
been “to improve services“, but shockingly,
all increases have resulted in poor service.”

AFAG has asked the PURC to “put its thinking cap
on and reckon that any such increases without
fixing “dumsor” is going to raise operating
cost of businesses and would lead to further
layoffs and consequently affects the larger
economy.”

“AFAG is worried that with an economy in coma,
flat manufacturing and stagnant salaries, the PURC
would baselessly agree to increase tariffs. For
the PURC to effect increases in utility prices in
the hope of expected improvement in the energy
crisis is like putting the cart before the horse.
It is insensitive and AFAG can only surmise that
this insensitive decision was arrived without much
though and broader consultations.

“AFAG calls on the PURC to rescind this reckless
decision. We further calls on Civil Society,
Political Parties, Trade Unions, Association of
Ghana Industries, among others, to show teeth and
kick against this decision.”

Ms Jantuah, however, said a reversal is not being
considered.

Source - Starrfmonline

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