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Tuesday, November 24, 2020

Tariff hike: Apologise to Ghanaians – Minority to Akufo-Addo

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President Nana Addo Dankwa Akufo-Addo must apologise to the people of Ghana for increasing water and electricity tariffs, the Ranking Member of the Mines and Energy Committee of Parliament, Mr Adam Mutawakilu has demanded.

The Damongo MP was reacting to the upward adjustment in water and electricity tariffs as announced by the PURC in a statement on Monday, 30 September, 2019.

The PURC’s statement signed by Mami Dufie Ofori, Executive Secretary said: “Following a review of electricity and water tariffs for the fourth quarter 2019 which is from October – December 2019, the Public Utilities Regulatory Commission wishes to announce for the information of consumers of electricity and water that there has been an upward adjustment in the existing tariffs. The increase is 5.94% for electricity tariffs and 2.22% on water tariffs across board for all customer categories effective October 1, 2019.
“The Automatic Adjustment Formula (AAF) is a tariff mechanism that seeks to track and incorporate movement in key determining factors to reflect the real cost of electricity and water quarterly.
“The following factors were considered in computing the automatic adjustment formula: Ghana Cedi-US dollar exchange rate, inflation, price of crude and natural gas, fuel mix (crude, oil and natural gas, generation mix (hydro and thermal), power purchase cost, electricity cost (a major cost component in water production)”.

The Commission said it, “however, wishes to restate its commitment to embark on effective tariff monitoring programme aimed at providing the end user improved quality of service.”

But Mr Mutawakilu told Class 91.3FM in an interview that: “How can you give these flimsy reasons for the adjustments? If you take the reasons they gave, rather you should have reductions not an increase”.

“President Nana Addo is hypocritical; he never says the truth, he says A and going B. We expect him to apologise to the people of Ghana that he misled them and painted President Mahama black by saying that under President Mahama, rent was lower than electricity.”

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