Speaking on Citi FM, Mr. Bawa who is also a member of the Mines and Energy committee of Parliament, recalled that during the mid-year budget review, government indicated clearly that an unexpected windfall of about $500,000 from Ghana’s share of petroleum resources had accrued.
“If you do the simple mathematics you will know that the increment is not just 27.1% but 34% and most Ghanaians are under the impression that the electricity tariff has increased by 27%. It is not true that for the residential tariff, consumers will pay the 27%”.
He insisted that a large number of Ghanaians are above the lifeline point, so the ordinary Ghanaian would bear the brunt of this increment.
The Public Utilities Regulatory Commission on Monday announced a 27.15% increase in tariff for electricity and 21.55% increase in water tariff, which will take effect on September 1, 2022.
The Minority in Parliament also issued a statement on the increment by the PURC claiming it was misleading.
“Firstly, we wish to debunk the misleading conclusion that the PURC has increased the Electricity tariffs by 27% for all consumers.”
“A critical look at the tariff structure as announced reveals that all residential consumers who fall between 0-300 kWh bracket have witnessed a price increase from GHp/kWh 65.4161 to GHp/kWh89.0422, representing an increment of almost 34%.”
“It should be noted that the bulk of residential consumers fall within the 0-300 kWh bracket and will therefore be adversely affected by the 34% adjustment.”
The Minority in a statement also said the free fall of the cedi and rising inflation rate emphasize the need for government to consider reducing the rate of increments for utility tariffs.
“We are of the strongest conviction that Government can and must do something to cushion Ghanaians who are going through unimaginable hardships with ever-worsening poverty levels under the Akufo-Addo/Bawumiah-led government.”
“The country is already reeling under a galloping inflation estimated at about 32% thus, this utility tarrif increment will only exacerbate the current high cost of living and will thus worsen the plight of the already impoverished Ghanaian,” portions of the Minority’s statement signed by the Ranking Member on the Mines and Energy Committee, John Abdulai Jinapor said.
