The government of Ghana through its Public Utilities Regulatory Commission (PURC) has announced a 14.75% upward adjustment in electricity tariffs.
In a press statement seen by Energy in Africa, the new tariffs are set to take effect from May 3, 2025.
The revision follows the Commission’s quarterly tariff review process for the first and second quarters of 2025.
The PURC attributed the adjustments to several factors, including the exchange rate between the Ghana cedi and the US dollar, inflation projections, fuel costs (particularly natural gas), and the current hydro-thermal generation mix.
The review, the Commission said is aimed at ensuring revenue stability for utility service providers while minimising the financial impact on consumers.
“The combined effect of the cedi/dollar exchange rate, inflation and the payment of 50% of outstanding revenues from the previous quarters in 2024, is that the utility companies are bleeding from serious under-recovery.
“For the time value of money, utility companies just like other businesses, will need periodic reviews of their prices (tariffs) in order to remain operational”, the statement reads.
Under the new rates, electricity tariffs will increase by an average of 14.75%, while water tariffs will go up by 4.02%.
New tariff adjustments
Residential customers consuming 0-30 kWh of electricity, who currently pay an existing tariff of GH 67.6495 ($4.40), will pay a new tariff of GH 77.6274 ($5.05).
The service charge of GH 213.0000 ($13.85) will remain unchanged.
Other residential customers consuming 0-300 kWh of electricity who currently pay a tariff of GH 153.2683 ($9.97) will now pay a new tariff of GH 175.8743 ($11.44).
For residential customers who consume more than 301 kWh of electricity, they will now pay a new tariff of GH 232.3892 ($15.11) from the previous GH 202.5190 ($13.17). While the service charge of GH 1073.0886 ($69.78) remains unchanged.
Non-Residential Customers who consume 0-300 kWh of electricity will now pay a new tariff of GH 158.7868 ($10.33) away from the existing GH 138.3771 ($9.00).
Also, those who consume more than 301 kWh of electricity will now pay a tariff of GH 197.3338 ($12.83), away from the existing GH 171.9695 ($11.18).
The service charge of GH 1242.8245 ($80.82) billed to non-residential customers will remain unchanged.
Meanwhile, Ghana and Japan have signed a $13.44 million grant agreement to improve power supply stability in the West African country and its surrounding regions.
