Water tariff up by 8.01 percent

The Public Utilities Regulatory Commission (PURC) has approved an 8.01 percent increment in water tariff, effective July 2019.

At a press conference, the Executive Secretary of the Commission, Maame Dufie Ofori, highlighted the factors that have necessitated an increment in these tariffs including the dollar to cedi rate, projected inflation rate and increasing electricity and water demands.

Electricity Cost and cost of the chemicals for water treatment were also cited as reasons for the tariff increase

This increment follows the increase in electricity tariffs by 11.7 percent, effective July 1, 2019.

The PURC approved the increase after considering proposals from the Volta River Authority (VRA), the Ghana Grid Company Limited (GRIDCo), the Electricity Company of Ghana (ECG), Power Distribution Services (PDS) Ghana Limited, the Northern Distribution Company (NEDCo) and Enclave Power Company Limited (EPC).

Tariff proposals for water also came from these stakeholders.

“In line with the commission’s regulatory oversight mandate, extensive technical and financial analysis of the proposals were undertaken,” Mrs. Ofori said.

“The key objective of the tariff review was to sustain the financial viability of the utility service providers as well as ensuring the delivery of quality service to consumers,” she explained.

The last major tariff change water came in September 2018 when the PURC has ordered a 10.08 percent tariff reduction on prevailing rates for all customers of the Ghana Water Company Limited (GWCL).

The order followed the GWCL’s non-compliance with tariff decision and regulatory directives concerning the Teshie Desalination plant.

The reduction was to remain until the desalination plant was put back into operation.

The GWCL was to pay GHc542,938.48 as compensation to all its customers.