CEPA cautions PURC on tariff increment

The Centre for Policy Analysis (CEPA) has called on the Public Utilities Regulatory Commission (PURC) not to rush into giving in to demands for tariff increment.

According to the Head of CEPA, Dr Joe Abbey, utility providers had not provided adequate information to the public to justify their calls for tariff increment.

Speaking at a stakeholder consultative forum organised by the PURC with policy think tank institutions in Accra yesterday, Dr Abbey demanded more transparency and accountability in the operations of utility providers.

In attendance were representatives of Imani Ghana and the Africa Centre for Energy Policy.

Representatives of the utility providers, namely the Volta River Authority (VRA), the Ghana Grid Company (GRIDCo), the Electricity Company of Ghana (ECG) and the Ghana Urban Water Company Limited (GUWCL), who attended the programme gave strong indications of the need for the PURC to increase tariffs.

Dr Abbey indicated that the utility providers could not kick-start public education with dollar quotations as a way of justifying their stance for increment.

"If you have tolerated the non-payment of subsidies from the government, forcing you to borrow for your operations, why exert pressure on consumers to pay for your inefficiencies?' he queried.

He tasked the PURC to get on board when the operators, particularly those in the power sector were engaged in negotiations and the signing of power purchase agreements with independent power producers (IPPs).

That, he said, would ensure that more transparency and accountability were brought to bear on their operations.

The Head of the Africa Centre for Energy Policy, Mr Mohammed Amin Adams, who also shared similar sentiments, said the PURC needed to re-examine its role of ensuring fairness to both utility providers and consumers.

The Chairman of the Technical Committee of the PURC, Mr Moses Asaga, urged utility providers to ensure the flow of adequate information to convince consumers of the need for them to pay more.

"Consumers cannot pay tariffs in support of crude oil import when there is no quality in the services provided," he said.

By Della Russel Ocloo
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