The Public Utilities Regulatory Commission (PURC) has announced a 9.86% increase in electricity tariffs across all customer categories and a 15.92% upward review of water tariffs for all classes, with the new rates taking effect on January 01, 2026.
This major tariff review, which will remain in force over the five-year period spanning 2026 to 2030, is consistent with the Commission’s Multi-year Tariff Review Order (MYTO) regime.
The decision follows extensive investment hearings, stakeholder consultations, and regional public hearings. The review considered the investment requirements of the utility providers, the competitiveness of industries, and the general living conditions of consumers.
Key factors behind the review
According to the PURC, the decision is influenced by significant changes in macroeconomic variables and the utility generation mix. For electricity, the approved factors for the 2026-2030 MYTO include a shift in the generation mix, with the proportion of Thermal power increasing to 78.79% while Hydro drops to 20.90%. The approved exchange rate for the period is $12.0067 and the inflation rate is set at $8.00\%$.
The PURC noted that the rates will be subject to quarterly reviews to adjust for factors beyond the utilities’ control, such as the Ghana Cedi-US Dollar exchange rate, local inflation, and the weighted average cost of gas (WACOG).
Additionally, the Commission included a new policy decision to account for the cost of providing electricity to island communities via mini-grids to ensure universal electricity access.
Source:Fiilafmonline/3News
