The Minority in Parliament has urged the government to implement policies to help Ghanaians cope with the country’s difficult economic situation.
The call comes after the Public Utilities Regulatory Commission announced an increase in utility tariffs in the country on Monday, August 15, 2022.
In a statement, the Minority called the PURC’s decision to raise electricity tariffs by 27% for all consumers “misleading.”
According to a statement signed by John Abdulai Jinapor, Ranking Member on the Mines and Energy Committee, a critical look at the tariff structure as announced reveals that all residential consumers in the 0-300 kWh bracket have seen a price increase from GHp/kWh 65.4161 to GHp/kWh89.0422, representing a nearly 34% increase.
“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 statement said.
It also stated that the increase is due to the worsening Ghana Cedi against other major trading currencies, as the Cedi has recently experienced a free fall of nearly 50% and is currently ranked among the worst performing currencies in the world.
According to the Minority, the country is already suffering from galloping inflation of around 32%, so “this increment will only exacerbate the current high cost of living and will, thus, worsen the plight of the already impoverished Ghanaian.”
Minority said “prior to this electricity tariff increment, Petroleum products at the pumps have witnessed a colossal increment of about 100%. So far the Energy Debt Recovery Levy has seen an increase of 20%; the Price Stabilization and Recovery Levy is up by 40%. The Unified Petroleum Pricing Formula has been increased by 164%, whilst the BOST margin has been increased from 3 Pesewas to 9 Pesewas representing 200% increase. As if this is not enough, the fuel marking margin levy has also been increased by another 233%.”
