Utility tariff hike: Increase the salaries of workers — NAGRAT tells gov't

Angel Carbonu, the President of the National Association of Graduate Teachers (NAGRAT) has raised concerns over the proposal by the Electricity Company of Ghana (ECG) to have tariffs increased by up to 148%, and the Ghana Water Company Limited (GWCL) seeking for 334% increase in water tariffs.

May 13, 2022 - 09:00
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Utility tariff hike: Increase the salaries of workers — NAGRAT tells gov't

Angel Carbonu, the President of the National Association of Graduate Teachers (NAGRAT) has raised concerns over the proposal by the Electricity Company of Ghana (ECG) to have tariffs increased by up to 148%, and the Ghana Water Company Limited (GWCL) seeking for 334% increase in water tariffs.

He said the tariff if approved will certainly affect workers in the country and charged the government to review the salaries of workers to enable them to meet the rising cost of goods and services.

In an interview with TV3, Carbonu said "The tariff hike will certainly affect workers.

"workers are already suffering because the government hasn't increased salaries. So we are appealing to the government that the time has come for salaries to be increased."

ECG tariff proposal

The power distribution company, the Electricity Company of Ghana (ECG), has proposed to the Public Utilities Regulatory Commission (PURC), seeking approval for the upward review of electricity tariff by 148% for 2022.

For the subsequent years – from 2023 to 2026 – the ECG is seeking further approval for a 7.6% tariff increase on its Distribution Service Charge (DSC) which is the charge for distributing electricity to Ghanaian households.

Ghana water tariff proposal

The management of the Ghana Water Company (GWCL) has proposed to the Public Utilities Regulatory Commission (PURC) to increase water tariffs.

The GWCL in its proposal said over the years, the approved tariffs have not been fully cost-reflective.

This has led to the inability of GWCL to raise enough revenue to finance the much-needed capital investment projects, with a consequent unsatisfactory level of service, the company said.

"Among the urban poor, water can be a critical resource in short supply. GWCL has therefore set up a Low-Income Customer Support Department (LICSD) to deliver improved services to targeted low-income urban poor areas."