Consumer advocacy group CUTS International is demanding greater transparency from the Public Utilities Regulatory Commission (PURC) following its recent announcement of a 2.45% increase in electricity tariffs, set to take effect from July 1, 2025.
Appiah Adomako Kusi, West Africa Regional Director of CUTS International, described the tariff hike as “illogical” and questioned the economic justification behind it—especially given the reported drop in thermal energy generation costs.
Kusi pointed out that thermal sources account for about 72% of Ghana’s electricity generation and rely heavily on natural gas and crude oil—both of which have seen price drops of up to 30%.
“If the cost of thermal inputs is falling, and most of our power is generated from thermal sources, increasing tariffs doesn’t make scientific or economic sense,” he argued.
Call for Transparency
Mr. Kusi urged PURC to publicly disclose the calculation method and data used to arrive at the 2.45% adjustment.
“Ghanaians deserve to know what factors led to this decision. PURC must come clean,” he added.
In its earlier statement dated June 25, PURC explained that the adjustment followed a routine quarterly review process that considers several economic variables, including the cedi-dollar exchange rate, inflation, gas prices, and the generation mix.
Mixed Reactions
While the electricity tariff will increase, the water tariff remains unchanged for the third quarter of 2025. The Commission maintained that the electricity hike is necessary to safeguard the financial health of utility providers.
Still, stakeholders like CUTS International remain unconvinced, insisting that in the current economic climate, consumers need clarity—not just adjustments.
The call for transparency reflects growing public concern over rising living costs and a demand for greater accountability from regulatory bodies overseeing essential services.