18.36 % tariff increment; Cedi depreciation, inflation, electricity generation mix, and cost of natural gas main cause – PURC

The Public Utilities Regulatory Commission (PURC) has justified the 18.36 percent tariff increment announced on electricity and natural gas.

According to the Commission, the decision was taken after its Quarterly Tariff Review meeting for the second quarter of the year 2023.

The PURC blamed the depreciation of the cedi, inflation, electricity generation mix, and the weighted average cost of natural gas as the factors that influenced the latest increment.

Director of Research and Cooperate Affairs at PURC, Dr. Eric Obutey in an interview on Plan B FM EBAANOSEN with Ohene Kinnah said the Commission was forced to increase the electricity tariff.

“We did only 75 percent of the exchange rate. This means there was a 25 percent under-recovery that we needed to recover. So if you add all this to it, the projected exchange rate that we use currently which is 12.70, all these factors combined led to an adjustment of the tariff and upward review.”