Utility tariff regime politically skewed, unfriendly to consumers – Energy consultant
His comments follow the Public Utilities Regulatory Commission’s (PURC) announcement of a 14.75% increase in electricity tariffs and a 4.02% rise in water charges
A private energy and infrastructure finance consultant, Patrick Nyarko, has criticised the recent hikes in utility tariffs in Ghana, describing them as “customer-unfriendly” and out of step with the public’s ability to pay and the quality of service received.
His comments follow the Public Utilities Regulatory Commission’s (PURC) announcement of a 14.75% increase in electricity tariffs and a 4.02% rise in water charges.
Speaking on GBC Radio Central’s Morning Show on Tuesday (15 April) Nyarko questioned the transparency and fairness of the new adjustments.
He argued that while the PURC is meant to balance the interests of utility providers and consumers, the system appears skewed.
“The regulator’s job is to protect investors like ECG and Ghana Water, but also to ensure consumers get fair prices and reliable service,” he said.
“The problem is when tariff increases become political football,” he noted, adding that the opposition National Democratic Congress (NDC) is now facing public backlash for criticising such adjustments while in opposition.
He listed several key variables behind tariff reviews, including the exchange rate, inflation, energy mix, and under-recovery—where utilities do not recoup the full cost of service delivery. According to Nyarko, under-recovery is often invisible to the public but crucial to understanding price hikes.
He also questioned the PURC’s decision-making transparency, urging the regulator to disclose the actual value of under-recovery in cedi or dollar terms.
“This would have helped Ghanaians understand what to expect in future tariff reviews,” he said.
Nyarko dismissed claims that the PURC operates independently of government influence.
“Independence is not sovereignty. Policy makers ultimately have a strong say in the final prices set. Consumers’ interests have been ignored. Independence without representation is not enough,” he concluded.
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