News

Majority Leader justifies 2.45% electricity tariff hike

Published

11 months ago

June 28, 2025

Parliament on Friday, June 27, witnessed a fierce defence of the Public Utilities Regulatory Commission’s (PURC) recently approved 2.45 per cent electricity tariff increment, with Majority Leader Mahama Ayariga asserting the necessity of the hike to avert the collapse of the Electricity Company of Ghana (ECG).

The new tariffs are set to take effect from July 1, 2025.

Speaking on the floor of Parliament, Mr. Ayariga directly addressed public concerns and opposition to the tariff adjustment, explaining that it was a critical measure to offset mounting debts within the power sector.

“You all know that the whole of last year and before that, there was an effort to prevent the PURC from adjusting the tariffs. So that whole period, there was no adjustment, and you know very well that bills were accruing; payments have to be made,” Mr. Ayariga stated.

He highlighted the precarious financial position of ECG, a state-owned power distributor, which has been accumulating significant liabilities due to unadjusted tariffs.

“ECG is accumulating huge [debt] and it has to be paid, so who is supposed to pay? Is it not the consumer?” he questioned, emphasising the unavoidable reality that the cost of providing electricity must ultimately be borne by its users.

He warned of severe consequences if the tariffs are not adjusted: “And if you are not adjusting the tariffs to enable ECG to pay, ECG is going to collapse. They are no longer able to buy the input needed to keep the generators on, and we are going to have a power outage; the bills have to be paid.”

The Majority Leader dismissed arguments that an improved macroeconomic environment should automatically negate the need for tariff adjustments.

“The bill has to be paid. So if PURC is doing its work, I do not think there is a basis for saying that because we have improved the economy, it doesn’t mean that the debt at ECG will just be whisked away. The bill has to be paid partly by consumers,” he asserted.

The PURC’s decision to implement the 2.45% increment, part of its routine quarterly review mechanism, has indeed drawn mixed reactions across the country.

While the commission cited factors like projected inflation at 20.67%, an exchange rate of GH₵10.3052 to the US dollar, and an increase in the weighted average cost of natural gas, some consumer groups and the Minority Caucus have questioned its justification given recent macroeconomic stability.

ECG has historically faced significant financial challenges, including high technical and commercial losses and substantial debts owed to power generators.

Reports have indicated billions of Ghana Cedis in accumulated debt and revenue under-declarations in previous years, placing a heavy burden on government finances and impacting the stability of the power supply.

The Public Utilities Regulatory Commission (PURC) has also noted GH₵488 million in outstanding revenues from previous quarters that this adjustment aims to begin clearing.

The Minister for Energy and Green Transition is expected to appear before Parliament next week to provide further clarity on the tariff review process and its broader implications for Ghana’s energy sector.

For now, the Majority Leader’s stance underscores the government’s position that the tariff hike, though unpopular, is a necessary step towards ensuring the financial viability of ECG and maintaining a stable power supply for consumers nationwide.

myjoyonline.com

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Energy

See The Areas That Will Be Affected By Power Outages On June 4

Published

2 days ago

June 4, 2026

AladdynKing

The Electricity Company of Ghana (ECG) has announced multiple power outages for Thursday, June 4, 2026, affecting communities in the Tema, Eastern, Central, and Western Regions, with a combination of planned and emergency maintenance exercises scheduled across the country.

In the Tema Area, a planned maintenance exercise will take place from 10:00 am to 4:00pm. The affected areas include the Sea Water Desalination Plant, Maranatha, Buade, Glow Lamp, Frimpongmaa Estates, Abrantie, Dan Adams, Coastal Estates, Basket, GCB Training School, Ataa Adama, Royal Ravico, Junction Mall, Regimanuel Estates, Parakuo Estates, Queensland International School, Kpoo Keke, Best Western Premier Hotel, Leisure Hours Hotel, and extensive parts of Nungua including Zongo, Township, Traditional Council, Polyclinic and Secondary School. Also affected are the Kpeshie Divisional Police Headquarters, Coco Beach, Main 1, Father’s Hotel, C5 and surrounding areas. The notice was originally issued on Monday, June 1.

In the Eastern Region, a planned maintenance exercise will run from 8:00am to 5:00pm, affecting Sekesua, Anyamoni, Oterkpolu, Bukonor, Asesewa, Akateng and surrounding areas. This notice was originally issued on Tuesday, 2nd June.

The Central Region will experience a planned outage from 9:00am to 3:30pm, affecting Brimso Headworks, Akaikrom, Police Barrier, Ankaful Junction, Mpeasem, WAEC, Yayaaikawa, Wanyiwato, part of Dominase, Duakyimase and surrounding areas.

In the Western Region, ECG will undertake two separate exercises. The first is an emergency maintenance from 10:00am to 2:00pm, affecting Dixcove, Busua, Cape 3, Agona Damtsi, GREL and surrounding areas. The second is another emergency maintenance from 9:00am to 4:00pm, affecting Akoon, UEE, parts of Market Circle, Railway Quarters, Apinto Hospital, Cyanide, Kwabedu, Alhaji Dauda, New Atuabo, Budo City, Banso, Esuosu and surrounding areas.

ECG has expressed regret for the inconvenience that will arise from all these exercises. The company has advised affected customers to make alternative arrangements for power-dependent activities during the specified hours.

All notices were originally issued between Monday, June 1 and Wednesday, June 3, 2026. ECG assured that power supply would be restored to all affected areas upon completion of the scheduled maintenance works. Customers have been encouraged to contact ECG’s official communication channels for further updates.

graphic.com.gh

General News

Today’s Newspaper Headlines: Thursday, 4th June, 2026

Published

2 days ago

June 4, 2026

AladdynKing

General News

Assin Edubiase: School Bus ‘Plunges’ Into River, Two Pupils Killed

Published

3 days ago

June 3, 2026

AladdynKing

Tragedy struck when a school bus transporting more than 40 pupils of a preparatory school at Assin Edubiase in the Assin South District of the Central Region veered off the road and plunged into a river.

It resulted in the death of two kindergarten pupils of the Alice Elites Academy.

The deceased, a three-year-old and a five-year-old, were among pupils who were in the Mercedes-Benz Sprinter bus with registration number AS 2218-20.

The accident occurred on the Assin Kwafokrom-Homaho stretch on Monday [June 1, 2026].

Graphic Online understands that the driver reportedly lost control of the vehicle, it veered off the road, and plunged into the river.

Dozens of pupils got injured.

ASP Wonder Lumor from the Motor Traffic and Transport Department (MTTD) of the Central North Regional Police Command told Graphic Online that the 40 injured pupils were transported to health facilities for emergency medical care.

According to him, 22 of the victims were taken to the St. Francis Xavier Hospital, while the 18 others received treatment at the Assin Edubiase Health Centre.

ASP Lumor explained that all the injured pupils responded positively to treatment and were later discharged.

graphic.com.gh