The Public Utilities Regulatory Commission (PURC) has announced that electricity tariffs will increase by 9.86% for all customer categories, while water tariffs will go up by 15.92% for all classes starting January 1, 2026.
This tariff adjustment covers the five-year period from 2026 to 2030 and aligns with the Commission’s Multi-year Tariff Order (MYTO) framework. The decision comes after thorough investment hearings, consultations with stakeholders, and regional public engagement. The review took into account the investment needs of utility providers, industry competitiveness, and consumer living standards.
Key drivers behind the increase include significant shifts in macroeconomic conditions and changes in the electricity generation mix. Notably, thermal power’s share is projected to rise to 78.79%, while hydro power’s share will fall to 20.90%. The review also sets the exchange rate at $12.0067 per US dollar and inflation at 8.00% for the period.
PURC highlighted that tariffs will undergo quarterly adjustments to reflect factors outside utilities’ control, such as fluctuations in the Ghana Cedi–US Dollar exchange rate, local inflation, and the weighted average cost of gas (WACOG). The Commission also introduced a policy to cover the costs of supplying electricity to island communities through mini-grids, supporting universal access efforts.
Story by: Mercy Addai Turkson #ahotoronline.com