It is both unfortunate and bizarre that the previous government failed to release the necessary parameters for the compilation of the third quarter 2024 automatic tariff adjustment. This delay has contributed to the increased utility tariffs for the first quarter of 2025, recently announced by the Public Utilities Regulatory Commission (PURC) under the current NDC administration.
This was revealed by Nana Yaa Jantuah, a Presidential Staffer and former Director of Communication at the PURC, during an interview on the Adekyee Mu Nsem morning show on Ahotor 92.3 FM, hosted by Citizen Kofi Owusu in Accra.
According to Ms. Jantuah, several key economic indicators—such as inflation and other relevant cost components—must be considered in tariff computations. She emphasized that the recent increase is a result of those calculations, not linked to any scandal involving the Electricity Company of Ghana (ECG), as some have speculated.
In a related development, the Minister for Finance, Dr. Cassiel Ato Forson, clarified that the recent utility tariff adjustments announced by the PURC are aligned with Ghana’s ongoing commitments under its programme with the International Monetary Fund (IMF).
Following the PURC’s announcement of a 14.75% increase in electricity tariffs and a 4.02% rise in water charges—effective May 3, 2025—Dr. Forson explained that these adjustments were necessary to unlock the next tranche of $370 million from the IMF.
Speaking at a press conference in Accra on Tuesday, April 15, the Finance Minister stated:
“We have begun the implementation, which you recently saw—the quarterly adjustment by PURC, which was supposed to have been done last year. But we have ensured that it has now been carried out in line with the statutory benchmark as agreed in the third review.”
Dr. Forson also addressed speculation regarding a possible renegotiation of Ghana’s IMF deal, insisting that no such discussions are underway.
“Renegotiating presupposes that you don’t believe in the programme, and so you want to open up the conversation to look at other parameters. That isn’t the position of the government. The government is committed to implementation and to achieving the objectives of the IMF programme,” he added.
While acknowledging that some structural benchmarks and quantitative targets were missed prior to the current administration taking office, Dr. Forson reaffirmed the government’s dedication to fully implementing the IMF-backed reforms moving forward.
Story by: Alexander Kukah @kukahalexander7@gmail.com
