Cost of Electricity & Water: Ghanaians Hit With Higher Tariffs in 5 Essential Utilities At The Start of 2023
- The increasing cost of essential utilities in Ghana in early 2023 demonstrates that the cost of living in Ghana is getting high every passing day
- The cost of water, electricity, fuel, internet and even cable TV has gone up in ways that worsen the economic hardship Ghanaians are currently facing
- Already the price of food has been hit by a 54.1% inflation although public sector salaries have been increased by only 30%
PAY ATTENTION: Enjoy reading our stories? Join YEN.com.gh's Telegram channel for more!
Four essential utilities in Ghana have gone up significantly even before the first quarter of 2023, demonstrating once again that the economic situation in the country is dire.
The cost of essential utilities like water, electricity and fuel have also gone up less than three months into 2023. Already, tomatoes, fish and other food items have gone up significantly.
Ghana's inflation in December 2022 has been given as 54.1%, meaning that over a one-year period, the prices of goods and services have increased by more than half. So if a loaf of bread costs GHS10 today that same loaf would cost GHS15.
Despite these increases, salaries have not really been increased to cushion the ordinary Ghanaian. The government has increased the salaries of public sector workers by 30%, however, the percentage increases in water and electricity costs cancel it out completely.
PAY ATTENTION: Сheck out news that is picked exactly for YOU ➡️ click on “Recommended for you” and enjoy!
To cap everything, the government has also increased the VAT rate from 12.5% to 15%, a move that will translate into a higher cost of living.
Below are four of the essential utilities that have seen upward changes in price since the start of 2023
Electricity goes up by almost 30%
The Public Utilities Regulatory Commission (PURC) recently increased electricity tariffs by 29.96 per cent. The PURC explained that the increase was in response to the higher cost of producing power. Six months earlier, the PURC increased electricity by over 30%.
Water bills go up by close to 10%
On the same day that the PURC announced an upward increase in the price of electricity, it also increased the price of water by 8.3%, also the second increment within six months.
The price of all essential fuels has increased significantly
Petrol, diesel and Liquefied Petroleum Gas (LPG) have seen significant increases in their prices. In the first pricing window for the fuels, petrol has gone up by at least 5% to sell at the pumps at GHS15 per litre.
Diesel will be sold by at least 7% higher between February 1 to 16, 2023 at the pumps. Diesel is currently hovering around GHS17 per litre.
LPG has seen the biggest jump in price recently. The price of a kilogramme of the fuel has gone up by up to 25%. Gas was sold at GHS2.26 per kilogramme before January 1, 2023, but it is now selling at around GHS15 per kilogramme.
DSTV and internet charges keep going up
While DSTV and the internet may not be considered essential utilities per se, for others they are critical. DSTV, the most popular cable service in Ghana, and internet charges have been affected by the general price increase in Ghana.
For instance, DSTV Compact packages which were sold for GHS185 have been increased to GHs220, from February 15, 2023, per month. Compact Plus packages which were sold at GHS270 per month will now cost GHS325 per month.
Akufo-Addo fulfils promise to pay rent for Ghanaians
Meanwhile, YEN.com.gh has reported in a separate story that the government on Tuesday, January 31, 2023, launched the National Rental Assistance Scheme, fulfilling a promise made by the president.
Nana Akufo-Addo Akufo-Addo promised in 2020 that his government will assist Ghanaian youths to pay their rent if they retain him for a second term.
The scheme was launched by vice president Dr Mahamudu Bawumia and targets Ghanaian income earners in the formal and informal sectors.
New feature: Сheck out news that is picked for YOU ➡️ click on “Recommended for you” and enjoy!