Energy Ministry Denies 225 per Cent Increment in Ghana's Electricity Tariff
- The Ministry of Energy and Green Transition has denied reports that ECG intends to increase the electricity tariff by 225 per cent
- The Electricity Company of Ghana reportedly submitted a new Distribution Service Charge with an increase to the PURC for review
- Richmond Rockson, however, has urged the public to disregard the claims, saying PURC is only conducting an investment hearing
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The Ministry of Energy and Green Transition has denied widely circulating reports that the Electricity Company of Ghana (ECG) tabled a 225 per cent increase in its Distribution Service Charge proposal.
According to a report by Joy News, the new tariff increment was submitted to the Public Utilities Regulatory Commission (PURC) by the ECG.
Source: UGC
The proposed new charge, according to media reports, would see the Distribution Service Charge increasing from its current GHp19.0384/kWh to GHp61.8028/kWh for the period between 2025 and 2029.
The Distribution Service Charge reportedly constitutes 11 per cent of the total electricity value chain cost, which is said to be below the global benchmark of 30–33 per cent.
This deficit, coupled with the Ghana cedi’s 74 per cent depreciation between 2022 and 2024, has reduced the real value of the company’s revenue by 45 per cent.
The Electricity Company of Ghana explained that the increase was necessary to avert financial collapse.
Reacting to the proposed 225 per cent increment, the Public Relations Officer (PRO) of the Ministry of Energy and Green Transition, Richmond Rockson, refuted the widely circulated report.
In a post on X, he asked the general public to disregard the reports while explaining that the PURC is undertaking an investment hearing for utility providers.
"Ignore the mischievous reports that the electricity tariff has been increased by over 225%. That is false!" he wrote.
"The Public Utilities Regulatory Commission (PURC) is undertaking an investment hearing for utility providers. This is part of the Commission’s regulatory reform efforts to ensure a detailed and in-depth review of the utility providers’ investments to serve as a guide for tariff review.
"Some utility providers have submitted their proposals. The PURC will review the proposals, together with their rate-setting guidelines, and arrive at a decision," he concluded.
Read the post below:
Electricity tariff increases in recent times
Meanwhile, on July 1, 2025, the PURC raised electricity tariffs for all categories of consumers by 2.45 per cent.
The PURC said it factored in key economic variables, such as the cedi-to-dollar exchange rate, inflation, natural gas prices, and the electricity generation mix between hydro and thermal sources.
These factors, the PURC explained, significantly impact the cost of delivering utility services, prompting the need for regular reviews to sustain the financial health of service providers.
Before the July increase, electricity tariffs were increased by an average of 14.75 per cent.
Source: Facebook
Adom Kyei-Duah settles GH¢300K debt to ECG
Earlier, YEN.com.gh reported that Stephen Adom Kyei-Duah, the founder and leader of the Believers Worship Centre, had paid his electricity bills to the ECG.
The church had an outstanding debt of GH¢308,741.16 to the state electricity company, with many social media users commending the preacher for paying.
Proofreading by Bruce Douglas, copy editor at YEN.com.gh.
Source: YEN.com.gh
