Business News of 2014-02-21

Suspend Kpong shutdown – PURC orders GWCL

The Public Utilities and Regulatory Commission (PURC) has issued an order to the Ghana Water Company Limited (GWCL) to suspend its intention to shutdown the Kpong Water Works between February 24 and February 27, this year.

PURC, in a press release issued yesterday in Accra and signed by Nana Yaa Jantuah, PR & External Affairs Director, said the order has become necessary following the prevailing water crisis in the Accra-Tema Metropolitan Area.

“Against this background and in view of the water crisis already prevailing and in pursuance of its mandate to protect the interest of consumers, the Commission hereby orders that GWCL should immediately suspend the intended shutdown of the Kpong Water Works until further notice.

“GWCL shall furnish the Commission with the schedule of works and planned completion date for the repair of the transmission pipelines supplying water from Weija Plant and expansion for interconnection works at the Kpong Water Plant.”

It said the stated intention of GWCL to shutdown the Kpong Water Plant indicated failure to comply with duty of care and protection of consumers in the country.

“The power conferred on the PURC to issue a regulatory order is under Section 12 (1) of the PURC Act 1997, Act 538 which states that where the Commission discovers on its own or upon a complaint that the service provided by a public utility is not in accordance with the Act 538, the Commission shall, in writing, direct the provision of the adequate or reasonable service that should be provided by the public utility.”

The Commission called for the best estimation of time for normalization of water supply to consumers following the completion of repair works on the Weija-Accra and Tema-Accra Transmission Pipelines.

“Failure to comply with the above-stated directive makes GWCL liable to committing an offence under Section 38, 41 and 42 of the Public Utilities Regulatory Commission Act (Act 538).