Managing Director of ECG, Samuel Mahama
Samuel Mahama, the Managing Director of the Electricity Company of Ghana (ECG), has said that the 1.52% reduction in electricity tariffs by the Public Utility Regulatory Commission (PURC), will benefit consumers.
Samuel Mahama, in a 3news.com report, explained that high tariffs often discourage the public from paying their bills, directly impacting the operational costs of the company.
“It will make a lot of difference. It has always been ECG's position that it is not mostly about an increase in tariffs that is going to change anything because the more the tariffs increase and the ECG not having a proper operational turnaround and the more costly the power generation is, it means that people are going to have to pay,” he said.
The Managing Director acknowledged that the impact of the reduction would depend on how consumers utilise electricity in their homes.
He emphasised that individual attitudes, such as turning off appliances when not in use, would play a crucial role in appreciating the benefits of the 1.52% reduction.
“But the reason why this price reduction is coming is because of a few factors. PURC took into consideration inflation, gas price, and the stability of the currency that they used to determine this marginal drop but it will be felt by Ghanaians in terms of how much they now have to pay.
"They will feel it but it all comes about how much you consume, your consumption is what will show whether you are growing to appreciate this 1 percent or you are not going to appreciate the one percent, it is also about our attitudes and whether we are turning off our appliances or not,” he added.
The Public Utilities Regulatory Commission (PURC) on Friday, November 24, 2023, announced a 1.52% reduction in electricity tariffs and an upward adjustment of water tariffs by 0.34% effective December 1, 2023.
The PURC explained that these adjustments are carried out in line with the Commission's Quarterly Tariff Review Mechanism, which tracks and incorporates movement in key uncontrollable factors, namely the exchange rate between the US$ and the Ghana Cedi, domestic inflation rate, the electricity generation mix, and the cost of fuel, mainly natural gas.
The new tariffs therefore cover the period from December 01, 2023, to February 29, 2024.
Ghana’s leading digital news platform, GhanaWeb, in conjunction with the Korle-Bu Teaching Hospital, is embarking on an aggressive campaign which is geared towards ensuring that parliament passes comprehensive legislation to guide organ harvesting, organ donation, and organ transplantation in the country.
WN/BB
Click here to follow the GhanaWeb General News WhatsApp channel
Watch this episode of The Lowdown to get all the knowledge about acquiring shares in a company:
