ECG to provide additional meters for households

The Electricity Company of Ghana (ECG) is considering providing additional meters for low-income households with consumption per month exceeding 300 units.

This is to ensure those within the group benefited from the 40 percent subsidy, Mr Stephen Adu, Executive Secretary of the Public Utility Regulatory Commission (PURC), said in Kumasi at the weekend.

Speaking at a forum, Mr Adu said PURC considered the likely impact on residential customers particularly those in the low-income group in determining tariffs.

He said the lifeline block tariff of 14,000 cedis was targeted at the poor and vulnerable living in compound houses but used less than 50 units per month.

Although, the block charge appear high it is less than the cost of providing the service and is 60 percent subsided, he explained.

Mr Adu said for additional consumption they pay a concessionary rate of 400 cedis per unit, which was also less than the cost of providing the service.

He said 17 percent of residential consumers used less than 50 units while 59 percent consumed between 51 and 300 units per month in the Ashanti Region.

"This means 76 percent of consumers in the Ashanti region use less than 300 units per month and enjoy the 40 to 60 percent subsidised rates".

Mr Adu said increases in water tariffs was to help the Ghana Water Company Limited (GWCL) recover electricity cost in production and to raise revenue for operational and rehabilitation works.

He called on the people to use utilities wisely, saying, the current level of wastage was estimated at 30 percent.

Conservation practices would not only result in lower bills but also ensure adequate and sustained supplies, Mr Adu added.

Dr A.K. Ofosu-Ahenkorah, Executive Director of the Energy Foundation, advised consumers against buying second-hand electrical appliances since even though they were cheaper, consumed more electricity, which swelled their bills.