PURC’s competence questioned by World Bank

The World Bank says the composition of the Public Utilities Regulatory Commission (PURC) is a compromise on competencies required for effective execution of the task of the Commission.

The 2013 World Bank report said Ghana is facing the current challenges in the energy sector because of the kind of people tasked to manage affairs at the Commission.

It is therefore asking government to reconstitute the PURC and employ experts as Commissioners with no stakeholder affiliations to manage the regulatory process.

The World Bank made these remarks because it believes the Commission has delayed in making tariff adjustments in the wake of changing economic conditions.

The PURC was set up as an independent body to regulate and oversee the provision of the highest quality of electricity and water services to consumers.

Under the Energy Commission Act 1997 (Act 541), PURC is also required to approve charges for the supply, transportation and distribution of electricity and natural gas as well as the bulk storage and transportation of petroleum products.

The Commission is made up of nine members and includes a Chairman, an Executive Secretary, and representatives of the Trade Union Congress (TUC) Association of Ghana Industry (AGI), and four other experts.

The Commissioners are appointed by the President in consultation with the Council of State for five-year terms, which are renewable. The Commission is supported by a secretariat headed by the executive secretary.

But according to the World Bank, the composition of the members of the Commission pose challenges to the effective execution of its core mandate, and has called for a change.