The Centre for Environmental Management and Sustainable Energy (CEMSE) has sounded the alarm over the Electricity Company of Ghana’s (ECG) proposed 225% tariff increase, cautioning that such a steep rise could have devastating repercussions for Ghana’s economy if approved.
Speaking on Morning Starr on Tuesday, CEMSE’s Executive Director, Benjamin Nsiah, warned that the proposed hike threatens to cripple local industries, stifle investment, and deepen household poverty. He emphasized that ensuring electricity remains affordable must be at the heart of Ghana’s energy policy.
“As a government and as a policy, we must be guided by the philosophy of affordability of electricity prices. When electricity prices are affordable, it expands industries, drives industrial growth, and lifts many people out of poverty, especially what we call energy poverty,” Mr. Nsiah explained.
He attributed ECG’s financial woes not to current tariffs but to systemic inefficiencies within its operations. Instead of resorting to steep tariff hikes, Mr. Nsiah urged regulators to focus on reforms that would improve ECG’s efficiency and reduce costs.
The Public Utilities Regulatory Commission (PURC) has yet to decide on ECG’s proposal, which has already ignited heated debate among business leaders, civil society organizations, and consumer advocacy groups. Many are watching closely, aware that the outcome could have far-reaching consequences for the nation’s economic health.
Source: Apexnewsgh.com
