The Ghana Union of Traders Association (GUTA) has raised concerns over the recent increase in water and electricity tariffs, warning that it will further strain the purchasing power of consumers.
The Public Utilities Regulatory Commission (PURC) announced on Saturday, September 28, a 3.02% hike in electricity tariffs and a 1.86% rise in water tariffs for the third quarter of 2024, effective October 1. The increases were attributed to fluctuations in the exchange rate, inflation, and rising gas prices.
Joseph Paddy, the Public Relations Officer for GUTA, expressed dissatisfaction with the new tariffs, arguing that the hike will worsen the already difficult living conditions for Ghanaians. He questioned the justifications for the increase, particularly blaming economic instability for the rising exchange rates that have contributed to the tariff adjustment.
“The new tariff is not justifiable. That [the new tariff] is a result of increasing gas prices and also interest rates and exchange rates going up. Who caused the exchange rate to go up? And that is what the fiscal committee has been complaining about, the instability in the system.
He also criticized the timing of the increase, noting that Ghanaians are already struggling with the high cost of living. Paddy urged authorities to reconsider the hike to avoid further burdening the public.
“So they should come again otherwise, it is going to make the cost of living in the country extremely difficult for Ghanaians and very high.
“Already, Ghanaians are complaining that the cost of living is extremely high in the country. And then coupled with that, we are bringing this increase at this critical moment. Even the timing is also a challenge.”
