Ghana raises electricity tariffs by more than 18%

Ghana raises electricity tariffs by more than 18% amid cost of living crisis

News Agency Of Nigeria

May 17, 2023 2:56 PM

Ghana is grappling with soaring inflation, debt, and a depreciating currency.

Ghanaian president, Nana Akufo-Addo [BBC]

Ghana utility regulator on Wednesday said the average end-user tariff for electricity has been increased by 18.36% for the second quarter of 2023.

According to the regulator, Ghana had previously added almost 30% tariff in the first quarter.

The West African country is grappling with soaring inflation, debt, and a depreciating currency that pushed it to the brink of default.

It has sought support from the International Monetary Fund (IMF), which is expected to approve the first loan tranche of a $3 billion package on Wednesday.

The Public Utilities Regulatory Commission said the tariff hike was due to the net effect of further currency depreciation, inflation, and an increase in the cost of gas.

"Utility companies are under-covering and require an upward adjustment of their rates in order to keep the lights on," it added, noting that the potential for outages was high.

News Agency Of Nigeria