Tariff review looms as GWCL describes PURC's recent hike as insignificant

Thursday, 02 July 2015 14:54
Ghana Water Company wants the automatic adjustment formula scrapped Ghana Water Company wants the automatic adjustment formula scrapped

The Ghana Water Company Limited (GWCL) has hinted at a major review of tariffs within the year as it complains the Public Utilities Regulatory Commission (PURC) did not consider some factors in its recent review.

The Commission last Monday announced 15 and 51.73 per cent adjustments for water and electricity respectively.

It is the result of the automatic adjustment formula for the third quarter of the year.

Speaking on TV3’s Midday Live on Thursday, July 2, Stanley Martey, the head of communications at GWCL, said the review by the Commission for the next quarter is “woefully inadequate”.

Mr Martey said the PURC did not take into consideration the Company’s operational costs especially by its constant usage of power to produce the utility.

According to him, the Company expends about 50 per cent of its revenue on electricity, leaving it with little to pay its debt and maintain its gadgets.

“We are going to have a major review of tariffs this year,” he stated, hoping that will correct the anomaly.

He said Accra has currently overshot its production expectation with an excess of 2 million gallons of water produced each day.

Source: tv3network.com|Ghana