The Public Utilities Regulatory Commission (PURC) has announced that, electricity tariffs shall remain unchanged until the end of the second quarter of 2019, noting that changes will be.
The PURC, in a statement dated, February 27, 2019, and signed by Commision’s Executive Secretary, Mame Dufie Ofori, has said, the decision on on tariff changes will be announced on due course, to be effective July 1, 2019.
According to the PURC, the decision to maintain electricity tariffs is due to “critical emerging issues in the sector which are expected to affect the final tariff setting.” The statement adds that, issues such as the planned relocation of the Karpowership Plant resulting in fuel switch savings, from Heavy Fuel Oil (HFC) to Natural Gas and reductions in the price of natural gas accounted for the maintaining of the electricity tariffs..
The Commission has however disclosed that, in the interim it will “closely monitor the operations of Power Distribution Services (PDS) Ghana Limited, which is expected to take over the operation of ECG assets on February 28, 2019”.
This according to the Commission, is to to establish the PDS’ actual operation cost and any other efficiency gains in the running of the distribution network.
Meanwhile, the concession agreement between government and a consortium of investors, led by Manila Electric Company (Meralco) for Private Sector Participation (PSP) in the Electricity Company of Ghana (ECG), would take off in February 27, 2019.
This was confirmed by the Millennium Development Authority (MiDA) following postponement of the implementation of the agreement, last month.
Ghana signed the Power Compact with the United States of America (USA) through the Millennium Challenge Corporation (MCC), an independent US government agency, on the sidelines of the US Africa Leaders’ Summit in Washington DC on August 5, 2014.
Six projects; ECG Financial and Operational Turnaround Project, NEDCo Financial and Operational Turnaround Project, Regulatory Strengthening and Capacity Building Project and Access Project, Power Generation Sector Improvement Project and Energy Efficiency and Demand Side Management Project would be implemented to tackle power unavailability and unreliability in the country.