Dr. Shafic Suleman
The Public Utilities Regulatory Commission (PURC) has announced an increase in electricity tariffs by 3.49% and a marginal upward adjustment in water tariffs by 0.85%, effective July 1, 2026.
In a statement signed and issued yesterday by the Executive Secretary of the Commission, Dr. Shafic Suleman, the PURC said the adjustments were carried out in line with its mandate to review tariffs on a quarterly basis to reflect developments within the period under review.
The statement explained that the quarterly reviews track and incorporate movements in key operational factors such as the exchange rate between the Ghana cedi (GH¢) and the United States dollar ($), the domestic inflation rate, the electricity generation mix, and the cost of fuel, mainly natural gas, used to power thermal plants.
These factors, it noted, are beyond the control of the Utility Service Providers (USPs) but are critical to the delivery of utility services.
The Commission said its analysis considered the Ghana cedi-US dollar exchange rate and applied a weighted average exchange rate of GH¢11.2228 to US$1.00 for the third quarter of 2026.
“In view of the overall impact of the hydro-thermal generation mix, Ghana cedi-US dollar exchange rate, inflation rate, and natural gas price, the Commission has taken the decision to adjust electricity tariffs by 3.49% across board for the third quarter of 2026. Water tariffs have been adjusted marginally upwards by 0.85% for the third quarter of 2026,” it stated.
According to the Commission, the projected exchange rate is based on the three-month actual inter-bank average Ghana cedi-US dollar selling exchange rate for the period April 1, 2026, to June 19, 2026, which indicates a 0.2% depreciation of the Ghana cedi from the second-quarter rate of GH¢11.1931 to US$1.00.
On inflation, the Commission said it applied a three-month average inflation rate of 3.43% for the period April 1, 2026, to June 19, 2026, for the third quarter of 2026, representing a downward adjustment of 17.14% from the previous quarter’s rate of 4.17%.
“On the price of natural gas, the Commission applied a Weighted Average Cost of Gas (WACOG) of US$7.9708/MMBtu, indicating a downward adjustment of 1.58% from the previous quarter’s rate of US$8.0988/MMBtu,” the statement said.
It further noted that the projected hydro-thermal generation mix for the quarter under review remained unchanged, with 20.9% from hydro generation and 79.1% from thermal generation, the same proportions applied in the second quarter.
The Commission assured the public that it would continue to monitor the operations of regulated service providers and hold them accountable to regulatory standards and benchmarks to ensure value for money and improved quality of service delivery.
By Ebenezer K. Amponsah