The Public Utilities Regulatory Commission (PURC) has approved new tariffs for electricity, natural gas, and water, effective January 01, 2026.
The major Multi-Year Tariff Order (MYTO) review results in a 9.86 per cent average increase for electricity and a 15.92 per cent increase for water tariffs across all customer categories for the period 2026-2030.
According to the Commission’s decision released Tuesday, the review is a statutory requirement under the PURC Act, 1997 (Act 538).
It considers the capital and operational investment requirements of the utilities, the competitiveness of industries, and the general living conditions of consumers.
Key factors underpinning the approved electricity tariff include a significant shift in the generation mix.
Thermal generation is projected to increase to 16,803 GWh (78.79% of the mix), while hydro generation decreases to 3,838 GWh (20.9%).
The weighted average cost of gas (WACOG) is set at US$7.8749/MMBtu.
Approved macroeconomic variables for the period include an exchange rate of GHS 12.0067 to the US Dollar and an inflation rate of 8 per cent.
The decision also sets the average distribution system losses at 21.5 per cent.
A notable reform is the inclusion of mini-grid tariffs.
The cost of supplying electricity to island communities at the uniform national rate has been added to the revenue requirement of the Volta River Authority (VRA) to ensure seamless implementation and universal access.
For water, the approved tariff factors in a production volume of 364.95 million cubic metres and aims to reduce Non-Revenue Water to 43 per cent.
The PURC clarified that these base tariffs would remain in force for five years but will be subject to quarterly reviews to adjust for changes in the exchange rate, inflation, generation mix, and fuel costs.
