The Director of the West Africa Regional Centre of CUTS International, Appiah Kusi Adomako, has criticised the Public Utilities Regulatory Commission’s (PURC) approach to quarterly electricity tariff adjustments, arguing that the current system fails to address the root causes of Ghana’s rising power costs.
According to him, the tariff-setting framework relies heavily on predefined indicators such as inflation, exchange rate movements, natural gas prices, and the electricity generation mix, making tariff increases almost inevitable whenever those variables rise.
Speaking on The Big Issue on Channel One TV on Saturday, June 27, 2026, Appiah Adomako said although the formula provides consistency, it overlooks deeper structural inefficiencies within Ghana’s energy sector.
“What PURC did this week is that they are following the formula, which means that every quarter, you must adjust the tariff, and going by the agreed metrics—inflation, exchange rate, the cost of natural gas, and also the power generation mix—that’s what PURC is using in determining this price,” he said.
He argued that the regulator should pay greater attention to operational inefficiencies, particularly within the Electricity Company of Ghana (ECG), where technical and commercial losses continue to place significant pressure on electricity prices.
According to him, commercial losses are estimated at about 32%, while technical losses range between 10% and 12%, adding that reducing these losses could help ease the burden on consumers.
“If PURC had adverted their minds to that, it could have also meant that this particular increase would have been postponed,” he stated.
Appiah Adomako further warned that unless Ghana takes deliberate steps to reduce inefficiencies across the power value chain, electricity tariffs will remain high, affecting businesses, households, and the country’s industrial competitiveness.
