The Minority in Parliament has criticised the government over the latest utility tariff increases, calling for an immediate withdrawal of what they describe as punitive and unjustified hikes that will deepen the economic hardship facing Ghanaians.
Their concerns follow the announcement by the Public Utilities Regulatory Commission (PURC), which has approved a 9.86% increase in electricity tariffs and a 15.92% rise in water tariffs effective January 1, 2026, as part of its 2026–2030 multi-year review.
The Commission justified the upward adjustments, saying they are necessary to sustain investment, respond to inflation and exchange rate pressures, and maintain the competitiveness of utility providers.
But the Minority maintains that the government should focus on resolving longstanding systemic inefficiencies instead of passing additional costs on to already struggling households and businesses.
They argue that recouping the millions lost annually through power losses would significantly reduce the need for tariff hikes. According to the caucus, Ghanaians “cannot withstand further increases”, insisting that an immediate reversal is the responsible course of action.
Addressing journalists in Accra on Monday, December 8, Ranking Member on the Energy Committee, George Kwame Aboagye, warned that the cumulative 28.14% rise in electricity tariffs within a short period is unacceptable, especially when Ghana continues to record persistent commercial and technical power losses totalling 32%.
He said the government’s decision to impose new tariff increases despite these inefficiencies amounts to a direct assault on the livelihoods of ordinary Ghanaians and the survival of businesses, accusing the administration of choosing the lazy path of shifting its failures onto already suffering consumers.
Aboagye further cautioned that the hikes will erode the recently approved 9% weight adjustment for 2026 and push more households into “utility poverty,” leaving families unable to afford basic electricity.
He added that small and medium-sized enterprises, the backbone of the economy, risk collapse under rising operational costs.
“These tariff hikes are not reforms; they are punishments. They are not solutions. They are symptoms of failed leadership and poor policy choices. We call on the government to halt these incessant increases. The Minority stands with Ghanaian workers, households, small businesses, and industries struggling to survive. These tariff hikes must be reversed immediately,” he said.
Aboagye questioned how the country continues to suffer massive losses despite stable demand levels.
He cited Ghana’s current peak demand of 4,080 megawatts and an average demand of 3,500 megawatts, stressing that the scale of losses is unacceptable.
“If you deduct 30 percent losses, 12 percent technical, and 20 percent commercial, you can see the magnitude of money lost. We are losing about 80 to 90 million dollars,” he noted.
“Tell me, can’t we use this money to offload whatever cost or debt we have? Every time we discuss losses, it seems nobody is taking them seriously. When you say review, review can be downward or upward, so why not downward?”
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