COPIO Opposes Proposed Utility Tariff Increases

The Centre of Posterity Interest Organization (COPIO) has submitted a position paper to the Office of the President, expressing strong opposition to the sharp tariff hikes proposed by state-owned utility companies.

In its submission, COPIO warned that the proposed increases, ranging from 91% to 280% across electricity, water, gas, and grid services, would have devastating effects on Ghana’s economy, businesses, and vulnerable households, particularly women and children.

The Electricity Company of Ghana (ECG) is seeking a 225% increase in its Distribution Service Charge for the 2025–2029 regulatory period. The Ghana Water Company Limited (GWCL) has requested a 280% rise in water tariffs, citing the high cost of water treatment caused by galamsey pollution. Ghana National Gas Company has proposed a 91% adjustment, while GRIDCo is asking for a 130% hike, all citing operational and financial challenges.

COPIO acknowledged the challenges facing the utilities but argued that the proposed increases are disproportionate and inconsistent with Ghana’s socio-economic realities. The organization noted that inefficiencies, technical losses, weak governance, and corruption are at the heart of the utilities’ financial difficulties, and that simply passing the burden onto consumers is not a sustainable solution.

“Utilities are not luxuries; they are necessities. These steep increases will translate into unbearable bills for households and collapse many small and medium enterprises already struggling under inflation and currency depreciation,” the statement read.

COPIO further stressed that women-led households and vulnerable groups would bear the heaviest burden, risking deeper poverty and widening inequality. It also raised concerns about intergenerational equity, cautioning that such policies could stifle innovation and entrepreneurship, thereby mortgaging the country’s future.

The organization has recommended that the government reject the proposed hikes in their current form and instead demand phased and reasonable adjustments. It also called for urgent reforms to improve metering, reduce technical losses, strengthen accountability, and promote renewable energy adoption.
Additionally, COPIO urged the expansion of lifeline tariffs to cushion low-income households and targeted incentives for SMEs to remain competitive.

Concluding its submission, COPIO appealed to the Chief of Staff and the Presidency to intervene to ensure utility pricing reflects fairness, equity, and sustainability.

“For posterity, for equity, and for the future of Ghana, these increments must not be allowed in their current form,” said Mustapha Maison Yeboah, Executive Director of COPIO.

Leave a Comment