The Chairman of Parliament’s Select Committee on Energy, Emmanuel Kwasi Bedzrah, has stressed that the House will not approve any electricity tariff increment until power sector agencies demonstrate significant improvements in revenue collection and efficiency.
Speaking to journalists after a monitoring visit to the Ghana Grid Company Limited (GRIDCo), the Energy Commission, and the Public Utilities Regulatory Commission (PURC), the Ho West Member of Parliament (MP) said the committee had repeatedly cautioned that tariff hikes must be justified by evidence, not external pressure.
Mr. Bedzrah revealed that widespread commercial losses remained a major concern, citing meters distributed in rural areas that are yet to be captured in the national grid for billing.
“If you add up all those meters into the collection of the revenue or collection of money as tariff, I believe that we will not get to that 225 percent that we’re looking at,” he said. He further pointed to illegal power connections and weak internal collection methods as significant leakages.
“We think that it is high time now they begin to look at how much they collect and how they can collect the revenues that are due to them,” he said, insisting that any call for higher tariffs must be preceded by clear steps to plug these gaps.
While acknowledging the need for new investments in the power sector, the committee chair questioned why the country already pays the highest electricity tariffs in the sub-region despite exporting power to neighbouring countries such as Benin.
Mr. Bedzrah also raised alarms over illegal mining activities (galamsey) undermining electricity infrastructure.
He warned that the excavation of soil around high-voltage pylons could lead to fatal accidents and national blackouts if not checked.
GRIDCO
The committee plans to present a comprehensive report to Parliament for debate, which will guide any decision on the forthcoming multi-year tariff review.
“We are the representatives of the people. We cannot sit down for any rate to be bundled at us. We need to know what exactly it entails and if we are going to be in the same alignment or the same price range with our neighbours,” Mr. Bedzrah affirmed.
During the visit, GRIDCo’s Deputy Chief Executive for Engineering and Operations, Frank Okyere, outlined plans to enhance power transmission through the $353.65 million Eastern Corridor Project, which will expand and upgrade substations and construct new transmission lines across the Volta, Bono East, Oti, Savannah, and Northern regions.
The management said feasibility, environmental, and social impact assessments, and resettlement compensation were underway, with construction expected to begin in 2027.
They urged expedited financial clearance under the Public Financial Management Act to fast-track implementation and highlighted threats to transmission infrastructure from illegal mining (Galamsey) and encroachment, stressing proactive planning for future renewable integration.
Energy Commission, PURC
The Executive Secretary of the Energy Commission, Eunice A. Biritwum, told the Committee on Energy that Ghana was steadily advancing its energy transition despite the 2070 target being ambitious.
She enumerated ongoing solar, wind, and hybrid projects, including VRA’s wind-solar initiatives and the 12,000-installation scheme with battery storage.
She urged stronger support for local industries to drive renewable energy growth and sustainability.
The Executive Secretary of PURC, Dr. Shafic Suleman, said his outfit had tightened oversight of power-sector revenues through the cash waterfall mechanism and the consolidation of ECG’s 80 accounts into a single holding account.
He flagged the absence of a regulatory framework for clean drinking water as a major national gap and urged lawmakers to pass a Clean Water Act.
He outlined ongoing multi-year and quarterly tariff reviews, clarified that IMF requirements do not mandate automatic increases, and highlighted challenges with streetlight maintenance, industrial gas subsidies, and the need for stronger stakeholder engagement nationwide.
Source: myjoyonline.com
