The Minority in Parliament has slammed the government’s recent utility tariff increases, calling for the immediate withdrawal of what they describe as punitive and unjustified hikes that will worsen the economic conditions of Ghanaians.
This comes in response to the recent announcement by the Public Utilities Regulatory Commission (PURC), which approved a 9.86 percent increase in electricity tariffs and a 15.92 percent rise in water tariffs effective January 1, 2026, as part of its multi-year review from 2026 to 2030.
The Commission said the adjustments were necessary to support investment needs, account for inflation and exchange rate movements, and ensure utility providers remain competitive.
But the Minority insists the government must prioritise fixing systemic inefficiencies rather than passing the cost on to consumers.
They argue that recovering the millions lost annually to power losses would significantly reduce the need for tariff adjustments. The caucus maintains that Ghanaians cannot withstand further increases and that immediate reversal is the only responsible action.
Addressing journalists in Accra on Monday December 8, George Kwame Aboagye, Ranking Member on the Energy Committee and MP for Asene Manso Akroso, warned that the cumulative 28.14 percent rise in electricity tariffs within a short period was unacceptable, especially at a time when the country continues to record persistent commercial and technical power losses totaling 32 percent.
According to him, the government’s decision to impose fresh tariff hikes despite these inefficiencies amounts to “a direct assault on the livelihoods of ordinary Ghanaians and the survival of businesses,” stressing that the administration had chosen“ the lazy path of shifting its failures onto already suffering consumers.”
Aboagye argued that the increases would erode the recently approved 9 percent weight adjustment for 2026 and push more households into what he described as “utility poverty,” leaving families unable to afford basic electricity.
He cautioned that small and medium-scale enterprises, which form the backbone of the economy, would face collapse under the burden of rising operational costs.
“These tariff hikes are not reforms—they are punishments,” he said. “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.”
Referring to the country’s energy performance, Aboagye questioned why large-scale losses continue despite stable demand levels.
He explained that Ghana’s current peak demand of 4080 megawatts and an average demand of about 3500 megawatts highlight the scale of inefficiencies.
“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 talk about losses, but it seems nobody is taking serious account of them. When you say review, review can be downward or upward, so why not downward?”
