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‘PURC must act’: CUTS, CEMSE call for electricity tariff cut as cedi strengthens

by Newsroom
15 May 2025
in Business
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CUTS International Accra and the Center for Environmental Management and Sustainable Energy (CEMSE) are calling on the Public Utilities Regulatory Commission (PURC) to initiate stakeholder consultations for a possible reduction in electricity tariffs for the third quarter of 2025.

The two organizations cite improving macroeconomic indicators including an 18% appreciation of the Ghana cedi and easing inflation as grounds for tariff cuts, arguing that electricity consumers deserve tangible benefits from the recent economic gains.

In a joint statement, Appiah Kusi Adomako, West Africa Regional Director for CUTS International, and Benjamin Nsiah, Executive Director of CEMSE, outlined the major cost factors that now favor downward tariff adjustment.

“These positive macroeconomic indicators provide a strong case for tariff reduction,” said Adomako, adding that lower electricity tariffs would help reduce household financial strain, support industrial competitiveness, and help fight inflation.

The organizations also highlighted a likely increase in hydropower contribution and government subsidies on natural gas as additional buffers against global cost pressures.

The statement urged the PURC to fulfill its legal mandate under the Public Utilities Regulatory Commission Act 1997 (Act 538), especially Section 16(3)(a), by prioritizing consumer protection in the next tariff window.

Nsiah called for reforms to address ECG inefficiencies, saying, “PURC must address ECG’s management challenges and link future tariff reviews to institutional reforms that enhance efficiency and service delivery.”

They concluded that a well-timed tariff cut could support economic recovery, create jobs, and restore public confidence in utility regulation.

Tags: Appiah Kusi AdomakoBenjamin NsiahCenter for Environmental Management and Sustainable Energy (CEMSME)CUTS International AccraPublic Utilities Regulatory Commission (PURC)
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