Business News of Thursday, 17 April 2025

Source: otecfmghana.com

Consumer Protection Agency threatens legal action against PURC over tariff adjustments

The Consumer Protection Agency (CPA) has vowed to sue the Public Utilities Regulatory Commission (PURC) over its decision to adjust tariffs, describing the move as illegal.

According to the CPA, they will head to court to stop PURC if their calls to halt the tariff adjustments fall on deaf ears.

The Director in Charge of Mediation and Arbitration at the CPA, Nana Prempeh Okogyeabur, revealed that the committees legally mandated to review tariffs at PURC, including the Technical Committee and the External Committee, have yet to be constituted after the change in government.

Speaking on OTEC 102.9 FM's Dwabrem show on Wednesday, hosted by Dr. Cash, Nana Prempeh emphasized that allowing the tariff adjustment would cripple not only businesses but also ordinary Ghanaians.

The PURC had announced a 14.75% increase in electricity tariffs and a 4.02% increase in water tariffs, effective May 2, 2025. The adjustments were attributed to factors such as exchange rates, inflation projections, fuel costs, and the current hydro-thermal generation mix. However, the CPA questions the legitimacy of this decision, arguing that the PURC did not conduct sufficient consultations and failed to adequately represent consumer interests.

Nana Prempeh noted that the CPA will do everything possible to halt the tariff adjustment, stressing that the agency's primary concern is to protect consumers from unfair practices.

The CPA believes that without the reconstitution of the Technical and External Committees, PURC's decision lacks legitimacy and fails to meet the standards of fairness, transparency, and inclusivity.

The agency has urged the PURC to suspend the proposed tariff adjustments until broad-based consultations are conducted and consumer interests are properly represented.

The CPA also expressed concern over the quality of service delivery by utility providers, pointing to unresolved complaints consistently raised by consumers.