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General News of Wednesday, 30 October 2013

Source: XYZ

Govt will not bow to TUC's pressure

The Government has given indication that it will not bow to pressure from organized labour to reduce utility tariffs.

The TUC is threatening to demonstrate and strike next month if the tariffs are not slashed by one third.

But a Deputy Information Minister, Felix Kwakye Ofosu told the Presidential press corps that the TUC’s demand amounts to interference in the work of the PURC.

Mr. Kwakye Ofosu said this will worsen water and electricity supply.

“If they reduce it to 60 percent, government has to cough up 207 million Ghana cedis and above to pay subsidies that could seriously impact on government’s ability to meet other expenditure.

“The law that sets up PURC does not permit government to interfere in their work…meeting the demands of organized labour has implications for other critical expenditure, it can lead to a situation where the system grinds to a halt”.