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Business News of Tuesday, 15 January 2019

Source: rainbowradioonline.com

We want 15% reduction in tariffs -TUC

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The Trades Union Congress (TUC) is proposing a 15% reduction in tariffs.

The TUC is asking the Public Utility Regulatory Commission (PURC) and other bodies to take into account the income levels of Ghanaians before any adjustment is made for 2019.

Speaking to Rainbow Radio’s Afia Kwarteng Asamani at a public hearing on Monday, the Director in charge of Research at the Trade Union Congress, Kwabena Otoo said, the average income is around GHc800-900 with just 10% increment in salaries in the public sector.

He said it would be important for the PURC and other utility bodies to take into account the dynamics before any adjustments are made.

According to him, the Independent Power agreement we signed led to a situation where we had excess capacity in the system and this same excess capacity is being repackaged for consumers to pay , a situation he lamented is not fair.

The TUC he noted is anticipating further reduction in fuel prices, gas, inflation and if we do all these and the PURC ensures that the various utility companies reduce their system loses, then we will not have a situation where consumers would be burdened.

Mr Kwabena Otoo stressed on the need for the PURC to ignore any recommendation for tariff increment but reduce it by 15%.

The political implication for any increment hr warned maybe dangerous hence the nerd for the regulator to evaluate all the dynamics involved.