The Public Accounts Committee (PAC) of parliament has questioned the Electricity Company of Ghana’s (ECG) justification for its constant quarterly upward tariff adjustments, citing significant financial infractions and inefficiencies uncovered in the 2024 Auditor-General’s Report.
Electricity tariffs for all consumer categories went up by 1.14 percent on October 1, 2025, as part of ECG’s quarterly review mechanism.
The utility provider is, however, seeking approval from the Public Utilities Regulatory Commission (PURC) for a much larger 225 percent increase in its Distribution Service Charge for the 2025–2029 tariff period.
The Auditor-General’s Report revealed worrying expenditure overruns — with foreign training costs rising from a budgeted GH¢21 million to GH¢91 million, cleaning expenses increasing from GH¢2.8 million to GH¢10.4 million, and consultancy fees jumping from GH¢40 million to GH¢58.6 million.
PAC Chair Abena Osei-Asare, during a sitting on Tuesday, October 28, 2025, argued that such inefficiencies weaken ECG’s case for higher tariffs.
“Looking at all the infractions that you have been cited here for and the quantum of money involved — if we should manage the resources we have efficiently, I don’t think we should look at tariff increments per the arrangement,” she said.
She further cautioned that the current quarterly tariff adjustments — coupled with evidence of wasteful spending — undermine public confidence in the company.
“If we use these resources efficiently, we can support the difference in what you buy and how much we pay for. But quarterly increments of tariffs with all these infractions — something doesn’t sit well,” she added.
Sompaonline.com
