GNCCI says 2.45% power tariff hike won’t affect prices

The Ghana National Chamber of Commerce and Industry (GNCCI) has downplayed concerns that the recent 2.45% electricity tariff hike will affect the prices of goods and services.

This follows the Public Utilities Regulatory Commission’s (PURC) announcement of a 2.45% increase in electricity tariffs across all categories, effective July 1, 2025. Water tariffs remain unchanged for the third quarter.

GNCCI CEO Mark Badu-Aboagye told Citi Business News that the hike is minor and unlikely to push prices up. “If key economic indicators improve further, we expect electricity tariffs to eventually drop,” he said.

He acknowledged that Ghana’s electricity costs are already high, and the increase will slightly raise production expenses. However, he doesn’t foresee a major impact on consumer prices.

Meanwhile, civil society groups, CUTS International Accra, and the Centre for Environmental Management and Sustainable Energy (CEMSE) have urged PURC to halt the hike. They argue the adjustment isn’t justified, given recent macroeconomic gains.

The two organizations pointed to the Cedi’s sharp appreciation and falling inflation, factors that should have supported a tariff reduction, not an increase.

In a joint statement, Appiah Kusi Adomako (CUTS International) and Benjamin Nsiah (CEMSE) criticized PURC for ignoring current economic data and failing to meet public expectations for lower tariffs.