New utility tariff hikes will worsen cost of living – GUTA

The Ghana Union of Traders Association (GUTA) has raised concerns about the recent increase in water and electricity tariffs. GUTA questions the reasons behind the tariff adjustments and believes that these increases will further reduce consumers’ purchasing power. The Public Utilities Regulatory Commission (PURC) announced a 3.02% increase in electricity tariffs and a 1.86% rise in water tariffs for the third quarter of 2024, effective October 1. The reasons cited for the adjustments include exchange rate fluctuations, inflation, and gas prices.

Public Relations Officer for GUTA, Joseph Paddy, bemoaned that the increase will worsen Ghanaians’ living standards. “The new tariff is not justifiable. That [the new tariff] is a result of increasing gas prices and also interest rates and exchange rates going up. Who caused the exchange rate to go up? And that is why the fiscal committee has been complaining about the system’s instability.

“So they should come again otherwise, it is going to make the cost of living in the country extremely difficult for Ghanaians. “Already, Ghanaians are complaining that the cost of living is extremely high in the country. And then coupled with that, we are bringing this increase at this critical moment. Even the timing is also a challenge.”

By: Daniel Oduro-Mensah