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27th May, 2011

PURC Withholds Tariff Increases For 2nd Quarter

By Anita Nyarko
Mr. Samuel Sarpong, in green shirt, speaking at a press conference
Mr. Samuel Sarpong, in green shirt, speaking at a press conference

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The Public Utilities Regulatory Commission (PURC) has decided to withhold tariff increases country for the second of quarter 2011.

Mr. Samuel Sarpong, Vice Chairman at the Technical Committee of PURC who announced this press conference in Accra yesterday, said the move was due to poor services on the part of utility service providers.

He said the committee was therefore dialoging with the service providers to identify problems hampering their inability to provide quality services and how to solve them.

Mr. Sarpong said the Commission’s recent monitoring, as well as representations made by various consumer groups showed increasing deterioration in the quality of services provided by the utility companies and widespread consumer dissatisfaction.

He said in February 2011, the Commission announced the implementation of its revised Automatic Adjustment Formula (AAF), which sought to track and incorporate movements in key variables which have an impact on the tariffs, but which lie outside the control of the utility companies.

He said the Commission is taking steps to dialogue with all stakeholders, including the utility companies, to establish the causes for recent serious lapses in the quality of service from the utility companies.

“It will investigate the extent to which any possible efficiency savings by the utility companies could mitigate the need for increases in tariffs, particularly in the second quarter of 2011, “he said.

Dr Emmanuel K. Annan, Vice Chairman of PURC said a committee would be set up to use an alternative dispute resolution system to resolve the complaint of consumers.

He said there are a number of illegalities committed by consumers which adversely affect the work of utility providers.
Mr. Annan advised consumers who engage in such illegal acts to desist from them to enable the service providers to generate enough money to give the public what they require.

“Consumers who engage in such practice should endeavour to put a stop to such practice to help the utility providers to get enough money to be able to give consumers what they require, he added.
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Mr. Samuel Sarpong, in green shirt, speaking at a press conference
Mr. Samuel Sarpong, in green shirt, speaking at a press conference
Mr. Samuel Sarpong, in green shirt, speaking at a press conference
Mr. Samuel Sarpong, in green shirt, speaking at a press conference
 
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