The Public Utilities Regulatory Commission (PURC) has confirmed upward revisions to electricity and water tariffs following the conclusion of its 2026–2030 Multi-Year Tariff Review (MYTO).
The new charges will come into effect on January 1, 2026.
In a statement, the Commission explained that the decision was reached after months of investment hearings, stakeholder engagements, and regional consultations held nationwide as part of the regulatory process.
Electricity tariffs across all customer categories are set to rise by 9.86%. PURC noted that the adjustment reflects the investment requirements of power utilities, anticipated generation inputs, and broader economic indicators including inflation, the cedi-to-dollar exchange rate, and the cost of natural gas. The review also took into account operational expenses and the regulated asset base of utilities over the next five years.
Quarterly tariff reviews will continue, allowing adjustments for factors beyond the control of utility providers, such as fuel costs and changes in the generation mix.
Water tariffs will also see an increase of 15.92% over the 2026–2030 period. According to PURC, this revision is based on projected production and sales volumes, levels of non-revenue water, expected capital investment needs, and prevailing macroeconomic conditions.
Charges for residential consumers will rise across all consumption bands, while non-residential, commercial, industrial, and public institutions will also face higher rates. Service charges, however, will remain largely unchanged.
For the first time, the MYTO framework includes tariffs for mini-grids serving island and remote communities. The cost of supplying these areas at uniform national rates has been factored into the revenue requirement of the Volta River Authority (VRA), ensuring smoother implementation.
Key projections under the new tariff plan include:
- Electricity generation mix: Thermal at 78.79%, hydro at 20.90%, and renewables at 0.31%.
- Weighted Average Cost of Gas (WACoG) rising to US$7.8749/MMBtu.
- Improved targets for reducing transmission and distribution losses.
- Inflation assumption of 8% and an exchange rate forecast of GHS 12.01 to US$1.
For the water sector, PURC considered updated production and sales expectations, alongside a projected decline in non-revenue water levels to 43%.
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