By Jeorge Wilson KINGSON
The utility service providers in the country, comprising the Volta River Authority (VRA), Electricity Company of Ghana (ECG), Ghana Water Company (GWC) and the Ghana Grid Company (GRIDco), have been urged by the public to take urgent steps to address the problem of wastage in their operating systems before contemplating the idea of tariff increments.
The belief is that wastage contributes about 50% loss to the utility companies, causing them to record series of losses which has impeded their retooling and expansion drives.
Proponents of these concerns are further of the view that if the utility providers are able to do a clean exercise by controlling the waste in their system, there would virtually be no reason for them to call for tariff adjustments.
These were among concerns expressed by participants at last week’s public forum, organized by the utility service regulator, the Public Utilities Regulatory Commission (PURC).
It was aimed at allowing members of the public to express their views and concerns regarding the proposed tariff increment being put forward by the utility companies.
While some suggest that companies such as ECG and GWC step up their meter reading technologies so as to bring it in tandem with modern trends, others were of the view that perhaps it is time the country started considering a switch to wind technology as an option to its energy problems.
According to the consumers, should the companies do their homework well, but still see the need to for tariff hike, they will not hesitate to pay more.
“We want reliable emergency numbers that we can call and reach you on when we have complaints and reservations,” stated one participant.
“Most of your call centre numbers don’t work. They often leave us stranded and this doesn’t give us a good reason to pay more for your services. Private companies are going inn for toll free telephone lines, may be it is time you also consider that in the interest of all of us.”
The chairman of the PURC, Edu Annang, announced that beginning from October, this year there will be penalties imposed against utility companies which fail to deliver satisfactory services to the public.
He however added that that the penalties will only take effect after a company refuses to act on persistent complaints about its service delivery.
Vice President John Dramani Mahama, in his address, acknowledged the challenges of the utility sector saying “the rapid growth of the economy and competition for vital investments in utility infrastructure has unfortunately led to shortages in the supply of electricity and water, a situation which will continue to negatively impact on our development unless drastic measures are taken to address the collective failure of several stakeholders over the years.”
He urged the utility service providers to endeavor to ensure a reduction in losses, which consist of illegal connections, as well as technical and commercial losses.
According to him, the utility providers need to raise their capital expenditure in order to expand, adding that an additional increment in tariffs should ensure an improvement in the quality of service.
He assured of the government’s commitment to providing the necessary resources and a conducive, environment to support both the utility companies and the PURC to move rapidly towards a new era of enhanced efficiency in service delivery and regulation.
To this effect, he announced the government’s directive to the ECG to fix prepaid meters in all Ministries, Departments and Agencies (MDAs).
This is to curtail the abuse of electricity consumption at the MDAs, while steps are being taken by the government to clear its huge indebtedness to the ECG which, according to sources, is in the region of US$80 million.
The objective of the PURC among others is to create an independent regulatory body with the mandate to regulate water and electricity by balancing the needs of utility companies and consumers, in a manner that would enhance cost effectiveness and efficiency in the provision of utility services.
Representatives from all the companies involved in generating and distributing electricity took turns to explain to the participants why it is necessary to increase their tariffs in order for them to provide efficient and quality services for consumers.
They argued that without a substantial tariffs increase, the government would have to support them substantially.
The utility service providers in the country, comprising the Volta River Authority (VRA), Electricity Company of Ghana (ECG), Ghana Water Company (GWC) and the Ghana Grid Company (GRIDco), have been urged by the public to take urgent steps to address the problem of wastage in their operating systems before contemplating the idea of tariff increments.
The belief is that wastage contributes about 50% loss to the utility companies, causing them to record series of losses which has impeded their retooling and expansion drives.
Proponents of these concerns are further of the view that if the utility providers are able to do a clean exercise by controlling the waste in their system, there would virtually be no reason for them to call for tariff adjustments.
These were among concerns expressed by participants at last week’s public forum, organized by the utility service regulator, the Public Utilities Regulatory Commission (PURC).
It was aimed at allowing members of the public to express their views and concerns regarding the proposed tariff increment being put forward by the utility companies.
While some suggest that companies such as ECG and GWC step up their meter reading technologies so as to bring it in tandem with modern trends, others were of the view that perhaps it is time the country started considering a switch to wind technology as an option to its energy problems.
According to the consumers, should the companies do their homework well, but still see the need to for tariff hike, they will not hesitate to pay more.
“We want reliable emergency numbers that we can call and reach you on when we have complaints and reservations,” stated one participant.
“Most of your call centre numbers don’t work. They often leave us stranded and this doesn’t give us a good reason to pay more for your services. Private companies are going inn for toll free telephone lines, may be it is time you also consider that in the interest of all of us.”
The chairman of the PURC, Edu Annang, announced that beginning from October, this year there will be penalties imposed against utility companies which fail to deliver satisfactory services to the public.
He however added that that the penalties will only take effect after a company refuses to act on persistent complaints about its service delivery.
Vice President John Dramani Mahama, in his address, acknowledged the challenges of the utility sector saying “the rapid growth of the economy and competition for vital investments in utility infrastructure has unfortunately led to shortages in the supply of electricity and water, a situation which will continue to negatively impact on our development unless drastic measures are taken to address the collective failure of several stakeholders over the years.”
He urged the utility service providers to endeavor to ensure a reduction in losses, which consist of illegal connections, as well as technical and commercial losses.
According to him, the utility providers need to raise their capital expenditure in order to expand, adding that an additional increment in tariffs should ensure an improvement in the quality of service.
He assured of the government’s commitment to providing the necessary resources and a conducive, environment to support both the utility companies and the PURC to move rapidly towards a new era of enhanced efficiency in service delivery and regulation.
To this effect, he announced the government’s directive to the ECG to fix prepaid meters in all Ministries, Departments and Agencies (MDAs).
This is to curtail the abuse of electricity consumption at the MDAs, while steps are being taken by the government to clear its huge indebtedness to the ECG which, according to sources, is in the region of US$80 million.
The objective of the PURC among others is to create an independent regulatory body with the mandate to regulate water and electricity by balancing the needs of utility companies and consumers, in a manner that would enhance cost effectiveness and efficiency in the provision of utility services.
Representatives from all the companies involved in generating and distributing electricity took turns to explain to the participants why it is necessary to increase their tariffs in order for them to provide efficient and quality services for consumers.
They argued that without a substantial tariffs increase, the government would have to support them substantially.
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