BusinessNews

We will not collapse if we don’t get all 148% proposed increase – ECG

Director of Communications at the Electricity Company of Ghana (ECG), William Boateng, has stated that the company will not collapse if the Public Utilities Regulatory Commission (PURC) does not grant the proposed 148% increment.

The ECG is making a demand of 148% increase in tariff. A proposal from the power distributor, submitted to the Public Utilities Regulatory Commission (PURC), wants the adjustment to cover the period 2019 and 2022.

It also proposed an average increase of 7.6% in tariff over the next four years to cover Distribution Service Charges (DSC).

The PURC has subsequently held a meeting with some stakeholders including the Mines and Energy Committee in Parliament, the Civil Society Organisations, the World Bank and USAID, the media and the Association of Ghana Industries (AGI) to put finality to the matter.

Speaking an interview on Joy FM‘s Top Story, Mr. Boateng said whatever percentage PURC agrees on will be used to manage the prevailing situation.

“We will take it in our strides as to what will emerge, but we are aware that they will consider both the consumer’s and our interests. When they give us all, we will be happy. If not, we will not collapse. We will submit what they give us to other development partners. We will give it to the owner of the company, we will make our case and they will look at areas that we will need to address immediately,” he added.

When asked why ECG would not prove its capability of reducing its debt to sales ratio by 20 percent before asking for more, he said: “ECG has been providing the services already in the last 3 years.”

He said nearly $400 million have been invested, however there is a limit “because we have to go the financial institutions with our current statement and it is not good, that is why we are pleading for the PURC and customers to help us and invest into the system.”

 

 

Source; Joynews

Back to top button