ECG tariff reduction to reflect in bills by 1st April

Consumers of electricity should expect the reduction in tariffs from April and not from tomorrow as announced by the Public Utilities Regulatory Commission (PURC).

This is because the Electricity Company of Ghana (ECG) explains that the implementation cannot reflect on the bills of consumers due to the monthly cycle billing system it uses.

The PURC, last week announced that it has reduced electricity tariffs between 17 and 30 percent for consumers, effective tomorrow, March 15.

The reduction came with mixed reactions as some consumers felt the PURC must reduce it further.

The Managing Director of ECG, Ingineer Samuel Boakye-Appiah addressing a press conference however said the reduction will reflect next month.

He explained that “the monthly billing cycle of the prepayment metering system does not technically allow ECG to implement the review in the middle of the month”.

“Consequently, prepaid customers of ECG should note that the programming of the billing system will refund the reduction from the implementation date of the 15th to 31st March 2018. When they deposit cash or purchase electricity from 1st April 2018 onwards,” he added.

Ingineer Boakye-Appiah pointed out that, the prepayment system will detect  aggregate purchase for consumers on the month of March, and then compute the reduction due them, from the effective date of 15th March to 31st March.

“This will be refunded to you on your next visit to vending point”.

He stated that the average percentage reduction , which is 15.5 percent for residential, 30 percent for non-residential, 25 percent for SLT and 10 percent for the mines, effective 15th March 2018 is only on energy consumption.

“Therefore the addition of statutory levies and other fixed charges will reduce the average percentage relief announced by the PURC”, he warned.

Ingineer Boakye-Appiah disclosed that, ECG has catalogued all unit consumption and expected cost in a “reckoner” which clearly explains how the tariff is calculated and billed regardless of the type of metering.

“This will be displayed at all district offices and revenue centers nationwide to guide consumers on their electricity purchase”.

Reacting to question, however, Ingineer Boakye-Appiah gave the strongest indication that the power distributing company will not hesitate to go back to the PURC if the  the implementation of the tariff reduction leads to losses.