GWL seeks 281% Tariff Hike to Fund Water Supply

Ghana Water Limited (GWL) is seeking approval from the Public Utilities Regulatory Commission (PURC) to raise its water tariff by 281%, increasing the rate from GH¢5.28 to GH¢20.09 per cubic metre. If approved, the new pricing would take effect during the 2025 to 2029 regulatory cycle.

The utility company says the proposed increase is essential to address its mounting debt and manage escalating operational expenses. 

These include the growing contamination of water sources and the impact of currency fluctuations on the cost of importing necessary equipment and treatment chemicals. GWL warns that without the revised tariff, maintaining consistent water supply and expanding infrastructure will be challenging.

Speaking at a public hearing, GWL’s Monitoring Manager, Michael Klutse, emphasized that the current rates are insufficient to support reliable service delivery.

In a related development, the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) are advocating for a separate tariff to fund street lighting across the country. 

This proposal comes alongside their requests for significant rate increases—ECG is asking for a 224% rise in distribution charges, while NEDCo is proposing a 171% boost to offset what it describes as unsustainable costs.

NEDCo has also recommended eliminating the lifeline tariff, which currently provides relief to low-income households. The company argues that the existing structure is no longer financially feasible due to high fixed and variable expenses.

Jasmine Adjei
Author: Jasmine Adjei

Development journalist

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