The Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) are advocating for a new tariff specifically aimed at funding the installation and maintenance of street lighting across the country.
This proposal coincides with their requests for substantial increases in electricity charges submitted to the Public Utilities Regulatory Commission (PURC).
ECG is seeking a 224% rise in its distribution fees, while NEDCo is proposing a 171% hike, citing unsustainable operating expenses.
Additionally, NEDCo has suggested eliminating the lifeline tariff, which currently offers financial relief to low-income consumers. The company argues that the cost structure—both fixed and variable makes the lifeline model economically unfeasible.
Both ECG and NEDCo believe that a dedicated street lighting tariff would ensure consistent funding for public lighting infrastructure, which they consider essential for community safety and economic development in both urban and rural areas.
During a public hearing held in Accra on September 9, Hashim Iddrisu, NEDCo’s Commercial Director, stated that the company is recommending the removal of the lifeline bracket and the introduction of a residential street lighting charge to help recover the costs associated with providing public illumination.
Author: Jasmine Adjei
Development journalist
