The Public Utilities Regulatory Commission has announced a reduction in electricity and water tariffs, set to take effect from April 1, 2026, following its routine quarterly tariff review.
According to the Commission, electricity tariffs will decrease by an average of 4.81 per cent, while water tariffs will drop by 3.06 per cent. The decision was communicated in a statement issued on Friday, March 13.
“The Public Utilities Regulatory Commission wishes to inform consumers of electricity and water that the existing electricity and water tariffs have been reviewed downwards to take effect from April 01, 2026.” - Public Utilities Regulatory Commission.
The review forms part of the Commission’s regulatory mandate to adjust tariffs every quarter to reflect changes in economic conditions and operational costs affecting utility service providers.
Economic indicators influence tariff adjustments.
The Commission explained that its quarterly reviews take into account several key indicators, including the Ghana cedi–US dollar exchange rate, domestic inflation, electricity generation mix, and the cost of fuel used in thermal power generation.
According to the regulator, these adjustments are designed to ensure tariffs maintain their real value while allowing service providers to remain financially viable and continue delivering reliable services.
For the latest review, the Commission applied a projected weighted average exchange rate of GHS11.1931 to US$1 for the second quarter of 2026.
This figure was based on the three-month interbank average recorded between December 1, 2025, and February 28, 2026.
“This projected exchange rate indicates a 6.78 per cent reduction from the last quarter's rate of GHS12.0067 per dollar,” the statement noted.
Inflation, fuel costs and generation mix considered
The regulator also used a three-month average inflation rate of 4.17 per cent, representing a significant decline of 47.87 per cent compared to the previous quarter.
Meanwhile, the Weighted Average Cost of Gas (WACOG) used in thermal power generation increased slightly to US$8.0988 per MMBtu, reflecting a 2.84 per cent rise from the earlier rate.
The projected electricity generation mix remains unchanged under the Multi-Year Tariff Order of 2025, with 20.90 per cent expected from hydro generation and 79.10 per cent from thermal sources.
In a new development, the Commission also announced the introduction of a commercial electric vehicle charging tariff, marking the first time such a pricing structure has been incorporated into Ghana’s tariff system.
The move is expected to support the country’s transition toward cleaner energy and the growing adoption of electric vehicles.
The PURC expressed appreciation to stakeholders for their cooperation in implementing its quarterly tariff review system and pledged to continue monitoring regulated utility providers to ensure improved service delivery and value for consumers.
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