The Public Utilities Regulatory Commission (PURC) has announced upward adjustments to electricity and water tariffs following the completion of its 2026–2030 Multi-Year Tariff Review (MYTO). The new rates take effect from January 1, 2026.
According to a statement from the Commission, the tariff decision follows months of investment hearings, stakeholder consultations, and regional public forums held across the country as part of the regulatory process.
Electricity Tariffs Up by 9.86%
Electricity tariffs for all customer categories will rise by 9.86%. PURC says the adjustment reflects the investment needs of power utilities, expected generation inputs, and macroeconomic indicators including inflation, the cedi–US dollar exchange rate, and the cost of natural gas. The review also considered operational expenses and the regulated asset base of utilities for the next five years.
Quarterly tariff reviews will continue to adjust for variables beyond the control of utility companies, such as fuel costs and the generation mix.
Water Tariffs Increase by 15.92%
Water tariffs will also rise by 15.92% over the 2026–2030 period. The adjustment is based on projected production and sales volumes, non-revenue water levels, expected capital investments, and prevailing macroeconomic conditions.
Under the new structure, residential consumers will see increases across consumption bands, while non-residential, commercial, industrial, and public institutions will also face higher rates. Service charges, however, remain largely unchanged.
For the first time, the MYTO incorporates tariffs for mini-grids serving island and remote communities. The cost of supplying these communities at uniform national rates has been included in the revenue requirement of the Volta River Authority (VRA), ensuring smoother implementation.
Key Variables Driving the Tariff Adjustments
Several factors influenced the new tariffs, including:
Projected electricity generation mix: thermal (78.79%), hydro (20.90%), and renewables (0.31%)
An increase in the Weighted Average Cost of Gas (WACoG) to US$7.8749/MMBtu
Improved targets for transmission and distribution lossesAn inflation assumption of 8% and an exchange rate projection of GHS 12.01 to US$1
For the water sector, the Commission also considered non-revenue water levels, expected to decline to 43%, alongside updated production and sales forecasts for the coming years.
