Full text: Utility duty increase reported by PURC

2022-2025 MULTI-YEAR MAJOR TARIFF REVIEW FOR NATURAL GAS, ELECTRICITY AND WATER SERVICES
The Public Utilities Regulatory Commission (PURC), has closed its administrative interaction for the assessment and endorsement of utility duties covering the period 2022 to 2025.
The duty audit process initiated with the receipt of recommendations from the accompanying Utility Service Providers: Volta River Authority (VRA), Ghana National Gas Company (GNGC), Ghana Grid Company Limited (GRIDCo), Electricity Company of Ghana (ECG), Northern Electricity Distribution Company (NEDCo), Enclave Power Company (EPC) and Ghana Water Company Limited (GWCL).
The Commission additionally got proposition from Ghana National Petroleum Corporation (GNPC) in regard of projected flammable gas volumes and taxes by gas supply sources.
As has been the training, the PURC attempted broad partner counsels, which managed the cost of the utility specialist co-ops the amazing chance to make sense of their recommendations for the overall population and key vested parties like the Association of Ghana Industries (AGI) and the Trades Union Congress (TUC).
The tax choices for the period 2022-2025 have been educated by thorough investigations, extraordinary discussions, and broad interviews. The last significant audit of levies was finished in 2018 which brought about a 17.5% decrease for private and 30% for non-private in power duty.
From that point forward, key macroeconomic factors have crumbled, especially beginning around 2020. These have antagonistic ramifications on the capacity of utilities to keep the lights on and water streaming.
The organizations mentioned for extremely galactic increments with GWCL requesting more than 300% increment in end-client taxes. ECG and NEDCo proposed 148% and 113% increments individually. VRA and GRIDCo proposed 37% and 48% augmentation individually.
Subsequent to getting these recommendations, the Commission did thorough administrative review of cycles and resources of Utility Service Providers, empowering it to change the Weighted Average Cost of Gas (WACOG) for power age and end-client taxes for power and water.
The subtleties are summed up in Table-1 (for Natural Gas), Table-2 (for power and Table-3 for water).
Table-1 Summary of Approved Natural Gas Charges (USD/MMBtu): 2022-2025

In endorsing the Weighted Average Cost of Gas (WACOG) for the controlled period (2022-2025), the Commission considered, GNPC's projected gas volumes by gas source and levies as well as projected gas supply volumes and duties by N-Gas.
For Gas Gathering, Processing and Transmission Service Charges, the Commission thought about funding, venture and functional expenses as well as condensates and fluids income receipts by GNGC.