“Government in 2018, will work towards keeping the lights on at affordable rates to consumers, particularly industries and small businesses through reform and policy interventions over a two-year period" Finance Minister, Ken Ofori-Atta has indicated while presenting the 2018 Budget and Financial Statement in parliament, Thursday, 15th November, 2017.
According to him, Residential and non-residential electricity consumers in the country will enjoy a 13% reduction in tariff beginning January next year.
“To give relief to the poor whose individual consumption falls in the subsidised life-line category but who live in a compound house, the existing 4-tier tariff classification of residential consumers will be collapsed into Lifeline and Non-Lifeline consumers in phases. On the basis of these interventions, if government recommendations to PURC are accepted, consumers will be expected to benefit from reductions in electricity tariffs".
The reductions in electricity tariff as contained in the 2018 budget include; Residential – Up to 13%, Non Residential – 13%, Special Load Tariff- Low Voltage – 13% ,Special Load Tariff -Medium Voltage – 11%, Special Load Tariff -High Voltage – 14%, High Voltage Mines – 21%.
Increase Installed Generation Capacity
The Finance Minister has also stated that “in 2018, Government will increase the installed generation capacity by about 487MW (Cenpower; 340MW, Early Power Phase 1; 147MW) to meet the growing demand of electricity”
“The national electricity access rate increased from 83.24 percent, 2016 to 83.62 percent in 2017. A total of 1,796 communities will be connected to the national grid under the Programme in 2018...Government will embark on MDAs Solar Rooftop Programme to reduce expenditure on utilities..." he stated.
In addition, he said government will also pursue the national LPG promotion policy in order to streamline the sector.
Cabinet has approved a new National LPG Promotion Policy to abolish the current LPG Marketing model and replace it with the Cylinder Recirculating market model.
This according to the Finance Minister will be implemented with the construction and operation of some LPG Bottling Plants and other infrastructure required for the roll-out of the new model in 2018
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