The minority in Parliament has launched a blistering attack on the government over the latest round of utility tariff hikes, describing them as “punitive, unjustified and economically reckless.”

They are demanding an immediate withdrawal of the increases, warning that Ghanaians are at breaking point.

Their criticism follows the announcement by the Public Utilities Regulatory Commission (PURC) of a 9.86% increase in electricity tariffs and a 15.92% rise in water tariffs, set to take effect on January 1, 2026, under its multi-year tariff review covering 2026 to 2030.

The Commission has defended the adjustments, arguing that the upward review is crucial to attracting investment, cushioning utility providers against inflationary pressures, and responding to exchange rate instabilities. But the minority say these explanations ignore the deeper structural failures within the energy sector failures they insist the government is refusing to confront.

Addressing the press in Accra on Monday, December 8, Ranking Member on the Energy Committee and MP for Asene Manso Akroso, George Kwame Aboagye, accused the government of taking “the lazy path of pushing its failures onto suffering consumers.”

He argued that the cumulative impact of the latest adjustments amounting to 28.14% electricity tariff increases within a short period is intolerable, particularly when Ghana continues to lose 32% of all power generated through a mix of commercial and technical losses.

“These tariff hikes are not reforms; they are punishments,” Aboagye declared.
“They are not solutions. They are symptoms of failed leadership and poor policy choices.”

According to him, the government has chosen to “punish homes and businesses rather than tighten the leaking pipes in the energy sector.”

The minority warned that the new tariffs will immediately wipe out the recently approved 9% wage adjustment for 2026, placing many families in what they described as “utility poverty”, a state where households cannot afford basic electricity and water services.

Small and medium-scale enterprises (SMEs), which employ millions and constitute the backbone of the economy, are also expected to suffer heavily.

“How do small barbershops, cold stores, chop bars, welding shops, and retail outlets survive?” Aboagye questioned.
“Every cedi increase in tariffs becomes a nail in the coffin of a small Ghanaian business.”

The minority maintains that the country’s ballooning energy losses (12% technical and 20% commercial) are the real burden strangling the utility sector.

Aboagye illustrated the scale of the problem by breaking down Ghana’s current energy profile:

Peak demand: 4,080 MW Average demand: 3,500 MW Total losses: ~30% “We are losing between $80 million and $90 million every year,” he stated.
“Tell me, can’t we use this money to offload whatever cost or debt we have? Instead, the government allows the inefficiencies to continue and then punishes citizens with tariff hikes.”

He questioned why PURC would focus solely on upward reviews when the law permits downward adjustments, noting, “When you say ‘review’, ‘review’ can be downward or upward, so why not downward?”

In a firm conclusion, the Minority cautioned that Ghanaians have reached a breaking point and the latest tariff hikes could be the tipping point for social and economic unrest.

They insist the increases must be reversed immediately:

“The Minority stands with workers, households, and struggling businesses. This is unacceptable. These tariff hikes must be reversed now.”

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