GOVERNMENT SUBMITING PROPOSAL TO PURC GROUNDED IN LAW - NANA DAMOAH




Image result for PURC IMAGESThe Ministry of Energy is debunking claims that government's proposals sent to the Public Utility Regulatory Commission, PURC to reduce electricity tariffs for residential and industrial consumers are attempts by government to usurp the authority of the utility regulator.

  Government’s directive to submit proposal to the PURC to reduce electricity tariff is in fulfilment of  electoral promise made by President Nana Addo Dankwa Akufo-Addo.

The move by government has been met with lot of criticisms by some section of the public who say government intend robbing the nation’s utility regulator of its statutory mandates

But in an interview with the Head of Communication at the ministry Nana Damoah says the move by the ministry is firmly rooted in ACT 538, the Public Utility Regulatory Commission Act.

He explains the ACT provides the avenue for proposals to be submitted to the PURC to inform its decision in regulating tariffs in the country.

For example he says, since its inception in 1997, government and power producing companies have been submitting proposals to PURC for tariff adjustment.

Hence any argument to the contrary is unfounding.

 “Section 3, of the Public Utility Regulatory Commission Act 538 provides the grounds for government and power producing companies to present a proposal to the PURC for them to examine to ascertain the possibility or otherwise of the proposal but before them…so anybody who will say governments intend usurping he authority of PURC by submitting proposals to tem does not fully appreciate the law”

According to him, the details of the proposal submitted to PURC will bring relief to Ghanaian as it sought to review some power purchase agreement the previous governments made which is costing the nation millions of cedis yearly.

This he explains that before the New Patriotic Party assume power, he erstwhile government has sign forty-four power purchase agreements which are siphoning the state lot of revenue

He adds “notable of the power purchase agreement signed by the Mahama led government is the AMERI deal which costing the state about 300 millions of dollars annually”.

“The content of the proposal will reduce the tariffs on electricity. This will create an enabling environment for businesses to grow and expand their operations because price for electricity will reduce significantly’      

By Stephen Cudjoe

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