Story By Ben Laryea
The Food and Beverages Association of Ghana (FABAG) says power is the foundation cost of production and manufacturing therefore without affordable electricity and water, the government 24-hour economy will completely fail.
The Association have further warned that approving new tariffs hikes for utilities for Electricity Company of Ghana (ECG) and Ghana Water Company Limited (GWCL) without deep reforms in the tariffs will collapse businesses and injustice to households.
“There will be slow growth in the private sector if massive restructuring is not carried out at ECG and GWCL”, it said saying a monopolist like ECG can not make losses while Ghanaians are asked to pay more on utility tariffs.
The Chairman of the Food and Beverages Association of Ghana, Rev. John Awuni made the clarion call while addressing the media urging government to reset it’s agenda to kick start at ECG and GWCL.
He said businesses cannot continue to carry huge tariffs burden and indicated that power must be affordable, reliable and efficient before new tariffs are considered and adjusted, hence Ghanaians will be forced to subsidize inefficiency, theft and corruption.
“The Association in this regard is calling on the President, H.E. John Dramani Mahama to launch and Executive Reform Agenda (ERP) anchored in measurable Key Performance Indicators (KPIs) enforced by a President Task Force (PTF)”, he said.
In addition, the Association also recommends a Presidential Compact for Electricity Company Limited and Ghana Water Company including Public Utility Regulatory Commission (PURC) Energy Commission, and other players in the Utility value chain and however challenged government within the next 30 days to swiftly act accordingly.
“ECG and GWCL tariffs reforms are more than utility issue”, he said, adding, it is a calls for a quick transformation of the two major utility players to put in to action a model of transparency in performance for a country that deserve a utility sector that powers growth and development.
For his part, the President of GUTA, Dr. Joseph Obeng urged government to urgently reform ECG and GWCL to save revenue looses and stop shifting the tariffs burden on businesses and households.
