ISODEC, Africa Water Justice Network reject GWCL’s proposed 280% water tariff hike

The Integrated Social Development Center and the Africa Water Justice Network, a civil societies organization has urged the Public Utility and Regulatory Commission (PURC) to reject the Ghana Water Company Limited (GWCL), proposed tariff increase by 280 per cent.

The two organizations has called for a holistic processes to tackle the internal and external factors undermining water service delivery.

The civil societies has urged the government and the PURC to assist the GWCL to bring the Non-Revenue Water rates closer to international benchmarks.

This requires urgent investment in pipeline rehabilitation, metering, data systems, and anti-theft enforcement, a statement from the two civil societies issued to the Ghana News Agency said.

The statement has observed with deep concern the recent proposal by the GWCL seeking a record 280 per cent increment in water tariffs, citing the rising cost of treatment due to galamsey and other sources of pollution.

It urged the government to renegotiate or terminate the exploitative Teshie desalination contract that was crippling GWCL’s finances.

The statement called for a 2.5 per cent compensatory special levy on oil and mining revenues to be dedicated to the water sector, adding that those profiting from extractive industries must bear part of the cost of safeguarding water and its provision.

It also called for the restructuring of the GWCL’s procurement processes to ensure full transparency, open competitive bidding, and parliamentary oversight for high-value contracts, thereby preventing political interference and safeguarding public resources. 

The statement urged PURC to note that it regulation was not on behalf of “customers” in a commercial sense, but on behalf of people whose human right to water must be protected above all commercial considerations. 

“The crisis facing GWCL and urban water management cannot be reduced to a tariff issue.

“To approve a 280 per cent tariff increase without first addressing structural inefficiencies, exploitative contracts, and the national security threat of galamsey would be grossly unjust and a betrayal of the public trust,” it said.

The statement said while it acknowledged the grave challenge that illegal mining posed to Ghana’s water resources, the civil societies cautioned against using tariff increments as the sole remedy to a systemic, and multifaceted crisis.

“The PURC, in exercising its regulatory duty, must not allow public anxiety about galamsey to be used to overshadow other equally critical issues undermining GWCL’s financial and operational situation,” it said.

Source: GNA 

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