Ghanaians should brace for significant changes in electricity and water tariffs from January 2026, following the Public Utilities Regulatory Commissio
Ghanaians should brace for significant changes in electricity and water tariffs from January 2026, following the Public Utilities Regulatory Commission’s (PURC) announcement of a comprehensive review under the Multi-Year Tariff Order (MYTO).
The review, which spans 2025 to 2030, marks one of the most ambitious regulatory exercises in recent years aimed at aligning utility pricing with long-term sector sustainability.
Background to the Multi-Year Tariff Order
The MYTO framework, introduced by the PURC, was designed to provide regulatory predictability while balancing the financial viability of utility providers and the affordability of services for consumers.
Unlike the quarterly tariff reviews—which are influenced by short-term factors such as inflation, currency fluctuations, and petroleum prices—the MYTO allows for broader, multi-year adjustments that take into account investment recovery, infrastructure expansion, and efficiency improvements within the sector.
Over the past decade, Ghana’s utility sector has faced recurring challenges, ranging from unstable electricity supply during the 2012–2015 energy crisis to the continuous depreciation of the cedi, which drives up the cost of power generation and water treatment.
Utility companies have consistently lobbied for tariff increases, arguing that current rates do not reflect the real cost of production and investment.
The PURC, on the other hand, has had to strike a delicate balance between protecting consumers and ensuring the financial health of providers.
The January 2026 Adjustment
According to sources close to the ongoing consultations, the 2026 review will place heavy emphasis on recovering capital already committed by electricity and water companies
These include long-term infrastructure investments in power generation plants, transmission lines, water distribution networks, and maintenance of existing systems.
In early September 2025, the PURC officially opened stakeholder consultations in Accra, inviting utility firms, consumer groups, civil society organizations, and policymakers to deliberate on the proposed tariff structure.
The regulator has since extended these engagements nationwide to secure broad-based input and legitimacy for the final decision.
Industry insiders believe that the upcoming tariff structure will not only raise consumer prices but also introduce measures to improve efficiency, transparency, and service delivery within the utilities sector.
Quarterly Adjustments Still Uncertain
The looming MYTO review comes at a time when quarterly tariff adjustments are still pending.
The PURC traditionally announces these every three months, guided by key economic indicators including the rate of inflation, exchange rate performance, and global oil prices.
While petroleum prices have eased in recent months and global inflation is stabilizing, the Ghanaian cedi has suffered renewed pressure over the past two months.
This raises questions about whether the regulator will proceed with the scheduled October 2025 quarterly adjustment or defer it in anticipation of the more comprehensive MYTO changes in January.
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