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VRA Seeks 59% Increase in Bulk Generation Charge to Sustain Power Supply

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The Volta River Authority (VRA) has requested approval from the Public Utilities Regulatory Commission (PURC) for a 59 percent increase in its Bulk Generation Charge (BGC), citing the need to recover the full cost of electricity generation and maintain reliable power supply.

At a PURC public hearing, VRA proposed raising the BGC from 45.0892 Ghana pesewas per kilowatt-hour to 71.8862 pesewas. According to the Authority, the adjustment is necessary to sustain operations, ensure efficient electricity delivery, and cover related system costs.

Senior Economic Analyst at VRA, Evans Somuah Mensah, who presented the proposal, stressed that the review goes beyond generation expenses.

“We want to recover the cost of power supply to the distribution companies, and also recover the cost of transmission, and also be compensated for the provision of ancillary services [to] the National Interconnected System. So Madam Chair, in conclusion we want to say that we are requesting the PURC to increase the current or existing tariff – BGC of 45 pesewas to 71.8 pesewas per kilowatt-hour which represents a 59% increase of generation tariff for VRA and the respective DISCO tariffs are also outlined,” he explained.

The PURC is currently assessing proposals from various utility companies as part of the tariff-setting framework for the 2025–2029 regulatory period. The final decision is expected to balance the operational demands of power producers with consumer interests.

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