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ECG, NEDCo Propose Dedicated Tariff for Street Lighting

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The Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) have jointly proposed the introduction of a dedicated tariff to fund street lighting nationwide, even as they push for steep increases in electricity tariffs.

The proposal was tabled at a public hearing organized by the Public Utilities Regulatory Commission (PURC) on Tuesday, September 9. Both utilities argued that the new charge would guarantee sustainable funding for the installation, maintenance, and replacement of street lights, which they say are vital for public safety and economic activity in both urban and rural communities.

The development comes at a time when ECG is seeking a 225 percent increase in its distribution service charge, while NEDCo is requesting a 171 percent upward adjustment, citing high operational costs and foreign exchange pressures.

NEDCo has also called for the removal of the lifeline tariff bracket—a pricing arrangement that cushions low-income households—arguing that it has become financially unsustainable given the company’s high fixed and variable costs.

“We’re proposing that the current lifeline tariff be discontinued. We’re also recommending that a street tariff be provided for residential customers so that they are no longer in brackets. We also propose an introduction of street lights tariff to recover the cost associated with the provision of public lighting,” said Hashim Iddrisu, Director in Charge of Commercial at NEDCo.

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