Public displeasure over the upcoming utility tariff hikes is mounting as electricity and water rates are set to increase by 3.02% and 1.86%, respectively, effective October 1, 2024. Many small business owners, who are already grappling with rising costs and unreliable services, have voiced their frustrations and concerns over the situation.
Madam Zainab Mahmoud, a boutique owner in Nima, explained in an interview with The High Street Journal, how her monthly electricity and water bills have doubled from 50 cedis to 100 cedis. Since the introduction of the new metering system, she has noticed that her electricity credits deplete much faster than before, she added. What used to last her a week now only lasts two days. In an effort to conserve energy, she has been turning off lights and the TV when she is not in the shop, but this has not alleviated the issue. Zainab expressed her dissatisfaction with the rising costs and urged the government to take action.
Priscilla, a hairdresser and salon owner in Alajo, shared a similar experience. Since moving to Alajo in 2022, her electricity bills have skyrocketed from 50 cedis to 150 cedis in 2024. Like Zainab, she has also noticed a rapid depletion of electricity credits, often requiring her to purchase power more frequently. She mentioned frequent unexplained power outages and said that despite lodging complaints with the Electricity Company of Ghana (ECG), nothing has changed. These challenges have caused her to consider relocating her business. Additionally, she faces issues with dirty water and often has to wait up to an hour for the water to run clean, which frustrates her clients and affects her business.
Another person The High Street Journal spoke to, Madam Olivia, who operates a convenience (provision) shop, also shared her challenges. Her combined monthly electricity and water bills have risen from 100 cedis to 200 cedis. With three fridges for drinks and perishables, she constantly finds herself buying electricity, which is eating into her profits. She lamented that she may have to stop selling meat and fish because the cost of keeping them cold now outweighs the profit she makes. Like others, she has also noticed a decline in water quality, with water taking time to clear before it is usable.
Mr. Timothy, a barbershop owner, echoed similar frustrations about persistent water and electricity issues affecting his business. He relies on water for trimming clients’ beards but often finds dirty water coming from the taps, which can take several minutes or even an hour to run clear. On the electricity front, he shared that his monthly bill is 100 cedis, but recent changes in the metering system have led to quicker depletion of credits, often causing uncertainty about whether he has exhausted his credit or if it’s a power outage. Despite making complaints to ECG, he has received no response, and as a result, he feels his business is suffering. To cope, he has purchased a generator to ensure smooth operations.
From Tuesday, these small business operators will see their electricity credit deplete even faster than they are currently experiencing while the water bill will also go up with no guarantee of cleaner water flowing through their taps.
