Public Utilities Regulatory Commission (PURC), Ghana
The Public Utilities Regulatory Commission (PURC) was set up as a multi-sectorial regulator by Government of Ghana in October, 1997 under the Public Utilities Regulatory Commission Act, 1997 (Act 538) as part of the utility sector reform process to regulate the provision of utility services in the electricity and water sectors.
By virtue of the Energy Commission Act, 1997 (Act 541) PURC also has regulatory responsibility over charges for transportation of natural gas services.
Under Section 4 of Act 538, PURC is an independent body and is not subject to the control of any authority in the performance of its functions. The Office of the President exercises administrative oversight for the Commission.
The Commission is made up of nine members and includes a Chairman, an Executive Secretary, an institutional representative each for labour (TUC), industry (AGI), and domestic consumers, as well as 4 experts in various aspects of the Commission’s work. The commissioners are appointed by the president in consultation with the council of state for five-year terms, which are renewable. The Commission is supported by a secretariat headed by the executive secretary.
Functions of PURC:
In summary, PURC’s key tasks are to:
Provide guidelines for rates to be charged for the provision of utility services.
Examine and approve water and electricity rates;
Protect the interest of consumers and provides of utility services;
Monitor and enforce standards of performance for provision of utility services;
Promote fair competition among public utilities;
Receive and investigate complaints and settle disputes between consumers and public utility.
Advise any person or authority in respect of any public utility.
To build a credible and sustainable utility regulatory regime that protects the Stakeholders’ interest.
To be a model Utility regulatory institution in Africa
Entities currently regulated by the PURC are the Volta River Authority (VRA), Northern Electricity Distribution Company (NEDCo) a subsidiary company of VRA, the Ghana Grid Company (GRIDCo), the Electricity Company of Ghana Ltd (ECG), as well as Ghana Water Company Ltd. (GWCL).
The Commission is to regulate natural gas pipeline transmission tariff and aggregated gas prices processed by the Aggregator, which is the Ghana National Gas Company (GNGC).
For Bui Power Authority (BPA), the Commission will set the Bulk Generation Tariff (BGT) and also review its pricing component of the Power Purchase Agreement (PPA) with ECG and NEDCo. See more