A three-member delegation from the International Finance Corporation paid a courtesy visit to the economic regulators, Public Utilities Regulatory Commission (PURC) on Tuesday, July 26, 2022. The purpose of the visit was to familiarise themselves with contemporary issues in the Commission and to understand the current Tariff Structure and application of the Quarterly tariff review in Ghana. The group was also interested in exploring new investment opportunities in the renewable energy sector of Ghana.
The group was led by the Senior Country IFC Officer for Ghana, Cemile Hacibeyoglu Ceren and two representatives from Mainstream Energy, Investment and infrastructure Unit based in Dakar, Senegal, Thibaut Foucher and Athanasios Kostouros.
The delegation focused on sustainability of the current tariff structure and policies of the energy sector in the country, particularly developments within the renewable energy sector; Renewable Energy Act, Purchase Obligation for Bulk producers, policy developments in other renewable energy areas such as wind and biomass
The International Finance Corporation (IFC) is a global financial organization that supports the growth of the private sector in developing nations through the provision of investment, consulting, and asset management services. The Institution was founded in 1956 as the World Bank Group's private sector arm to advance economic development by funding wholly commercial and for-profit initiatives with the stated goals of reducing poverty and fostering development.
The IFC team was received by the Executive Secretary of PURC, Dr. Ishmael Ackah, the Director of Research and Corporate Affairs, Dr. Eric Obutey, Director of Energy Services and Performance Management, Ing. Frederick Oblitey, and the Head of Research, Mr. Eric Kyem.
Dr. Ishmael Ackah commended the IFC for their visit while expressing the Commission’s willingness to partner and engage stakeholders such as the IFC to further strengthen and build a more robust utility regulatory regime in Ghana.
Dr. Ackah explained the plans and structures being put in place to the team to address some of the concerns raised. This includes implementation of the quarterly tariff review system, which takes into consideration exogenous factors such as inflation, consumer price index and cost of fuel, the review of net metering policy and approval of the various rate setting guidelines to assist in approving tariffs. The Executive Secretary dismissed the notion that PURC neglected its responsibility of following through with periodic tariff adjustments between 2019 to 2021 and assured the IFC team that PURC by law is an independent institution and is also bound by law to utilise the guidelines set for the review of tariffs on quarterly basis.
He noted that the set guidelines are published and can be found on the website of the Commission.