Ghana Gas Proposes 91% Tariff Hike to Sustain, Expand Operations

Ghana National Gas Company has proposed an increase in its tariff from US$1.10 to US$2.10 per million metric British thermal units (MMBtu), representing a 91% jump.

The proposal, submitted to the Public Utilities Regulatory Commission (PURC), forms part of a broader wave of tariff review requests from six other state-owned utilities, some seeking hikes of up to 200%.

At a stakeholder forum, Manager of Commercial Operations at Ghana Gas, Sylvester Enumi Cudjoe, said the adjustment is crucial to sustaining operations, expanding infrastructure, and ensuring the long-term reliability of the country’s gas transmission system.

“We have proposed to the PURC that our tariff should move from $1.10 to about $2.10. If you want to be a prudent operator, you have to invest in certain key instrumentations,” he explained.

According to the company, the proposed tariff accounts for capitalised expenses, approved short-term investments, and revenues from natural gas liquids, which help offset processing costs. Ghana Gas added that critical expansions in gathering and transmission infrastructure since the last major review in 2022 have yet to be fully reflected in the regulated asset base.

The company insists the revised tariff aligns with PURC guidelines, balancing investor and public interest while positioning Ghana Gas to drive industrialisation, enhance energy security, and support Ghana’s transition to cleaner fuels.

The PURC is expected to announce its decision after completing stakeholder consultations on all seven utility proposals.