The Electricity Company of Ghana (ECG) and Ghana Water Limited (GWL) have cited the destructive impact of illegal mining—known as galamsey—as a primary factor behind their proposed tariff increases exceeding 200% for the 2025–2030 period, according to submissions to the Public Utilities Regulatory Commission (PURC) during public hearings in the Ashanti Region on October 15,
ECG, serving 73% of Ghana’s population and 4.87 million customers, is seeking a 225% hike in its Distribution Service Charge (DSC1), from GHp19.0384/kWh to GHp61.8028/kWh, to avert financial collapse and ensure reliable supply.
Communications Director William Boateng explained that galamsey excavations weaken power poles and trenches near forest reserves, causing chain collapses during rains: “Anytime we have the slightest rainfall, the poles come down… It costs us more money to fix and leads to unserved energy losses.”
GWL’s proposal is even steeper at 280%, the highest among utilities, driven by galamsey’s pollution of water bodies, which demands more chemicals for treatment and erodes revenues.
Chief Manager for CPME, Michael Tawiah Klutse, noted, “Galamsey pollution has drastically increased the chemicals required for water treatment.” Both companies stressed that tackling galamsey is essential for affordable utilities.
Other utilities like Ghana National Gas (91% hike) and Ghana Grid Company (GRIDCo, 130%) also seek increases, but ECG and GWL’s proposals stand out due to galamsey’s toll.
PURC Chair Nana Yaa Jantuah warned that unchecked galamsey could force water imports, urging a state of emergency.
