GRi Business, Economics & Finance 29 – 06 - 2002

Consumers asked to pay higher tariffs to save VRA

Don't relocate Quality Grain Project - Government urged

 

 

Consumers asked to pay higher tariffs to save VRA

 

Accra (Greater Accra) 29 June 2002- The Volta River Authority (VRA) would lose about 600 billion cedis this year if steps were not taken to encourage consumers to pay for the full cost of consumption.

 

Mr. Albert Quainoo, Public Relations Officer VRA, said consumers pay "only 194 cedis per unit as against a production cost of 478 cedis per unit". "This only accounts for 30 per cent of production cost with government having to bare the difference with funds that could be used to provided other social amenities for the benefit of society especially the rural poor," he said.

 

He was briefing newsmen after the VRA Ladies Association embarked on a route march around the Makola Market area to sensitise the public on the need to pay higher tariffs to save the Authority from collapsing.

 

With placards some of which read, "Use electricity wisely to reduce your bill," "Energy for Life" and "Low Tariff Rate Is Threatening Collapse of VRA," members of the Association supported by their male colleagues danced to brass-band music from the Ministries to the Market.

 

Mr. Quainoo said VRA made a net loss of 330 billion last year due to lower rates charged consumers and debts by organisations including the Electricity Company of Ghana. He said that before 1985, VRA was able to subsidise local consumption with the export of electricity to Benin and Togo. "Now our export is only 30 per cent with 70 per cent local consumption, making it necessary for the consumer to bare the cost".

 

Mr. Quainoo said 50 per cent of VRA's production was hydro and the other half through thermal generation, adding that, the latter was "very expensive" to meet the high demand.

 

Ms. Ophelia Jonfia-Essein, President of the Association said the Makola Market area was chosen for the campaign to reach many women who use electrical appliances for cooking, blending, baking and storing. "We believe that when our women understand the need to use energy wisely, they would pay less than what they are paying today, even if there is a tariff increase".

 

Mrs. Emily Otoo-Asare, Organising Secretary of the Association said only 45 per cent of the population enjoy electricity and amenities of urban life, adding that, "the remaining 55 per cent, basically in the rural areas have no access to electricity". Development would be complete only when every part of the country enjoyed electricity, which could be possible with an increase in tariff for VRA to retrieve its production cost, she said.

GRi…/

 

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Don't relocate Quality Grain Project - Government urged

 

Accra (Greater Accra) 29 June 2002- Mr. Ken Dzirasah, Second Deputy Speaker of Parliament, on Saturday urged the government not to re-locate the Quality Grain project on political grounds, contending that, "it would be a serious miscalculation".

 

A lot had already been invested in the project, since studies proved its viability, he told the Ghana News Agency in an interview after speaking at the second anniversary of the Adutor District Evangelistic Fellowship (ADEF) at the Mamprobi E.P. Church, Ghana in Accra. The Association groups "born again" Christians irrespective of their denomination from the Adutor area of the Volta Region to win more souls to Christ.

 

He said relocating the project would mean compensating farmers whose crops were destroyed and significantly "electricity among other infrastructure was sent to the site purposely for the project on which there was test cultivation. I would advice the government to continue the project as it was planned," he added.

 

Mr. Dzirasah praised the efforts of ADEF to embark on a crusade to help liberate those held in captivity under the Trokosi system and said the theme for the celebration "Help, Let the Captives Be Free with Your Substance," was appropriate. He urged them to use "exhortation, intensive education and incentives" to avoid confrontation since the exercise was a clash of two religious cultures, traditional and Christian.

 

Mr. Dzirasah pledged his unflinching support and that of the International Needs Ghana, an NGO working for the liberation of those held under the system and wished the Fellowship success in its endeavours. Mr. Paul Agbo, Secretary of ADEF said the group had won "a lot of souls" for Christ through its activities since its inception in January 1992.

 

He said the fellowship had united Churches in the Adutor area under one umbrella to promote evangelism and development. Mr. Agbo appealed for financial assistance to enhance the activities of the Fellowship. The Reverend E. L. Nabicha, Pastor of the Church commended the Fellowship for being a unifying force behind the efforts to spread the word of God in the area.

GRi…/

 

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