Dr. Osborn Fiifi Ofori, a Malaysian-based Ghanaian industrialist has stated that the new tariffs released by the Public Utilities Regulatory Commission was not only harsh for consumers, but inimical to Ghanaian industries.
He said if the PURC did not rescind its decision the businesses of most Ghanaian manufacturers would either collapse or lay off a lot of their workers.
Dr. Ofori, who stated these in a press release, copied to the Ghana News Agency, (GNA) in Accra, wondered why manufacturing companies now had to pay the same commercial tariffs of electricity as mining companies, which used to pay higher rates.
He said in the last increment in 2007, the mining companies were made to pay Gp0.16 per kilowatts while the manufacturing companies paid Gp0.9 but now manufacturing industries had been pegged at Gp 0.27 pesewas just as the mining companies, representing a hike of 198 percent.
Dr. Ofori challenged the PURC to come out swiftly on the issue as its implementation had the potential of crippling all local industries, which the government had over the years considered as the engine of growth and development.
The Ghanaian Industrialist argued that the Malaysian and Singaporean manufacturing industries survived in the face of competition because of the commitment of their governments to create congenial trade environments for them and called on the government to intervene to save the private manufacturing companies.
He said the current tariffs could also scare potential investors away from doing business in Ghana.
"There are a lot of Ghanaians out there willing to come back home to invest and if things continue this way, I am afraid we shall lose all of them to neighbouring countries that are treating their manufacturers better," he warned.
On water tariffs, the industrialist said although private manufacturing industries and government institutions used to pay the same rates for water, the revised rates placed the private entities at higher rates.
He complained: "That of Government Institutions has been increased by only 40 percent whilst that of private industries has been increased by over 60 percent."
"The previous rates placed the private industries and public organizations rates at GH 1.10 per litre but the current rates place commercial and industrial companies at GHC1.80, while public organizations are pegged at GHC1.54."
He called on the Government to intervene immediately or risk losing a lot of private manufacturing companies that are currently employing a lot of youth graduates.