The Ghana Hotels Association is pushing back against the upcoming utility tariff adjustments set to take effect on May 3, 2025, warning that the move could significantly strain the hospitality sector.
This follows the Public Utilities Regulatory Commission’s announcement of a 14.75% increase in electricity tariffs and a 4.02% hike in water charges.
According to the Association, electricity alone already accounts for more than 20% of operational expenses for hotels. Any further increase, they argue, will erode profit margins and threaten the sustainability of many businesses in the sector.
Speaking at a press briefing to launch the Association’s 50th Anniversary celebrations in Accra, President of the Ghana Hotels Association, Dr. Edward Nyameke Ackah, urged regulators to reconsider the decision in light of the fragile recovery the industry is still undergoing post-COVID.
“We need to appreciate this issue about tariffs. A study has been done somewhere says that the percentage of the revenue inflows of the hotel industry for electricity should not exceed 6 percent but we here are in a situation of over 20 percent of our inflows goes into electricity alone so now that there has been another announcement of a hike the impact will be serious,” he said.
He added that: “the Government must find away to support as the cost build up must be critically relooked.”
The theme for the Ghana Hotels Association 50th Anniversary is “ 50 Years of Advocacy, Perseverance and Impacting the Tourism and Hospitality Industry in Ghana”
The Ghana Hotels Association has outlined a series of events to mark its 50th anniversary, beginning with a 10-kilometer health walk in Ho on April 24, 2025. The walk, which will cover key landmarks in the Volta Regional capital, will feature a brass band, police escort, ambulance services, aerobics, health screening, and refreshments. This will be followed by the unveiling of the official anniversary cloth and a donation to a department at the Tema General Hospital on July 24, 2025.
A national symposium will then be held in Cape Coast on October 23, 2025, under the theme: “50 Years of Advocacy, Perseverance and Impacting the Tourism and Hospitality Industry in Ghana.” The celebrations will climax with an Honorary and Competitive Awards Night on January 24, 2026, to recognise outstanding contributions within the tourism and hospitality sector.