David
Active member
Get ready for the price hikes! We knew this was coming. I admit my utility bills were dirt cheap. I'm just curious how high they will go. I guess we will find out.
Argentina's Milei declares energy sector emergency, sets stage for price hikes - Reuters
By Eliana Raszewski
December 18, 2023
BUENOS AIRES, Dec 18 (Reuters) - Argentina's new libertarian President Javier Milei announced a power sector "emergency" on Monday, saying his government would tighten control over the country's local gas and electricity regulators, and seek to allow long-controlled prices to rise.
The outsider economist, who rode to power pledging to take a 'chainsaw' to state spending, has long targeted energy and transport subsidies that cost the government around $12 billion last year and keep people's bills at around 15% of cost.
Energy costs pose a major challenge for Milei, who took office this month. He has pledged to overturn a deep fiscal deficit, but hiking energy bills will fan inflation already nearing 200% and hurt Argentines with two-fifths in poverty.
In a decree, the government said that low energy prices had led to a lack of investment in the gas and electricity grid, adding that it would look to permit prices to rise in accordance with free market competition to "guarantee continuous supply".
It added that until a tariff review was done, authorities could approve temporary rate increases and periodic adjustments.
"If urgent measures are not adopted, the poor quality of service described will worsen to the detriment of users," it said.
The decree also said the government would look to intervene in state electricity regulator ENRE and gas watchdog ENARGAS from the start of 2024, with government officials reviewing the working of the entities.
Argentina's Milei declares energy sector emergency, sets stage for price hikes - Reuters
By Eliana Raszewski
December 18, 2023
BUENOS AIRES, Dec 18 (Reuters) - Argentina's new libertarian President Javier Milei announced a power sector "emergency" on Monday, saying his government would tighten control over the country's local gas and electricity regulators, and seek to allow long-controlled prices to rise.
The outsider economist, who rode to power pledging to take a 'chainsaw' to state spending, has long targeted energy and transport subsidies that cost the government around $12 billion last year and keep people's bills at around 15% of cost.
Energy costs pose a major challenge for Milei, who took office this month. He has pledged to overturn a deep fiscal deficit, but hiking energy bills will fan inflation already nearing 200% and hurt Argentines with two-fifths in poverty.
In a decree, the government said that low energy prices had led to a lack of investment in the gas and electricity grid, adding that it would look to permit prices to rise in accordance with free market competition to "guarantee continuous supply".
It added that until a tariff review was done, authorities could approve temporary rate increases and periodic adjustments.
"If urgent measures are not adopted, the poor quality of service described will worsen to the detriment of users," it said.
The decree also said the government would look to intervene in state electricity regulator ENRE and gas watchdog ENARGAS from the start of 2024, with government officials reviewing the working of the entities.
