For its part, the 10% of residential users of Gas and Electricity Services, with the greatest payment capacity of society, will no longer receive the benefit of the Energy subsidy.
For its part, the 10% of residential users of Gas and Electricity Services, with the greatest payment capacity of society, will no longer receive the benefit of the Energy subsidy.
In this way, for most of the residential users of Edenor and Edesur excluded who are beneficiaries of the social rate, the electricity bills would have an average correction of 17%. On the other hand, this average correction for the majority of Gas users in the country will be 21.5%, with slight variations according to the regions.
“The Secretary of Energy with Respective Resolutionsestablished the convocation to the Public Hearings, which will put these mechanisms and rate updates to the consideration of the users, which will especially contemplate the situation of the vulnerable sectors and those with less capacity to pay, within the margins defined therein and that will be governed by the principle of gradualness,” said the official statement.
Criteria for update
For residential users, an objective criterion will be considered, a rate correction related to the evolution of their income, represented by the wage variation coefficient (CVS), as established by Law No. 27,443, frustrated by the total veto imposed by the previous administration.
For 90% of residential users, this mechanism guarantees that rate updates will always be lower than their salary increases, implying corrections in their bills that are less than the increase in their income in real terms, with the aim of protecting real income and improving the distributive aspect of the subsidy policy.
In this way, the Government is considering a tariff scheme for the 2022-2023 biennium that includes three levels:
- Gas users who benefit from the social rate, for whom there will be no other increase in their bill this year, and for the next calendar year, this correction will be equivalent to 40% of the previous year’s CVS. For Edenor and Edesur social rate beneficiaries, the new rate correction for 2022 will not exceed 6%.
- For the rest of the users, the total increase in the invoice for each calendar year will be equivalent to 80% of the Salary Variation Coefficient (CVS) corresponding to the previous year. Based on this scheme, for the year 2022 and considering the tariff update carried out last March, the proposed increase for the month of June will be an average of 17% for the Electricity tariffs of AMBA users, and of the 21.5% average on the current value of the bill for Gas users throughout the country. Exact variances will vary by residential rate category and also by region for Gas users.
- The band of 10% of users with the highest income and with full payment capacity will no longer be beneficiaries of the energy consumption subsidy.
Source: Ambito

David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.