The business chambers expressed their concern and announced the measure that will take effect from Sunday night. The Government is preparing the transfer for September.
The tension between the Government of Javier Milei and the Buenos Aires management, in charge of Jorge Macri, continues to await the decree of the Executive power which would leave 31 lines of collectives of the Autonomous City of Buenos AiresIn this context, and with no agreement in sight, transport would operate with limited service.
The reduction in transport has not yet been made official: The Government is expected to publish the regulation in the next few hours. through a decree in the Official Gazette.
Luciano Fusaro, vice president of the Association of Motor Transport Entrepreneurs (AAETA)confirmed the reduction of services in the event of a possible removal of subsidies: “The redetermination of system costs was not published, which is where the subsidy account comes from and which has not been updated since April. What we are going to do is reduce night services as a preventative way to avoid total paralysis.”
Strikes are anticipated due to the withdrawal of subsidies
Speaking to Radio 10, Fusaro detailed the negative outlook for companies and delved into the uncertainty of the sector for next week: “The situation for us is the same, We still don’t know what will happen next week.The most critical situation is on the lines of the Autonomous City of Buenos Aires, the famous 31 lines that circulate through CABA because there the national government said that the head of government Jorge Macri must assume the subsidies and the City is saying that the total transfer of the jurisdiction of the 31 lines should be decided to take charge of that.”
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“We couldn’t increase it even if we wanted to because Companies do not have that power. The National Transportation Secretariat is the only one that can affect the price of the fare. If we do not have the power and the subsidies do not come, the third option is that the companies will have to either reduce services or they will not be able to pay salaries, which would imply a union conflict and a paralysis of the system,” he added.
In this context, if there are no unforeseen events, Bus companies would reduce services in the face of the withdrawal of subsidies and the imminent transfer that Javier Milei’s administration is preparing.
The points of conflict between the City and the Nation over public transport
The amendment to the law would involve the transfer of various powers over transport and its routes, which also includes the delegation of the costs of these bus lines.
The following changes would be made: Transport would move from the orbit of the Nation to that of the City and the transfer of attributes to define routes, frequencies and rates is contemplated.
The measure could also lead to an increase in fares and the withdrawal of funding from the integrated ticket of the SUBE Network (for those who make more than one trip within a two-hour period). In total, expenditures of more than $8.5 billion per month are expected.
Source: Ambito
