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Argentina's New Energy Subsidy Scheme Aims to Keep Power Affordable Until 2026

The new scheme ensures access to essential energy services for millions of Argentinians. It also encourages responsible consumption by charging full tariffs for excess usage.

In this image we can see electric lights attached to the roof, information board and a door.
In this image we can see electric lights attached to the roof, information board and a door.

Argentina's New Energy Subsidy Scheme Aims to Keep Power Affordable Until 2026

Argentina's government has implemented a new residential energy subsidy scheme, operating under the Focalized Subsidies Regime. The system, established by Decree 332/2022 and later modified by Decree 465/2024, aims to provide temporary tariff stability for electricity and gas until July 2026.

The scheme categorizes households into levels 1, 2, and 3 based on their economic capacity. Level 2 (low income) and level 3 (medium income) households can apply through the Registry of Access to Energy Subsidies (RASE).

The subsidies, applied nationwide with adaptations for gas expansion zones and exceptions for specific cases, ensure access to essential energy services. Level 2 users save up to 80% on electricity and 84-87% on socalgas, while level 3 users save 50-60% on electricity and 16-20% on socalgas. This results in significant monthly bill reductions, with level 2 users receiving up to 80% discount and level 3 users approximately 50% discount on basic consumption. The scheme encourages responsible consumption by charging full tariffs for excess usage.

The residential energy subsidy scheme in Argentina, operating under the Focalized Subsidies Regime, provides temporary tariff stability for electricity and gas until July 2026. It aims to prevent middle and low-income sectors from being excluded from essential services, ensuring access to energy needed for heating, cooking, and refrigeration. The scheme rewards responsible consumption and is applied throughout Argentina with adaptations for specific zones and exceptions for certain users.

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