The Government authorized an increase of at least 65% in electricity rates for medium and low-income users, effective from the months of June and July, according to Ersep in the case of the province of Córdoba. This adjustment is due to an increase in the seasonal price of energy and changes in the subsidized limits for levels N2 and N3, significantly affecting the monthly bills of these users.
The measure was made official in four resolutions published in the Official Gazette on Wednesday by the Ministry of Energy of the Nation. The new seasonal wholesale price of energy is established at $57,214 per megawatt/hour for distributors, a necessary adjustment after more than a year of freezing in that scale. The subsidies applied are 71.9% for low-income households and 55.9% for middle-income households that already have a bonus.
Electricity rates
New subsidized consumption limits are established for residential users, differentiated by Level (1, 2 and 3) and geographical area.
Bonuses are established on the price of energy for Level 2 and Level 3 users.
Thus, the final price of Kw/h for the N1 will be $57 plus the added value of distribution (VAD), it will go from $3 to $16 for the N2 plus the VAD, and it will be from $4 to $25 per Kw/h for users. N3. Taxes must be added to all this.
In accordance with Resolution 94/2024, the objectives of the measure are to focus subsidies on users who really need them, promote responsible and efficient energy consumption, and gradually reduce subsidies to the energy sector.
Subsidized consumption caps
Level 1: They have no subsidy.
Level 2: 350 kWh/month (base consumption) + excess consumption at full price.
Level 3: 250 kWh/month (base consumption) + excess consumption at full price.
Bonuses
Level 2: 71.92% on the price of Segment N1 for base consumption.
Level 3: 55.94% on the price of Segment N1 for base consumption.
The Cooperative hopes, according to statements by its manager Roberto Aliciardi, that the adjustment will be gradual, since it is not feasible for it to be applied all at once because there is no family economy that can support it.
In the previous increase in February, the Cooperative absorbed part of it and gave facilities to its members.
Gas rates
Along with these changes, the Government simplified the tariff scheme for gas and electricity, affecting households segmented into three levels: high (N1), low (N2) and medium income (N3). Unlike previous adjustments, this new scheme distributes the cost of cutting subsidies among all users, including those with low and middle incomes.
The Government announced that it will analyze these incomes, crossing them with the bases of the National Tax and Social Identification System (SINTyS) and other sources of information managed by the Ministry of Innovation, Science and Technology, to verify the data.
This task is not easy, as the Ministry of Energy recognized when pointing out the deficiencies of segmentation during the previous government. For this reason, a transition period of six months was established to implement the Basic Energy Basket (CBE), with the possibility of extending it up to one year.
The objective of the CBE is for the State to subsidize residential users when the cost of energy exceeds a percentage of their income, determined by the Ministry of Energy. This percentage is expected to be approximately 10% of revenues (5% for gas and 5% for electricity). In these cases, the State will make a direct transfer to the beneficiary through a virtual card or CBU, or through a discount on the invoice.
Regarding the caps or subsidized consumption limits, the official decision contemplates the following in the case of natural gas:
N1 has no stops.
N3 maintains in force the limits established in the Resolution of the Ministry of Energy No. 686, according to distributor.
N2, the same consumption limits apply as for N3.
Thus, the price of gas in the user’s final bill will increase starting in June 2024. The exact increase will depend on the consumption of each user and the subsidy scheme to which it applies.
