Retroactive Rate Increase: Electric bills come with an increase that may be illegal

The Government has applied to retroactive increase in electricity tariffs of Edenor and Edesurwhich can already be seen in the electricity bills paid by millions of users in the Buenos Aires Metropolitan Area (AMBA).

Applying a retroactive increase is common and legal, but the way it was done this time, without it being gazetted, they could be questioned in court with collective protection, and possibly stopped.

As he said Clarion last week, So far this year in AMBA there have been four different variable tariffs for the same amount of energy consumed.

The first had been in force since January, with the old tariffs; the second, between 1 and 15 February, corresponding only to the increase in the price of electricity due to the elimination of subsidies; the third, between 16 February and 31 March, for updating the distributors’ revenue margin; and the fourth, starting from April, once again changing the categorization of users based on their consumption.

The newspaper The nation found that The increase from 1 to 15 February was applied retroactively, without having been published in the Official Journal. Resolutions 101 and 102/2024 – new tariffs for Edenor and Edesur – of the National Electricity Regulatory Body (ENRE) have implemented the adjustments starting from 16 February, containing the changes envisaged by Resolution 7/2024 of the Ministry of ‘Energy – new seasonal prices (PEST) -.

Since the increase in energy prices was not passed on to users in the first half of February, On March 11, ENRE sent a corrective note to companies so that they could do so..

But since then there was no publication in the Official Journal and the companies invoiced with the new prices. That’s why some recent bills combine one old rate for January and two different rates for February.

By transferring the new energy prices to users from 1 February, the Government wants the distributors (the demand) to take care of the payment, instead of the State covering it with subsidies.

Official sources such as the Secretary of Energy, Eduardo Rodríguez Chirilloand others contacted in this way claim that these acts are “legal”, that the manner was “not customary” but was public, since Resolution 7 had been made official.

But in the private sector they differ. Giulio Fonrougespecialist in energy law and legal manager of the Contatti Energetici Foundation, declared: “Applicable guidelines and procedures were not followed. There was an omission on the part of the State. “Companies need to keep in mind that user and consumer advocacy groups will come down on them.”

An industry technician, in turn, stated: “It is not the first time that the energy price update has been applied retroactively. Yes, however, It is the first time that this has been done with a legislative note without informing citizens, which makes it an absolutely null and void act.“.