After public hearings for electricity and gas bills, the debate to raise the water is approaching

The Government is following all measures to be able to advance tariff increases, a necessary path to be taken. reduce the subsidy of public services and lowering spendinga combo that is part of the goals agreed upon with the International Monetary Fund.

This week they performed the public hearings to deal with the increases of electricity and gas services. And there was a third meeting to discuss what segmentation the Ministry of Economy would like to apply to remove subsidies to those with higher incomes.

Next Thursday, starting at 10, it will be the turn of the public hearing for the water rate adjustment. Argentine Water and Sanitation (AySA) proposes a 32% increase compiled for this year, in two sections: 20% in July and 10% in October. For electricity and gas, the annual increase will be 42.7%.

As with energy hearings, water hearings will also be virtual. It will govern the Water and Sanitation Regulatory Entity (ERAS), and interested participants can register in person at the headquarters of the regulatory entity (Callao 982, CABA), until 10 next Tuesday.

In addition, anyone who requests to participate as an exhibitor must submit a form and a report with the content of the exhibition that you will undertake and the additional documents you wish to relate to the topic to be considered.

The call was made by the Secretariat of Infrastructure and Water Policy of Ministry of Public Works and the hearing will be presided over by the Secretary of Public Works, Carlos Augusto Rodriguezwhich oversees the application of the regulatory framework for the provision of public drinking water and sewage services.

What will Aysa propose?

In its tariff update proposal, Aysa described a “long-term” situation, indicating that “The current tariff levels are significantly lower than those established as equilibrium economic-financial framework in the regulatory framework ”.

“Tariff revenues are not enough to cover all costs incurred from the provision of services ”, the company led by Malena Galmarini assured in its presentation.

The state company indicated that in December 2021, the tariff revenue they cover only 49.5% of operating costssituation that may worsen in the case of the continuation of the rate freeze that began at the beginning of 2019, in the last phase of Mauricio Macri’s presidency.

The two increases of 20% in July and 10% in October represent a cumulative increase of 32% over the year.

AySA has not received subsidies to finance current costs in 2021, but received $ 2,452 million for capital costs attentionaccording to a report by the Argentine Association of Budget and Public Financial Administration (ASAP).

In its presentation, the company recalled that “from 2002 to 2011 the rate freeze was complete.” And he added that last year he continued on an increase of 290% for the range of 169,671 users and 74.35% for the rest.

However, AySA assured that the cost coverage plus rate continues to deteriorate “despite this increase”, decreasing up 29% in 2013.

In the macrista management, successive increases in rates were applied, particularly a “exceptionally significant” 216.7% in 2016, which brought cost coverage to 77%, IsSA indicated.

Ang final settings they were all in 2019, 17% in January and 27% in May.

With information from Telam

NE