The new energy secretary said the rate hikes are “reasonable”, although some users will pay up to triple.

After the Government confirmed the new tariff table for gas, energy and water services with increases up to three times the current value, the new Secretary of Energy, Flavia Royón, said that the increase brings the tariffs to “reasonable” prices.

For Royón, “regardless of the international situation”, it was “necessary to move to a much fairer energy subsidy system”and announced that subsidized gas consumption ceilings will be released next week, just as has been done with electricity.

According to Clarín, electricity, gas and water bills will increase between 50% and 140% in the coming months. It is a consequence of “segmentation,” a system decided by the executive branch that will preserve subsidies for public service tariffs for the lower income segments, cut them for the middle sectors, and remove them for households earning more than $ 250,000. per month.

Businesses and businesses will also have to cope with increases in public services and, in the case of water, over 300,000 businesses, industries or customers who carry out an economic activity will see their bills increase by 250% until March 2023.

“We had to move towards a much fairer energy subsidy system where if there is a subsidy it is for those who really need it,” Royón said Friday in a dialogue with América TV.

In this sense, the official argued that there was “a scheme where the subsidy was for everyone and today we move to a voluntary register,” said the official, who at the same time felt that, despite the increase, they are ” reasonable “rates”.

“These increase they go below the wage ratio index; They are reasonable increases and which today serve to please a little and bring fiscal order “, he added in statements on La Red radio.

“The subsidy was indiscriminate to all families. You need to see how the fare is defined. In my opinion, we should rethink the regime with fairer tariffs and the increases on average depend on what is consumed, ranging from 200 to 550 pesos. They are reasonable, “she said.

And he added: “What you allocate from your salaries to pay for energy services is less than in other places and even less than in 2019 when 5.4% of salaries were assigned”.

In relation to gas, and as for the maximum ceiling of 550 kWh in the northern provinces without access to natural gas, Royón stressed that “variability and dispersion” have been taken into account and that one cannot “have the same consideration with one person. of the South.

In this sense, he announced that next week the monthly limits on the consumption of subsidized gas by category and distributor will be published “and will be updated monthly”.

In addition, he specified that this cap will apply, unlike electricity, to users for all incomes.

In the case of gas this is a 100% increase. Customers with an average consumption – 97 cubic meters per month – will go from a bill of $ 1,650 (in June) to one of $ 3,100 in January, according to Federico Bernal, Undersecretary of Hydrocarbons.

Families who keep part of the subsidy will go from a $ 1,650 gas bill to a $ 2,146 one in January 2023.

The impact on expenses

Royón has ratified that the removal of subsidies to services will also affect consortia, but tried to relativize the impact it will have on expenses.

The official indicated that, after a consultation held this Thursday with distributors, “the weight of energy on expenses in general is 5% or less on expenses” and that the increase “will not trigger the value” of the same despite generally fall into the category in which they will be withdrawn.

According to Clarín, consortia listed as general users will lose subsidies, while those registered as residential consortia will keep them.

For example, a PH with seven units, listed as residential, will keep them, but a complex of 100 units – listed as general – will no longer have them.

Private clinics will lose subsidies, according to official sources. However, the situation of the neighborhood clubs and school picnic areas for electricity and gas has not yet been defined.