The government has implemented a reduction in energy subsidies for residential users, which will particularly affect the Buenos Aires Metropolitan Area due to its high population density. As the colder season approaches, users can expect their electricity and gas bills to increase significantly.
The National Electricity Regulatory Authority (ENRE) has recommended that households verify their assigned subsidy levels, which are crucial for calculating monthly bills. For electricity users of Edesur and Edenor, the subsidy details are explicitly stated on the bills. For Edenor customers, the amount of the government subsidy can be found midway down the bill, within the “Customer Information” section.
For those with Edesur, the subsidy information is located at the top of the bill, adjacent to a graph that shows monthly electricity consumption trends. Currently, users fall into three categories based on their income levels under the subsidy segmentation established in 2022: High Income (Level 1), Low Income (Level 2), and Medium Income (Level 3). According to the latest data from the Energy Subsidy Access Registry (RASE), there are approximately 5.3 million Level 1 users, 8 million Level 2 users, and 2.7 million Level 3 users.
In June, the National Energy Secretariat modified the maximum subsidized consumption limits and price discounts for wholesale electricity for Level 2 and Level 3 users through Resolution No. 90/2024. This change signals the beginning of a transition to a targeted subsidy scheme that aims to clarify both the real cost of kilowatt-hours and the state assistance each residential user receives based on their ability to pay.
Level 1 users pay the full rate without any subsidies, while Level 2 users receive subsidies up to a monthly limit of 350 kWh, paying the full price for any usage beyond that. Level 3 users can receive subsidies with a limit of 250 kWh per month.
Gas bills, on the other hand, do not explicitly show the amount of subsidy provided by the government for residential consumption. However, by analyzing consumption category, income level, and tariff subzone, one can gauge the level of assistance a user receives. In the Buenos Aires Metropolitan Area, the main gas distributors are Naturgy Ban and Metrogas.
Residential users are classified into eight categories based on their consumption levels, ranging from R1 to R34. These categories change with each billing period, and variations in consumption within a rolling year can result in category changes. As such, users with lower gas consumption may benefit from cheaper rates.
It’s also crucial for users to understand which level they belong to according to RASE. Depending on their segment, they may receive different subsidies on the natural gas prices reflected in the current tariff schedules.
Another variable affecting gas tariffs is the tariff subzone, which differs significantly based on the user’s location. Furthermore, certain categories, such as social tariffs and those for non-profit entities, also receive specific subsidies. The “Cold Zone” benefit, expanded in 2021, provides a 30% rate discount to qualifying households, increasing to 50% for social tariff users or those in specific regions.
Gas bills encompass several components: the price of gas paid to hydrocarbon producers, transportation fees for delivering gas to consumption centers, distribution fees for transporting gas to user meters, and applicable taxes set by national, provincial, or municipal governments.
To summarize, aside from taxes, users will see a breakdown of charges in their bills. This includes a specific Fixed Charge for each category and a Variable Charge tied to actual consumption, calculated by multiplying the number of cubic meters consumed by the corresponding rate.
Image and News Source: https://www.infobae.com/economia/2024/07/22/comenzaron-a-llegar-boletas-con-fuertes-aumentos-de-luz-y-gas-como-leerlas-para-saber-cuanto-subsidio-recibe-cada-usuario/
