Congress Approved Changes to Cold Zone Regime for Gas Subsidies

Congress approved on Thursday a law that modifies the Cold Zone regime and alters the current gas subsidy scheme. The initiative was promoted by La Libertad Avanza and gathered the necessary votes to move forward.

The backing of Neuquén proved decisive for the approval of the bill, which redefines the territorial scope of benefits applied to gas tariffs. It affects Mendoza, another beneficiary of the initiative, although Malargüe will continue to be covered by the benefit.

Another province impacted by the measure is Buenos Aires.

The reform establishes a reduction in the regime's coverage compared to the current scheme.

The modification is incorporated into the debate on the cost of energy services and the allocation of state gas consumption subsidies.