The national government decided to postpone the increase in fuel which had been announced for this Wednesday, May 1, thus deferring the update corresponding to the tax on gasoline and diesel. A similar measure, it was announced simultaneously, will be applied to gas and electricity rates, whose updates were also delayed by official decision.
Fuels, with rise delayed until June
“The measure implies that there will be no increase for this concept in the month of May,” they defined from Casa Rosada regarding fuels, in a brief statement this Tuesday night.
Thus, the update corresponding to the fourth quarter of 2023 of the Taxes on Fuels and Carbon Dioxide for unleaded gasoline, virgin gasoline and diesel will move to June 1.
The Government closed its statement by assuring that the measure, to be published in the Official Gazette tonight, “guarantees predictability to the sector and establishes that there will be no increase, for these concepts, in the month of May.”
Gas and electricity rates: there will be no increases in May
The scheme of monthly update of gas and electricity rates intended to apply starting in May was finally postponed, according to official sources reported to media such as Noticias Argentinas and Infobae.
The Energy Secretariat led by Eduardo Rodríguez Chirillo has been searching since the month that begins this Wednesday avoid a delay in real terms of the income of distribution and transport companies.
However, the regulatory entities of both services, Enargas and ENRE, respectively, had drawn attention in recent hours by not publishing the new tariff schedules, despite the imminent implementation.
The regulatory entities had already calculated how much the increase would be that would correspond to the companies: 10.69% for electricity distributors, 12.5% for gas distributors and 12% for gas transporters.
Fuel increase this Wednesday: how much the impact was going to be in Neuquén and Río Negro
This Wednesday, May 1, Labor Day, fuels they had to register a new increase hand in hand with the update of taxes on gasoline and diesel, arranged by the national government. Although the increase, of an average of 4% throughout the country, was scheduled in the schedule, it was finally decided to postpone it for 30 days, until the beginning of June.
The increase corresponds to a partial update of the taxes on Liquid Fuel (ICL) and the Carbon Dioxide Tax (IDC). Follow an application schedule published in Decree 107/24 in the Official Gazette, where the last increase corresponds to the fourth calendar quarter of the year 2023, starting May 1, 2024, inclusive.
Last month, the price of gasoline increased between 4.5% and 5%. By law, these taxes should be updated quarterly and are transferred directly at the price at the pump. They follow the Nation’s Consumer Price Index (CPI) from the previous month.
In the region, it is worth remembering that a tax discount known as Patagonian Zone or Pichetto Law, which is 50% of the tax burden on diesel and a total exemption on gasoline, so the application of these taxes has a minor impact. However, in reality, When the latest tax updates were applied, prices at pumps in the region also increased.
Therefore, if a new increase in gasoline is applied in the region at the beginning of May, It will be due to an increase defined by the companies, not due to the transfer of taxes to the supplier. In the case of diesel, updating taxes will have an influence, but it should not have the same impact as in the rest of the country.
If prices in Neuquén increase by 4%, as the average in the country is expected, Premium gasoline would cost 905.8 pesos, the super 730.08 pesos; Premium diesel 1,140.88 pesos and grade 2 948.48 pesos.
Fuel increase: what were the increases in gasoline and diesel
So far this year, from January to April, fuels increased on average 40.4% in Neuquén Capital at YPF service stations. In detail, super gasoline went from 509 pesos on January 1 to 702 in April, an increase of 37.9%; The Premium increased 38.4%, going from 629 pesos to 871. In General Roca, Río Negro, the same increases were recorded.
Meanwhile, grade 2 diesel went from 639 pesos to 912 in April, which reflects an increase of 42.7%. In Premium diesel, grade 3, the increase was 42.6%: from 769 pesos in January it rose to 1,097 in April and exceeded the ceiling of 1,000 pesos. In General Roca, the only fuel that registers differences with Neuquén Capital is Premium diesel: it increased 42.7%, going from 789 pesos to 1,126 in April.
Since the new government administration began, In December 2023, fuel prices have registered seven increases. In December, after the inauguration of current president Javier Milei, there were two increases: 12/11 and 12/13. In January, it was registered on the 3rd of that month. As of February 1, the tax update schedule began. The next increases occurred on March 2 and April 1.