Government announced project to triple coverage of electricity subsidy – La Discusión 2024-07-18 14:20:53

Energy Minister Diego Pardow announced on Monday that the government will present a bill to triple the coverage of the subsidy for increases in electricity bills.

According to Radio Cooperativa, Pardow said they expect this aid to reach 4.7 million households, equivalent to 10 million people.

For the above, he announced that “the Government will present a new project law, which seeks to triple the coverage of the subsidy for vulnerable households. At the same time, we will also address the special needs of households that are dependent on electricity, and some areas that have a particular energy situation, the medium-sized systems, in the southern part of our country.”

“The way in which this expansion of the subsidy will be financed is essentially threefold: a surcharge on the green tax, a surcharge on the public service charge, which is currently paid mainly for large electricity consumption, and a greater fiscal contribution through increased collection of the Value Added Tax (VAT),” the authority explained.

The minister said that “these three pillars comply with what has been the government’s orientation regarding this type of policies, in a self-contained system with fiscal responsibility, which are the two principles with which we are working.”

This proposal was presented to the technical table with parliamentarians from the Energy Commissions of the House and the Senate, to be subsequently evaluated and eventually debated in Congress. It is expected to be dispatched in October, when a greater increase in electricity bills is forecast.

During yesterday’s session in the former Congress, the members of that body imposed themselves a deadline of July 30 to present the initiative, although they propose that coverage reach 100% of the Social Registry of Households, that is, including the middle class.

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