Argentina has introduced a new, targeted energy subsidy system that replaces the previous income-based segmentation with a unified scheme aimed at households requiring assistance to cover essential energy consumption. The system provides a baseline subsidy of around 50% on a limited “basic consumption block” of electricity and gas, with any consumption above that threshold charged at full cost.
For electricity, the subsidy applies year-round but only up to a capped level of monthly consumption (higher in peak-demand months and lower in milder seasons). For natural gas, subsidies are seasonal, concentrated in winter months (April–September), with no support during periods of low demand.
The scheme also introduces a temporary additional subsidy (up to 25%) during 2026, which gradually declines over the year to ease the transition to higher tariffs.
