Overview
- Argentina cut electricity and gas subsidies for about 2.5 million households under President Javier Milei.
- Subsidy rolls shrank in electricity to 8.73 million users from 10.8 million, and in gas to 4.78 million from 5.64 million.
- Officials report more than US$5.6 billion in savings, and the subsidy bill fell from about 1.4% of GDP to roughly 0.6% as collections rose to 97%.
- Nearly half of households now pay the full price for energy, lifting bills to about 46,488 pesos for power without aid versus 21,069 with it and feeding tariff increases near 20% in the first quarter of 2026.
- The new SEF system targeted aid after a registry cleanup found over 15,000 subsidized homes in gated communities, 370,000 deceased users on the rolls, and 1.59 million eligible families not enrolled.