Energy program lowers gas, power consumption
Bnamericas Published: Tuesday, August 03, 2004
Argentina's Rational Energy Use Program, known by its Spanish acronym PURE, has reduced gas and electricity consumption by 8% and 3% respectively, the government said in a statement, without indicating the time period of the savings. The energy department implemented PURE in May this year, and the program was intended to apply first to Buenos Aires and the surrounding Greater Buenos Aires area, before being stepped out to the rest of the country. Federal planning minister Julio De Vido and energy secretary Daniel Cameron announced the result in a press conference after meeting with President Néstor Kirchner on Friday. The energy savings plan is "a success within a worrying context," Standard & Poor's analyst Sergio Fuentes told BNamericas. The program is designed to penalize consumers who use more electricity or gas than in the same period last year, and reward those who use less. "If you save energy that was inefficiently used, well that's good because you're changing inefficient use in the residential sector for better use in the industrial segment," Fuentes said. For every two clients that received a credit under the plan, only one was penalized, "which clearly contradicts the position that the rewards and punishment scheme is really a rates increase in disguise," Cameron said. The measure is part of the government's plan to deal with escalating demand and shrinking supply, and includes importing gas from Bolivia and liquid fuels from Venezuela, while trying to restrict gas exports and domestic gas and electricity demand. "You can read it as a success on the one hand, but if you look at the big picture the government had to implement these measures, which are not efficient, in order to manage the crisis which resulted from the lack of incentives for the private sector," Fuentes said. Buenos Aires gas distributor Gas Natural BAN said that 400,000 of its clients consumed less gas than in 2003, while 200,000 consumed more, De Vido said. Meanwhile, clients of gas distributor Metrogas saved a total 2.68mn pesos in June, while penalties amounted to 1.4mn pesos, meaning that 40% of the company's clients used less gas than in the same period of 2003. "This gives us an enormous satisfaction because we believe that the measure was clearly understood by society," De Vido said. By 2005, "we will have two pipelines injecting 6 million cubic meters a day more gas," he added.
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