Argentine gas distributors strained by natural gas price freeze

Argentine natural gas distributors are seeing their finances strained by the ongoing natural gas price freeze in the country.

Some of the sector’s companies use close to 80% of their revenues for staff and operating costs, leaving them with little room to cover their financial commitments, industry representatives told government officials.

In a meeting with production minister Matías Kulfas and energy minister Sergio Lanziani, company executives asked the administration to resume the price adjustment process, known as RTI. The plan was interrupted last year by the previous administration and has not been updated since.

Argentina’s biggest gas distributors include Metrogas, Naturgy, Camuzzi, Gasnor, Gas Nea, Litoral Gas and Ecogas. They are grouped under industry lobby group Adigas.

The companies also asked the administration to designate key posts at regulatory body Enargas so they can begin talks about resuming the price adjustment process.