The National Government begins the process of deregulation of the Liquefied Petroleum Gas market to promote competition

This press release was published in English using an automatic translation system.

Statement from the Undersecretariat of Energy of Argentina

Through Resolution 15/2025, the Energy Secretariat of the Ministry of Economy of the Nation continues the process of deregulation of the Liquefied Petroleum Gas (LPG) market, with the aim of having a more competitive system, in which the real costs of production and distribution of this fuel are reflected.

In this regard, the National Government decided to begin a deregulation process based on three main axes: aligning prices with export parity (international prices) throughout the LPG chain; freeing up loading ports so that fractionators can choose where to collect the product; and removing mandatory contributions and quotas, giving greater flexibility in the allocation of resources.

This measure opens a new era in the LPG market, with clear rules and freedom to compete. From now on, competitive costs will be reflected in all stages of the process; prices will be determined by supply and demand; competition will be encouraged, incentivizing market players to continually improve; and artificial barriers will be eliminated to facilitate access to this fuel in all regions of the country.

In this new scheme, producers will maintain their commitment to supplying the Hogar Program. This initiative of the Ministry of Energy provides a subsidy on LPG consumption for the most vulnerable households, which do not have a natural gas network.

When President Javier Milei took office, the LPG market was marked by a strong state presence, with a government that imposed maximum prices throughout the chain: production, fractionation, distribution and marketing. In addition, fractionators were obliged to collect the product from specific locations and producers had mandatory quotas that limited their operating capacity. In this way, a rigid market had been created, which slowed development and competitiveness, causing the entire production process to become more expensive.

With the new measures implemented by the National Government, progress continues to be made in removing obstacles to the private sector to promote competition and market freedom.