Argentine court rejects electricity tariff hikes
Argentine court rejects electricity tariff hikes
Markets | Thu Aug 4, 2016 12:14am EDT
Related: Utilities
Aug 3 An Argentine court upheld a ruling by a lower circuit to block government-proposed hikes in electricity tariffs, local media reported late Wednesday, a ruling that could complicate the state's bid to reduce Argentina's fiscal deficit.
The decision by a federal judge in Buenos Aires province reaffirmed a previous decision in July handed down by a court in the city of La Plata.
The Argentine government had ordered a significant increase in electricity prices at the beginning of the year with the purpose of reducing the generous subsidies the state pays to keep energy prices low.
The issue is now likely to go to Argentina's Supreme Court, although the federal court ruling will affect efforts to reduce the deficit in the short term.
More:
http://www.reuters.com/article/argentina-utilities-idUSL1N1AL05L?rpc=401
