On March 17th, 2020 Decrees No. 277/2020 and 278/2020 (the “Decrees”) were published in the Official Gazette, which have ordered the intervention of the Electricity Regulatory Authority—in spanish Ente Nacional Regulador de la Electricidad—(“ENRE”) and the Gas Regulatory Authority—in spanish Ente Nacional Regulador del Gas—(“ENARGAS”) and designated Lic. Federico José Basualdo Richards and Lic. Federico Bernal as intervenors.

The Decrees have been enacted in the context of Law No. 27,541 of Social Solidarity and Productive Reactivation, passed by the National Congress, which declared a public emergency in economic, financial, fiscal, administrative, pension market, rates, energy, health care and social matters for a 1-year term, and entrusted the National Executive to intervene the energy and gas agencies.

Such bill also authorized the National Executive to freeze natural gas and electricity rates under federal jurisdiction and to carry out an extraordinary review of the current rate structure of those activities regarded as public utilities, in the terms of Laws No. 24,065 and 24,076 -which foresee the regulatory frameworks applicable to electricity and natural gas-, tending to a reduction in rates during the current 2020 year.

  1. Term of the interventions

The interventions of the ENRE and ENARGAS will remain in force until December 31, 2020.

  1. Powers of the intervenors

The intervenors are entrusted to:

(i) Conduct an audit and a technical, economical and juridical review in order to further assess the current rate structure for transportation and distribution of electricity and gas within the framework of Law No. 27,541, and are in turn enabled to carry out an renegotiation of such rates and/or undertake an extraordinary review, pursuant to Law No. 24,065 and 24,076, as applicable. Should the intervenors detect anomalies in the context of such revision, they shall inform the National Executive, providing all information and corresponding documents, and suggest the actions and measures which may deem necessary.

(ii) Review the public tendering procedures carried out in order to designate the former board members of the ENRE and the ENARGAS and thereafter, initiate a new selection procedure.

  1. Current members of the ENRE and ENARGAS boards discharged

Current board members of such agencies have been discharged by means of the Decrees.

For further information, please contact Nicolás Eliaschev and/or Javier Constanzó.


In the following link, you can access to the publication made by Nicolás Eliaschev regarding certain energy matters of Law No. 27,541.

In the following link, you can access The Firm’s statement on Coronavirus.