On June 2, 2025, the Ministry of Economy published Resolution 715/2025 (the “Resolution 715”) which defines the execution of certain expansions of the power transmission system as a priority and indicates that such expansions shall be carried out under the terms of the Public Works Concession Law No. 17,520, a legal framework recently amended by the Foundations Law (Ley Bases) with a strong emphasis on bankability, as described here.
This measure is framed within Decree 55/2023 (as extended by Decree 1023/2024), which declared the emergency of the national energy sector (see our comments on these regulations here and here), and takes into account the high risk of electricity shortages and transmission limitations in Argentina’s federal network.
Resolution 715 establishes that the Secretary of Energy (“SE”) shall approve regulations to include public works concessions within the alternatives for transmission system expansions. Such regulations shall include, among others, that the contractor may finance the expansions by means of a monthly payment to be funded by a rate collected from end-users of the service identified as beneficiaries, as well as that the operation and maintenance of the expansion shall be done by the concessionaire, acting as an Independent Transmission Carrier.
As a result, public works concessions will become a new mechanism for carrying out expansions of the transmission system through private investment and financing. This is a significant measure aimed not only to address the current situation of the system, but also to enable and remove barriers to other industries and projects that are currently limited by the lack of transmission capacity.
***
For additional information, please contact: Nicolás Eliaschev, Javier Constanzó, Daiana Perrone, Milagros Piñeiro, Macarena Becerra, María Paz Albar Díaz, Rocío Valdez, Victoria Barrueco, Sol Villegas Leiva, and/or Manuel Crespi.