Inteligencia y Seguridad Frente Externo En Profundidad Economia y Finanzas Transparencia
  En Parrilla Medio Ambiente Sociedad High Tech Contacto
Economia y Finanzas  
 
14/07/2007 | Kirchner grapples with Argentina's energy woes

Cesar Illiano and Lucas Bergman

President Nestor Kirchner is struggling to keep an energy crisis from affecting ordinary Argentines, wary of angering voters ahead of October elections when his wife will run for the presidency.

 

Argentina has grappled with tight energy supplies since the economy roared back to life after a 2001-2002 economic crisis and unleashed increased demand for natural gas and electricity.  

Government price controls have dampened investment and freezing temperatures -- including the first snowfall in Buenos Aires in almost 80 years on Monday -- are straining already thin supplies.  

On Wednesday, taxi drivers formed long lines at gas stations amid shortages of compressed natural gas for cars, a popular alternative to gasoline.  

Some schools closed on concerns about unheated classrooms due to a lack of natural gas -- a key energy source for homes and industry, and callers complained on morning radio talk shows of power cuts in some parts of the country.  

Under government orders to reduce their energy consumption, many office buildings and businesses have responded by shutting off lights and some elevators.   Analysts have warned about potential energy woes for months, and Kirchner, with an eye on the presidential election, has responded by restricting supplies to thousands of businesses to ensure energy flows continue uninterrupted to homes.  

"The government is betting on programmed cuts to businesses and better weather ahead to avoid having to make cuts to homes and affecting the electoral mood," Allaria Ledesma and Company, a Buenos Aires brokerage, said in a report.  

Opposition leaders, economists and analysts say Kirchner, a center-left politician who has frequently challenged the business sector, has failed to pull together a comprehensive plan to deal with the shortages.  

Kirchner has said he will not seek re-election and his wife, Cristina Fernandez de Kirchner, a senator, will run in his place on Oct. 28.  

The political impact of the energy crunch remains unclear, but any negative fallout is likely to affect his wife's candidacy.  

GROWING FRUSTRATION  

Several opposition presidential candidates have latched on to the issue, saying the price controls should be abandoned to avoid any risk of slowing economic growth. The Argentine economy has grown more than 8 percent in each of the last four years.  

Kirchner has dismissed suggestions he raise prices to alleviate the situation, saying electrical companies failed to invest in infrastructure before Argentina's economic crisis.   Residential electricity and natural gas prices have been largely frozen for the past five years, meaning Argentines pay some of the world's lowest prices for energy.  

A natural gas producer, Argentina has scaled back exports to neighboring Chile and increased fuel imports from Venezuela and power imports from Brazil.  

Some Argentines appear to be growing frustrated.   "Instead of investing to improve the situation, they've invested in other things. This just didn't happen today. Now this is affecting our work. We can't work," said one taxi driver, who asked not to be named.

Reuters (Estados Unidos)

 


Otras Notas Relacionadas... ( Records 1 to 10 of 5721 )
fecha titulo
11/11/2022 The Ultimate Unmasking of Henry Kissinger: Ambassador Robert C. Hilland the Rewriting of History on U.S. involvement in Vietnam and Argentina’s “Dirty War”
10/11/2022 Un infierno astral se cierne sobre el Gobierno
24/04/2020 Argentina- Informe de Coyuntura semanal (versin corta) al 21 de abril sobre la situacin poltica y econmica argentina
20/04/2020 Argentina- Inflacin y emisin: qu pasar despus de la cuarentena?
14/04/2020 Coronavirus en la Argentina. Alberto Fernndez lleva al kirchnerismo a su lado ms oscuro
09/04/2020 Argentina - Coronavirus: No hay Estado presente para salvar a la economa?
06/04/2020 Argentina - Una guerra de todos?
06/04/2020 El nuevo mundo de los corona-zombies
25/03/2020 Agentina - Informe de Coyuntura semanal (versin corta) al 24 de marzo sobre la situacin poltica y econmica argentina
22/09/2018 Sin dudas, la Argentina necesita volver a tener moneda


 
Center for the Study of the Presidency
Freedom House