ANNOUNCEMENT 31 Oct 2018

The government of Uruguay has approved a 15% discount on electricity tariffs charged for irrigation and processing.

NUMBER OF INTERVENTIONS

2

  • 2 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Ministry of Livestock, Agriculture and Fishing. Ministerio de Ganadería, Agricultura y Pesca. Sala de prensa. "Gobierno renovó descuentos en tarifas de electricidad para sectores productivos" de 31 de octubre de 2018. Available at: http://www.mgap.gub.uy/noticia/unidad-organizativa/direccion-general-de-secretaria/31-10-2018/gobierno-renovo-descuentos-en

Inception date: 31 Oct 2018 | Removal date: open ended

Production subsidy

On 31 October 2018, the Executive of Uruguay has approved several discounts on the amount to be paid for electricity consumption related to manufacturing and irrigation for industries, as well as rice and dairy producers.

The electricity subsidy is to be distributed as it follows:

  • 15% discount for industrial rice producers applicable to the electricity consumed between March-May 2018;
  • 15% discount for electric consumption consumed between January and May 2018 that is related to irrigation for productive purposes;
  • Up to 27% discount for companies where the annual energy costs represent at least 5% of the production gross value;
  • Up to 20% discount for the first year and up to 25% discount for the second year for companies where the annual energy costs represent at least 2% of the production gross value and it is subject to the maintenance or increase of the production;
  • for milk producers, the discount applies for electricity consumption between November 2017-May 2018, calculated as it follows: for contracted power of up to 15 kW the applicable discount is 80% for the first 500 kW/hour and 15% discount for producers with higher contracted power.

AFFECTED PRODUCTS