A widely shared post on X (formerly Twitter) from an account called AF Post claimed “Milei Government increases electricity and gas tariffs on middle and low income households by more than 100%.”
Milei Government increases electricity and gas tariffs on middle and low income households by more than 100%.
Follow: @AFpost pic.twitter.com/PjPenIy72x
— AF Post (@AFpost) June 6, 2024
The specific claim that “Tariffs were raised” is False. This likely comes from confusion between the varying definitions of a Tariff.
The statement made by AF Post and their use of tariff reads as if this were a tax being raised on Energy (specifically in sense of being a tax on goods that is originating from a foreign nation). Many who have interacted with the post have done so under this incorrect belief.
In regards to Energy specifically, a tariff is a rule or set of rules that govern Energy rates. In this definition of tariff, there are varying ways rates are charged depending on if you are a residence or a business (and even depending on how large of a business you are). Some rules amongst utilities may even charge different rates based on tiers of usage, or even time of day (peak hours). These rules on what rate to charge under which circumstance is called a tariff.
The article in Spanish shared by the AF Post from Argentinian news source TN was also using the Energy definition of a tariff.
What Javier Milei did was remove a subsidy that had been artificially lowering the energy rate for Argentinians who will now be paying the market rate. This was not an increase in the rate, or an “increase in the tariff (tax)” but rather a change in the tariff (rule) that eliminated the subsidy.
Eliminating subsidies is a popular position amongst libertarians.
