Ok, I See What You Mean About Subsidies

[Redpossum]

I've been in my apartment for about a month, and just saw the first gas and electric bills. Not that I have to pay them, the landlord does, but they came here. Keep in mind that the previous tenant moved out the day before I moved in, so there was no period of non-occupancy to lower the usage.

23 pesos for gas, and 32 pesos for electricity.

I'm stunned by how low that is. Granted, I'm comparing to California rates, which are among the highest for electricity in the continental USA, but still. When they said subsidy, I was thinking of the 20% discount SDG&E gives to low-income accounts...

Now I see what was meant by the person who said that the subsidies actually encourage waste. My landlady, however, rather sternly cautioned me not to waste electricity because, she said, it's only a certain increment that's subsidized, and once consumption exceeds that increment, the full unsubsidised price is charged for the excess.

Just amazing.

 

[ElQueso]

The usage has always been that way - it used to still be subsidized, but at a higher rate over a certain usage.

Now, imagine you're a poor slob who's been paying these bills at the subsidized rate and staying within the lower level, and all of the sudden they take away the subsidy and you're paying 300-400 pesos for electricity.

I pay about 1200 pesos a month for electricity, and still find it extremely cheap - in Houston in the summer I'd pay as much as $400 a month ten years ago. Don't know what it's like now. Still much cheaper here for those earning in dollars, but a lot of the price increases we're seeing hurt those earning in pesos that much more as the government loses its ability to pay subsidies and the common citizen is left holding the bag.

Subsidies are a bad idea, always.

 

[Hybrid Ambassador]

AR$55.00 for Gas/Electric bill ? At official rate conversion that is less than US$7.00 !

My house Gas/Elect a month in an average of U$300.00 per month ! That is dirt cheap ....

 

[steveinbsas]

AR$55.00 for Gas/Electric bill ? At official rate conversion that is less than US$7.00 !

My house Gas/Elect a month in an average of U$300.00 per month ! That is dirt cheap ....

The low figure undoubtedly reflects the fact that the apartment was not occupied for a "significant" portion of the billing period...or that, like a "real" possum, Red prefers living in the dark.

 

[Redpossum]

The low figure undoubtedly reflects the fact that the apartment was not occupied for a "significant" portion of the billing period...or that, like a "real" possum, Red prefers living in the dark.

Third sentence of my post, "Keep in mind that the previous tenant moved out the day before I moved in, so there was no period of non-occupancy to lower the usage."

 

[steveinbsas]

Third sentence of my post, "Keep in mind that the previous tenant moved out the day before I moved in, so there was no period of non-occupancy to lower the usage."

I stand corrected.

Then you probably weren't able to see if the previous tenant had a pouch.

 

[nlaruccia]

Many people are receiving a zero balance due on their electricity bills because the government is compensating for the power outages last summer. An acquaintances' sister of mine never had a problem with power outages, yet she was given a $700 peso credit on her future electricity bills.

 

[ajoknoblauch]

The low figure undoubtedly reflects the fact that the apartment was not occupied for a "significant" portion of the billing period...or that, like a "real" possum, Red prefers living in the dark.

Ayn's acolytes prefer to live in the dark as well - or at least the Dark Ages.

 

[steveinbsas]

Many people are receiving a zero balance due on their electricity bills because the government is compensating for the power outages last summer. An acquaintances' sister of mine never had a problem with power outages, yet she was given a $700 peso credit on her future electricity bills.

.

This should be good news for Red and anyone in a similar situation (not paying the electric bill themselves). It's good news because when the next bill comes, the landlord won't be able to wave it in their face and tell them they are using too much electricity, a scenario that is easy to visualize.

 

[ARbound]

My roommate and I pay about $30-$40 ARS a month for power. Is that normal?