Resolution No. 165/2023 of the Secretary of Energy: Amendment to Resolution No. 285/2018 of the former Ministry of Energy and Mining

On March 20, 2023, Resolution No. 165/2023 of the Secretary of Energy ("Resolution 165") was published in the Official Gazette. Resolution 165 amends Article 1 of Resolution No. 285/2018 of the former Ministry of Energy and Mining ("Resolution 285") –which in turn had been previously amended by Resolution No. 742/2021 of the Secretariat of Energy ("Resolution 742")–, in connection with the applicable monthly payment cap of penalties foreseen under the power purchase agreements from renewable sources executed under the RenovAr Program Rounds 1, 1. 5, 2 and 3 and Resolution No. 202/2016 (the "PPA").

Initially, Resolution 285 set forth rules to be implemented by Compañía Administradora del Mercado Mayorista Eléctrico S.A. ("CAMMESA") regarding the termination of the PPAs, as well as payment terms for the penalties applicable for non-compliance with commercial operation dates (“COD”) and the supply of the contracted energy.

Accordingly, Article 1 of Resolution 285 established that the amount of the penalties imposed by CAMMESA in connection with the foregoing (the latter is not applicable to projects awarded under the RenovAr Program Round 3), could be offset starting on COD date from monthly payments to be made by CAMMESA to the generator under the PPA for the supplied energy (“Energy Payments”) in: (i) 12 monthly, equal and consecutive installments; or (ii) upon generator's decision, notified to CAMMESA, in up to 48 monthly, equal and consecutive installments, bearing interest at a 1.7% per annum.

Subsequently, Resolution 742 amended Resolution 285, in order to enable the projects that had experienced delays in COD, by adding that monthly payments payable in 48 installments would be limited up to 40% of the monthly gross revenue.

Likewise, if after the installments had been paid, there would be a balance, the same payment terms would be applied until the total payment of the penalties owed under the PPA would be paid. However, under Resolution 742, installments could not exceed the tenor of the PPA.

By means of Resolution 165, generator’s alternative to pay penalties in 12 or 48 installments as foreseen under Resolution 285 is still in force. Nevertheless, Resolution 165 added the following distinction:

  1. The cap for monthly payments of the penalties was reduced to 20% of Energy Payments, and such cap applies until penalties are paid in full. This 20% cap will only be applicable as long as the installments for the payment of the penalties do not exceed the tenor of the PPA.
  2. Provided that the remaining balance exceeds the tenor of the PPA, CAMMESA is authorized to restructure the applicable conditions or to increase the cap from 20% up to40% of the Energy Payments.

 

For additional information, please contact Nicolás Eliaschev, Javier Constanzó, Daiana Perrone and/or Rocío Valdez.

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Adhesion to the Power Availability and Efficiency Improvement Agreement for Combined Cycles

On February 7, 2023, Resolution No. 59/2023 of the National Secretariat of Energy (the "Resolution") was published in the Official Gazette with the purpose of enabling generators owning thermal power plants whose technology is classified as combined cycle (the "CC Generators") to adhere to a Power Availability and Efficiency Improvement Agreement (the "Agreement"). This Agreement will be subscribed with the Compañía Administradora del Mercado Mayorista Eléctrico S.A. ("CAMMESA"), on behalf of Distributors and Large Users of the Wholesale Electricity Market (the "WEM"), to promote necessary investments for major and minor maintenance of the existing generation equipment not committed in power purchase agreement ("PPA"). In this regard, the Agreement will ensure the supply of demand in the medium and long term, guaranteeing lower energy production costs.

The aim of the Resolution is to establish an additional remuneration scheme to the high efficiency thermal generators with energy or power not contracted under a PPA -i.e., those who receive their remuneration under Resolution No. 826/2022 of the Secretariat of Energy (the "Resolution 826")-, that due to their age may require the performance of minor and major maintenance tasks, and bear the costs of the investments associated with such tasks.

Relevant aspects of the Resolution and the Agreement

A. Purpose of the Resolution

As described before, the purpose of the Resolution is to promote the necessary investments for the execution of minor and major maintenance to maintain the reliability and availability of power of the combined cycle equipment not committed under PPA, in order to satisfy the requirements of the electricity demand in the WEM in the medium and long term. For such purpose, the CC Generators shall sign the Agreement attached as Annex to the Resolution.

B.Relevant aspects of the Agreement

The Agreement establishes:

  1. The characteristics of the commitment of the qualified generator, stipulating an availability commitment of no less than 85% of the net power installed;
  2. The units and power committed;
  3. The price of the energy generated (fixed in U$S/MW-months);
  4. The remuneration of the committed power, which will be governed in accordance with Resolution 826, with respect to the units included in the Agreement (fixed in U$S/MW-month), excluding non-fuel costs from the remuneration (cfr. point 5.1 of Annex II of Resolution 826);
  5. CC Generating Agents agree to a 35% reduction on the price for the Guaranteed Capacity Offered DIGO under the terms of Resolution 826, applicable in the months of December, January, February, June, July and August, and 15% on the price for the Guaranteed Capacity Offered DIGO in the months of March, April, May, September, October and November;
  6. The commercial documentation and the payment to be paid by CAMMESA, with the respective applicable exchange rate (Communication "A" 3500 BCRA);
  7. The term, which in accordance with article 2 paragraph c. of the Resolution, may not exceed five (5) years; and
  8. In relation to the machines included and the terms of the Agreement, the CC Generators shall irrevocably, fully and unconditionally waive any administrative claim or judicial proceeding that it has initiated and is in progress against the National Government, the Secretariat of Energy and/or CAMMESA related to the remuneration in force or that it may initiate in the future.

C. Procedure to proceed with the adhesion and signing of the Agreement

Those CC Generators interested in signing the Agreement shall submit to CAMMESA within 90 days from the publication date of the Resolution -term that, if no extension is granted, will be effective on May 7, 2023-, the following information:

  1. The unit/s that will assume the commitment;
  2. Net power of each one of the units and committed availability (which will be 85% of the net power); and
  3. Term of the Agreement for each of the units (which will start from the subscription of the Agreement and may not exceed 5 years).

Finally, the Undersecretary of Electric Energy is authorized to issue the complementary or clarifying rules required for the implementation of the Resolution.

 

For additional information, please contact Nicolás Eliaschev, Javier Constanzó, María Eugenia Muñoz and/or Rocío Valdez.

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Modification of the Procedure for Certification and Authorization of Importation of Batteries

Resolution No. 31/2023, enacted by the Ministry of Environment and Sustainable Development on January 23 (“Resolution 31”), modified the provisions of Resolution No. 443/2020 of the Ministry of Environment and Sustainable Development ("Resolution 443") regarding the procedure for the certification and authorization of importation of cells and batteries.

 

Relevant aspects of Resolution 31

As a reminder, Resolution 443 established the guidelines for the permanent or temporary importation of primary cells and batteries.

In this regard, Resolution 31 replaced Annexes III and V of Resolution 443 by Annexes I and II, respectively, of the new resolution.

The current Annex I and Annex II establishes (a) the procedure for the certification provided for in article 6 of Law No. 26,184 (which obliges those responsible for the manufacture, assembly and importation of cells, to certify for that cells and batteries do comply with the requirements indicated in such law) and (b) the procedure to obtain the authorization to import cells and batteries.

Likewise, Resolution 31 also sets forth that the import authorizations for cells and batteries will be issued by the Secretariat for Environmental Control and Monitoring. Imports regarding devices that may include cells and batteries -whether incorporated to the device or not- will be allowed -exclusively- in case they are included by the Annex to the corresponding Certificate of Conformity, issued by the certifying entity.

In addition, Resolution 31 modifies article 14 of Resolution 443 and establishes the information that certifying entities must issue through the Distance Procedures Platform (“TAD”, for its Spanish acronym, Trámites a Distancia).

Finally, importers who were entitled with authorizations granted under the import procedure established in Annex V of Resolution No. 443 at the time of entry into force of Resolution 31 -scheduled for February 12, 2023-, may voluntarily choose to obtain new authorizations under the new regime.

 

For additional information, please contact Nicolás Eliaschev, Pablo Arrascaeta, María Eugenia Muñoz and/or Rocío Valdez.

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Secretary of Energy Launches Tender for Renewable Energy Projects

The Secretary of Energy has opened a new tender seeking companies to build new power generation facilities totaling 620 MW.

By Resolution No. 36/2023 (“Resolution 36”), issued by the Secretary of Energy on February 2, 2023, the main rules applicable to such tender (“RenMDI”) have been approved.

RenMDI follows Resolution No. 330/2022 of the Secretary of Energy (“Resolution 330”), that called for expressions of interest (“MDI”, for its Spanish acronym, Manifestaciones de Interés) in connection with infrastructure projects that would allow the incorporation of renewable generation and/or energy storage facilities interconnected to medium-voltage transmission and/or distribution facilities. For additional information regarding Resolution 330, please visit this article published on our website.

Under the MDI, according to Resolution 36, 491 proposals were received, totaling 14,400 MW.

Moreover, RenMDI intends to continue increasing the share of renewable energy in Argentina, as mandated by Law No. 26,190 (as amended by Law No. 27,191), and implemented through successive renewable tendering processes.

Below are the key takeaways of Resolution 36.

I. Executive summary

  1. RenMDI calls for interested parties to submit offers in order to enter a PPA with the Wholesale Market Administrator Company (“CAMMESA”), who will act as offtaker on behalf of the Distributors and Large Users of the Wholesale Electricity Market (“WEM”).
  2. Such PPA will have a tenor of 15 years as of commercial operation date (“COD”) and will be hard currency-denominated, payable in pesos at a customary exchange rate.
  3. RenMDI includes two lines: (i) Line 1 of renewable generation to replace forced generation, for biomass, solar photovoltaic, solar photovoltaic with storage and wind with storage (“Line 1”); and (ii) Line 2 of renewable generation to diversify the power matrix, for biogas, landfill biogas, Small Hydroelectric Developments (PAH) and biomass technologies (“Line 2”).
  4. The goal is to contract 500 MW for Line 1 and 120 MW for Line 2, thus totaling 620 MW.
  5. No payment guarantees and/or other type of guarantees from FODER are foreseen (as defined in section V).

II. Deadlines

Bidders may submit any requests for additional information or clarifications until February 24, 2023. In turn, March 1 is the date for CAMMESA to respond to any such requests.

March 15, 2023 is the deadline for bid submissions.

Selection of winners is scheduled for May 24, 2023 and the PPAs are expected to be entered no later than September 20, 2023.

III. Bidding Terms and Conditions - Most relevant Terms

Resolution 36 approves the Request for Proposals as Annex thereto (the “RfQ”), that foresees the terms and conditions to be complied by any bidder under the RenMDI.

Under the RfQ, as said before, two separate lines (please see above) are foreseen, with different technologies foreseen in each case.

Biomass projects submitted and not awarded under Line 1 will be added to the biomass projects submitted exclusively for Line 2.

Finally, bidders must submit, together with their bid, a bidding guarantee in accordance with the terms of the BTC.

IV. Terms of the PPA

The successful bidders will enter into a power purchase agreement with CAMMESA (“PPA”).

The PPA will have a term of 15 years following COD.

The price of the PPA will be fixed in U.S. dollars per Megawatt/hour and seasonality will be remunerated to encourage generation in periods of high demand.

V. Additional Matters – Differences with Prior Tenders

Power generation facilities awarded under the RenMDI will not have dispatch priority with respect to other renewable generation, self-generation or cogeneration facilities operating in the WEM in case of curtailment, except for those cases specifically provided in the RfQ.

Expansions of existing facilities (a) (A) under RenovAr 1, 1.5, 2 and 3, (B) Resolution No. 202/2016 of the former Ministry of Energy and Mining, and Resolutions No. 220/2007, 712/2000 and 108/2011 of the former Secretary of Energy, or (b) that have obtained dispatch priority in the corporate renewable term market, will not be eligible under the RenMDI.

In addition, and unlike other previous tenders, no payment guarantees by the Fund for the Development of Renewable Energies (“FODER”, for its Spanish acronym, Fondo para el Desarrollo de Energías Renovables) is foreseen for RenMDI projects.

 

For additional information, please contact Nicolás Eliaschev, Javier Constanzó, Daiana Perrone, María Eugenia Muñoz, Pablo Arrascaeta, Florencia Martínez, Luciana Tapia Rattaro and/or Rocío Valdez.

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Creation of the National Housing Labeling Program (PRONEV)

Resolution No. 5/2023, enacted by the Secretariat of Energy on 9 January 2023, (the “Resolution”) established the creation of the National Housing Labeling Program (“PRONEV”, for its Spanish acronym, Programa Nacional de Etiquetado de Viviendas) and the National Informatic Application of Housing Labeling (the "Application") (Aplicativo Informático Nacional de Etiquetado de Vivienda).

Relevant aspects of the Resolution

PRONEV goal is to implement an energy efficiency labeling system to classify the housing’s degree of efficiency, upon their global primary energy requirement. The Application, on the other hand, will issue an Energy Efficiency Label (Etiqueta de Eficiencia Energética) showing the technical information of the houses, once such information is loaded.

The Resolution will allow the government to measure the energy requirement of homes and living places throughout the national territory and set a baseline for the development of new programs for improving energy performances and reducing energy consumption in homes.

In this sense, the National Directorate of Electricity Generation of the Undersecretariat of Electricity is empowered to issue all necessary acts for the execution of PRONEV.

Finally, the Resolution invites the Provinces and the City of Buenos Aires to enter into agreements with the federal government to promote the PRONEV and the Application and to provide basic standards to be considered in their local Building Codes.

 

For additional information, please contact Nicolás Eliaschev, Pablo Arrascaeta, María Eugenia Muñoz and/or Rocío Valdez.

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Creation of the Environmental Crime Analysis and Prevention Unit and the Environmental Crime Assessment Board

Resolution No. 19/2023, issued by the Ministry of National Security on 16 January 2023 (the "Resolution"), set up the Environmental Crime Analysis and Prevention Unit (Unidad de Análisis y Prevención de Delitos Ambientales) and the Environmental Crime Assessment Board (Mesa de Evaluación de Delitos Ambientales) aimed at generating mechanisms for the prevention and fight against environmental crimes.

Relevant aspects of the Resolution

A. The Environmental Crime Analysis and Prevention Unit (the “Unit”)

The Unit -created within the scope of the Undersecretariat for Criminal Investigation and Judicial Cooperation-, is entitled to:

  1. assist in the detection and prevention of environmental crimes that may take place within the national territory, whether they affect the flora, fauna, soil, air, water and/or maritime spaces subject to national jurisdiction;
  2. collect and systematize information on environmental crimes committed in the national territory, from both non individualized sources and the Federal Police and Security Forces;
  3. develop indicators and prepare periodic reports as an input for the work of the Board (as such term is defined in section B below) and upon the request of other areas of the Ministry of Security;
  4. prepare a location map to detect "hot zones" and propose measures aimed at preventing environmental crimes;
  5. coordinate the exchange of information between the Federal Police and Security Forces for the generation of early warnings regarding the commission of environmental crimes;
  6. provide technical-administrative support for the operation of the Board and the supporting documentation related to the tasks accomplished in the field related hereto, and manage the appointment of representatives of the Federal Police and Security Forces that participate in the Board; and
  7. Analyze legal cases regarding environmental crimes to improve the procedures followed by the Federal Police and Security Forces.

The Resolution authorizes the Secretary of Security and Criminal Policy to appoint the head of the Unit, who will oversee the Board. Likewise, it provides that the Unit will convene the Board to hold periodic meetings to fulfil its goals.

B. Creation of the Environmental Crime Assessment Board (the “Board”)

The Board -created within the scope of the Undersecretariat for Criminal Investigation and Judicial Cooperation- is meant to detecting and preventing environmental crimes -as well as other close related crimes that concur with the main crime foreseen and punishable by the Penal Code of the Argentine Nation (Código Penal de la Nación Argentina)-, for a comprehensive approach to the investigation.

The Board will be composed of representatives of the Unit, the National Criminal Investigation Directorate, the Federal Crime Investigation Directorate, the National Criminal Intelligence Directorate, the environmental divisions of the Argentine Federal Police, Argentine National Gendarmerie, Naval Prefecture Argentina and Airport Security Police, and all other personnel from federal, national or provincial entities and/or civil society organizations competent in environmental matters.

 

For additional information, please contact Nicolás Eliaschev, Pablo Arrascaeta, María Eugenia Muñoz and/or Rocío Valdez.

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Lithium export reimbursement has been finalized

On January 16, 2023, Resolution No. 15/2023 (the "Resolution") was published in the Official Gazette whereby the Federal Ministry of Economy (the "Ministry") proceeded to waive the export reimbursement of the goods classified as lithium, hydroxide and lithium oxide, lithium chloride, and lithium carbonate.

The Resolution orders the secretaries of the Ministry to design the required administrative measure to waive the export reimbursement. Specifically, the Resolution impacts the following tariff positions: 19.90; 2825.20.10; 2825.20.20; 2827.39.60, and 2836.91.00 of the Mercosur Customs Tariff Code (N.C.M).

The Resolution will become effective on January 16, 2023.

Background information

As a reason for the issuance of the Resolution, the Ministry established that the lithium sector has registered exponential growth, both in terms of mineral prices -driven by a great global demand- and in the progress of the numerous projects that are located in the country.

Consequently, it considered that "taking into account the electro-mobility that caused a change in the market and that the international scenario had an abrupt growth in the demand for lithium that produced an exponential increase in the price and also in the profitability of the projects, it is understood that a stimulus such as the reimbursement has fulfilled the objectives for which it was opportunely established".

Before the enactment of the Resolution, the sector's companies received export refunds from the Federal Government ranging from 2.5% to 5% of sales. Meanwhile, the export duty of 4.5% for lithium compounds is maintained.

Data from the Federal Mining Secretariat ("FMS") regarding lithium

According to the FMS, Argentina has a lithium mining investment potential of approximately US$ 6,473 million. From 2020 to the second quarter of 2022, capital investment announcements for an approximate amount of USD 4,579 million have been registered. Current production is approximately 33,000 tons per year.

Regarding lithium export data, the latest Monthly Report (December 2022) of the FMS, states that "in the first 11 months of 2022 lithium sales abroad reached USD 620 million, growing 235% year-on-year and representing 18% of total mining exports. This export figure in historical terms represents this year's number one position for the first 11 months of a year, being 139% above the accumulated of the first 11 months of 2018 (the second historical year with the highest exported amounts). As for the quantities exported of lithium, in the accumulated so far this year they exhibited a growth of 4.5%."

 

For further information or questions on these issues, please contact Marcos Moreno Hueyo and/or Dolores Reyes.

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Regulation of Distributed Generation Law of the Province of Buenos Aires

On January 11, 2022, Decree No. 2371/2022, complementary of Law No. 15,325 of the Province of Buenos Aires (the “Decree”), was published in the Official Gazette of the Province of Buenos Aires. Following the publication of the Decree, User-Generators of the Province of Buenos Aires, authorized to generate energy from renewable sources for self-consumption, may register in the Registry of Users-Generators of Renewable Energy of the Province of Buenos Aires (the “RUGER”, for its Spanish acronym, Registro de Usuarios-Generadores de Energía Renovable de la provincia de Buenos Aires) and benefit from tax exemptions related to Stamp Tax and Gross Income of such Province.

I. Legal Background

Law No. 27,424, passed by the National Congress on November 30, 2017, approved the federal regime that promotes distributed generation of renewable energy integrated into the public electricity grid (for additional information on Law No. 27,424, please see https://www.trsym.com/renewable-energy-regulation-of-distributed-generation-law-no-27424/?lang=en). Article 40 invites the provinces and the City of Buenos Aires to adhere to such law and pass any specific regulation.

Within such framework, Law No. 15,325, passed by the Congress of the Province of Buenos Aires on April 21, 2022, adhered to Law No. 27,424.

Law No. 15,325 declares of provincial interest distributed generation renewable energy generation, for self-consumption and eventual injection of energy surplus into the provincial grid.

Furthermore, by Law No. 15,325, the Province of Buenos Aires adheres to the promotional, tax, fiscal and financing benefits scheme set forth by Law No. 27,424.

II. Relevant aspects of the Decree

The most relevant aspects of the Decree are described below:

a. Enforcement authority

The Decree designates the Ministry of Infrastructure and Public Services (or any legal successor thereto) as the enforcement authority of Law No. 15,325. The enforcement authority will determine the technical, legal, economic, contractual, rate terms, and all other necessary matters that are necessary to allow the application of the distributed energy generation scheme in the Province of Buenos Aires.

Likewise, the enforcement authority is entrusted to enter into agreements with the Bank of the Province of Buenos Aires (Banco de la Provincia de Buenos Aires) to offer special promotional credit lines.

b. Definition of User-Generator

“User-Generator” is defined as the user of the public electricity distribution service of provincial or municipal distributors that installs renewable generation equipment for self-use, that may inject any surplus thereof to the grid, and meets the technical requirements determined by the enforcement authority. Large Users or self-generators of the Wholesale Electricity Market (WEM) are not included, as they are ruled by Law No. 27,424.

c. Creation of RUGER and issuance of a tax exemption certificate

The Decree creates the RUGER. The RUGER will be implemented for the registration of User-Generators, as determined by the enforcement authority, through the organization of a data base that enables access to the provincial tax exemptions established by Law No. 15,325 and special credit lines, as well as any other benefit or tax incentive that may be foreseen in the future.

For the purposes of processing the provincial tax exemptions set forth in article 4 of Law No. 15,325, the RUGER will issue a User-Generator certificate. In addition, the RUGER will notify ARBA of any certificate that is issued and receives from User-Generators, under the concession area of federal jurisdiction. Such certificate must contain surname and name, or company name, tax id (CUIT), NIS, address, code of the activity included in that benefit (according to the corresponding Nomenclator of Activities of the Tax on Gross Income, of NAIIB 18 approved by ARBA) or their equivalents codes under the Nomenclator of Economic Activities of the Federal Collection System (NAES) of the Arbitration Commission of the Multilateral Agreement (Comisión Arbitral del Convenio Multilateral), details of the respective exemption and term for which it is granted.

d. Taxes for which the exemption is granted and term

User-Generators registered under the RUGER are exempted from the following taxes for a period of twelve (12) years:

  1. Stamp tax: only applies to the power purchase agreements entered into by the distributor and the User-Generator, as long as the latter is registered in the RUGER, and such inscription is detailed in that agreement; and
  2. Tax on Gross Income: with respect to the injection of surplus renewable energy into the distribution network by the User-Generator.

 

For additional information, please contact Nicolás Eliaschev, Javier Constanzó and/or Rocío Valdez.

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We're a certified Great Place to Work® in Argentina!

Our Firm is a great place to work!

We are delighted to announce that our Firm received the Great Place to Work® certification in recognition of the quality of our organizational culture.

This recognition makes us extremely proud, not only because of what it says about us, but also because it is the direct result of our team's feedback, which highlighted values such as integrity, communication, community, hospitality and competence.

Our constant effort to focus on people, on their development and on caring for the work environment, was key to obtaining this distinction.

Being aware of our achievements is very important to continue growing, and sharing them is the best way to celebrate them together!

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Creation of the Federal Registry of Mining Suppliers and the Federal Committee of Mining Suppliers

Resolution 84/2022, published on 11/28/22 in the Official Gazette, creates the Federal Registry of Mining Suppliers, with a public status within the Secretariat, and the Federal Mining Suppliers Committee, in order to promote the development and growth of the mining activity, in view of the need to establish tools aimed at benefiting suppliers of mining supplies and services (the "Resolution").

I. The Federal Registry of Mining Suppliers (the "Registry")

Benefits of the Registry

The FSM expects that the implementation of the Registry will accelerate the contracting process of suppliers, promote the increase of human capital, and encourage work, making possible the continuous development of the sector and productive diversification.

Through the Registry, mining companies operating or with the prospect of investing in the country will have an instrument that will make it possible to make visible the suppliers of goods, supplies, and services of the Argentine provinces.

Who can register?

In the Registry the eligible parties will be able to register:

  1. persons domiciled in Argentina, and
  2. legal entities incorporated in Argentina that, due to their activity, or corporate purpose, offer goods, inputs, or services, including those of technological innovation and knowledge economy, to companies that carry out mining activities, and/or to any company that carries out activities associated to the Mining Value Chain.

In order to register, the interested party must:

  1. Complete the form -related to the data of the interested party- set forth in Annex I of the Resolution:
    1. Name & Identification: Name or Company Name, CUIT N° /Document.
    2. Contact data: Address / Telephone / E-mail / Focal point data.
    3. Business line: services and products offered
    4. Chamber you are a member of
    5. Optionally, the tariff position of the products.
  2. Submit the following information:
    1. Proof of registration with AFIP
    2. List of the personnel payroll
    3. Proof of registration in the local chamber of suppliers.

Enforcement Authority

The Resolution establishes that it is the National Directorate of Mining Value Chain and Infrastructure (the "National Directorate") under the Undersecretariat of Mining Policy. The National Directorate will have the following functions:

  1. Registration of suppliers of goods, inputs, or services, including those of technological innovation and knowledge economy, of the mining activity.
  2. Creation of files with the background of each of the registered suppliers.
  3. Periodic updating of the background of the registered suppliers' files.
  4. Preparation of statistics based on the data collected.
  5. Promotion and granting of benefits to registered suppliers.

Likewise, the National Directorate shall be empowered to issue the complementary and clarifying rules that may be necessary for the implementation of the Federal Registry of Mining Suppliers. Meanwhile, the Undersecretariat of Mining Policy is empowered to sign agreements with provincial authorities and the heads of national and provincial chambers related to the mining activity, for the exchange of experiences, data, and information. It is also empowered to summon all those public and private actors it deems necessary and convenient due to the nature of the technical issues to be dealt with in the Federal Mining Suppliers Committee.

II. The Federal Mining Suppliers Committee

Furthermore, the Resolution creates the Federal Bureau of Mining Suppliers. It will be attended by those registered in the Registry, representatives of the Secretariat, national and provincial agencies, and national and provincial Chambers related to the mining activity.  The purpose of the Federal Mining Suppliers Committee is to establish a permanent, participative, broad, and federal space for dialogue and exchange among different actors in the mining activity. The meetings of the Board will be held four (4) times a year.

III. Legal Background

The Resolution has as precursor Resolution No. 47/2020, which approved 18 Management Programs 2020/2023 formulated on the basis of the strategic objectives of the "Strategic Plan for the Argentine Mining Development", among which are: Spontaneous Assistance to Producers and Small and Medium Mining Companies (SMEs); and Strengthening of the Mining Value Chain.

The Strategic Plan for the Argentine Mining Development is aimed at building a Shared Vision for mining in the next 30 years, with the aim of consolidating the mining activity as part of the federal productive development based on the criteria of rational, sustainable, and inclusive use of natural resources.

 

For further information or questions on these issues, please contact: Marcos Moreno Hueyo and/or Dolores Reyes.

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