Argentina's Buenos Aires Governor Kicillof Flags Cold‑Zone Gas Subsidy Cut, National Government Refutes

Governor Axel Kicillof of Buenos Ayres province visited Tornquist on May 24, 2026, to highlight the pending removal of the “Zona Fría” gas‑price subsidy. He warned that the cut would affect about 1.3 million households – roughly 5 million people in the province – and could raise tariffs by up to 100 percent, worsening family debt.

The national government responded, labeling Kicillof’s statements false and accusing him of political victim‑playing. Official data cited by the Casa Rosada indicate that 657 000 high‑income users (earning over ARS 4.1 million a month) would lose the general subsidy, while 570 391 low‑income users with targeted subsidies would retain full benefits. The government argued that maintaining the previous scheme would create a fiscal hole of 485 billion pesos and force a broader gas tax increase.

Both sides claim the policy change will have significant social impact, with the province emphasizing household hardship and the federal authority stressing fiscal responsibility and the protection of vulnerable consumers.