Porteños are beginning the New Year with an unwanted uptick in transport fares and petrol prices as the impact of President Javier Milei’s economic measures begin to kick in.
On the first day of 2024 a number of increases kicked in. In the Buenos Aires metropolitan area (AMBA), bus fares rose to a minimum of 76.92 pesos and a maximum of 105.45 pesos. Those prices won’t be for long, however – additional hikes are anticipated in the first day of February.
Bus fares to travel in Buenos Aires City and Greater Buenos Aires will be as follows:
– Minimum ride (between zero and three kilometres) will cost 76.92 pesos;
– From three to six km: 85.69 pesos;
– From six to 12 km: 92.28 pesos;
– From 12 to 27 km: 98.89 pesos;
– Over 27 km: 105.45 pesos.
Despite President Milei’s regular vows to normalise prices and slash Argentina’s huge transport subsidies, the national government has confirmed that the current 55-percent discount for beneficiaries of the “social fare” while using SUBE cards will remain in force – the minimum fare will now cost 34.61 pesos.
The new prices were decided after a meeting attended by Infrastructure Minister Guillermo Ferraro, Transport Secretary Franco Mogetta and representatives from the various bus companies who operate the lines that carry millions of people across the AMBA region every day.
Train fares will also be hiked imminently, with increases of 45.32 percent anticipated for fares in the Buenos Aires City and Buenos Aires Province regions.
City Hall will hold a hearing on January 15 to define the next rises in the price of taxi fares. Analysts expect a 50-percent hike for the first three months of the year, given that the last government-approved increase was back in November.
Lastly, Subte underground line fares will increase by 56 percent in early 2024, with the increase staggered in two parts, passing from 80 pesos to 110 pesos in the first days of January, and then to 125 pesos in February.
The hikes are part of the package announced by City Hall last week, which also includes price rises for the VTV vehicle technical check, parking meters and tolls on urban motorways.
Fuel hikes
Following President Javier Milei’s relaxation of government controls on fuel prices, drivers across Argentina are feeling the pinch when filling their tanks.
Petrol prices jumped 27 percent on Wednesday (January 3) – the first increase of many to come in 2024 and the third large hike since the turn of December.
The increase was confirmed by the Cámara de Empresas de Combustibles chamber chief Raúl Castellanos, who said that petrol would now approach the historical value of US$1 a litre.
So-called ‘super’ will now cost an average of 720 pesos with premium lines selling at around 900 pesos per litre.
The increase comes after two sharp hikes last month, including a 30-percent rise on December 8, two days before Milei took office. Private oil firms followed that up with a 37-percent jump soon after.
In 2023, petrol and diesel prices were increased every month except in September but were kept artificially low by heavy state intervention into pricing.
Nevertheless, a litre of ‘super’ started the year at 150.90 pesos per litre and ended the year at 553 pesos – an increase of 266.22 percent. Meanwhile, a litre of premium went from 185.90 to 684 pesos, an increase of 267.74 percent.
– TIMES/PERFIL/NA
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