Argentina to Privatize Electricity Transmission Company

The Argentine Government under President Javier Milei has commenced the process of privatizing its state-owned electricity transmission company Energía Argentina (ENARSA) in a bid to improve service, promote competition, and guarantee real and sustainable prices.

Energía Argentina (ENARSA) handles the country’s natural gas imports, trades gas, and has interests in oil production and the power sector. Its privatization is part of a wider push by the right-wing Javier Milei administration to sell off state assets, including many in the energy sector, to reduce public spending and boost energy supplies.

About the Privatisation Process

The privatisation will be carried out through the separation of the activities and assets of each of its business units, starting with the sale of 100% of ENARSA’s shares in CITELEC S (Transener’s controlling company), responsible for electricity transmission throughout the country, through a national and international public tender.

Speaking on the privatisation, the government in a statement said “The private sector can not only do it better, but it is also the natural engine of investment, employment and innovation.

“With the sale, the government will focus instead on regulating the energy sector.” The statement concluded.

About ENARSA

Energía Argentina (ENARSA) was originally established in 2004 to manage natural gas imports from Bolivia and liquefied natural gas (LNG) before it gradually expanded its operations to include electricity generation, transmission, and oil exploitation.

The company was mainly owned by the Argentinean state (97.94%), with the remaining shares being owned by local provinces (0.32%), and Nucleoélectrica Argentina (0.01%).

 

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