The province of Río Negro seeks to obtain royalties from oil companies for the crude oil to be transported in the Vaca Muerta Sur pipeline as a condition for granting the permits that would allow the work to be carried out. The governor of the province, Alberto Weretilneck, proposed to the oil companies to charge the equivalent of 1% in royalties on the sale price of the crude oil to be transported by the pipeline.
According to the Econojournal portal, the project in question is framed within the Regime of Incentives for Large Investments (RIGI), which motivates companies to refuse to reach an agreement due to the fiscal stability guaranteed by this regulation, to which Río Negro adhered.
The companies responsible for the Vaca Muerta Sur pipeline are YPF, PAE, Pluspetrol, Vista, and Pampa Energía. The governor aims to collect an amount close to US$60 million annually, equivalent to 1% in royalties. The province intends to negotiate a voluntary agreement in which the oil companies commit to cooperate in case they cannot collect a new tax due to the regulations of the RIGI.
Despite the meetings held in recent days, no agreement has yet been reached on the matter, which also involves the pending authorizations for the construction of the pipeline to take place. The project, with an estimated cost between US$2500 and US$3000 million, will allow the transport of up to 550,000 barrels daily, connecting Neuquén with Punta Colorada, in Río Negro.
Alberto Weretilneck justifies his request by stating that Río Negro provides the port and social license for the project but does not receive benefits from the revenues, while Neuquén collects 12% in royalties and an additional 3% in some projects.
