Power Generation, Transmission and Distribution 2025

ARGENTINA Law and Practice Contributed by: Héctor Pozo Gowland, Esteban de Vedia, Carlos Ernesto Miná and Francisco Pozo Gowland, Pozo Gowland Abogados

purchase terms, duration, access rights and compensation. • Land lease or purchase agreement – Once the parties have reached an agreement, a formal land lease or purchase agreement is executed, documenting the rights and obliga- tions of both parties. The agreement outlines the terms of access, land use and compensa- tion. • Compensation – The compensation required for obtaining the rights to the surface of land is typically negotiated between the propo- nent and the landowner. The compensation can take various forms, including one-time payment, annual lease payments, or other agreed-upon arrangements. The compensa- tion is intended to provide fair and reasonable remuneration to the landowner for the use of their land. • Determination of compensation – The quan- tum of compensation is determined through negotiations between the proponent and the landowner. It is influenced by factors such as the size and location of the land, its current use, market value, and the expected impact of the generation facility on the land’s value and use. Valuation experts may be involved in assessing the fair market value of the land and assisting in the determination of compen- sation. 3.5 Decommissioning a Generation Facility In Argentina, the requirements for decommis- sioning a generation facility vary depending on the specific circumstances, the type of facility and the applicable regulations. However, there are general obligations and considerations regarding the decommissioning of generation facilities.

The decommissioning of a generation facility typically involves the safe and environmentally sound removal or retirement of the infrastructure and equipment associated with the facility. The specific requirements may include the following: • Compliance with environmental regulations – The decommissioning process must comply with applicable environmental regulations and standards. This may involve conducting environmental assessments, obtaining neces- sary permits, and implementing proper waste management and remediation measures. • Restoration of the site – After decommission- ing, there is often a requirement to restore the site to its original or agreed-upon condition. This may involve remediation of any environ- mental impacts and addressing any potential risks associated with the site. 4. Transmission Lines and Associated Facilities 4.1 Constructing and Operating Transmission Lines and Associated Facilities The principal laws, known as the Regulatory Framework, are referred to in 1.1 Law Govern- ing the Structure and Ownership of the Power Industry . In addition, environmental matters are regulated by the General Environmental Law No 25,675 and several other specific national and provincial laws, as well as administrative regula- tions. ENRE has issued specific regulations that estab- lish environmental criteria related to the public service of electric power transmission. The cur- rent requirements were determined by ENRE through Resolution 558/2022, which establishes the minimum requirements that electric power

23

CHAMBERS.COM

Powered by