The Executive Branch, through the draft that modifies Law 80-23, December 2023, which approves the General State Budget for the 2024 budget year, explains that the increase in oil prices at the international level has impacted the deficit of the electricity sector above what was foreseen in the current budget in the Dominican Republic.
In response to that, in the reformulated budget An increase in the subsidy granted to the Electricity Distribution Companies (EDEs), of 6,000.0 million pesos.
In the current budget, the authorities project 86,393.0 million pesos to be allocated to support the operations of distribution companies electricity (EDE). The final prices of the electric power In the country they depend a lot on the behavior of fuels.
A report from the Ministry of EconomyPlanning and Development (Mepyd) shows that, between January and May 2024, around 36.5 billion pesos were accrued in transfers to the electricity sectorOf the total amount, the document indicates, 7 billion pesos were executed in May alone.
Instead, between January and June 2023, the government had 64,056.5 million pesos available for counteract the effects of inflation. At that time, the transfers to the electricity sector amounted to 35,979.5 million pesos, representing 56.2% of the total. That year ended with transfers of 84,761.2 million pesos.
Draft law
The draft law that the Executive Branch submitted to the National Congress contemplates a new revenue estimate of the central government for the 2024 budget year, for an amount of 1,222,734,406,859 pesos. However, new expenditures in the same period amount to 1,567,714,618,977 pesos.
With this new scenario, the deficit financial The projected budget is 231,312,112,514 pesos. That is, the total income amounts to 1,222,734,406,859 pesos and the total expenses are 1,454,046,519,373 pesos.
The details of the expenditures indicate that, if the new expenses are estimated at 1,454,046,519,373 pesos, the financial applications They are 113,668,099,604 pesos, which totals 1,567,714,618,977 pesos.
In the bill, already approved by the Senate of the Republic, the Executive Branch is authorized to increase the budget appropriations for expenses by an amount of 35,360,004,423 pesos to be allocated to 11 State institutions, headed by: Presidency of the Republicthe Central Electoral Board and the Ministries of Defense, Finance, Public Health, Labor, Industry, Commerce and MSMEs (MICM) and the Interior and Police.
Also to Ministry of EconomyPlanning and Development and the Ministry of Housing, Habitat and Buildings.
