The Chilean government sent a bill to Congress on Monday that doubles the resources of a fund that stabilizes fuel prices to 1.5 billion dollars, after an increase of nearly 20% in international value of oil since the Russian invasion of Ukraine began.
The government submitted the project to the Chamber of Deputies with the indication of immediate discussion to speed up its review, informed the Minister of Finance, Mario Marcel.
“The resources that were available according to the legislation have been running out and if these resources are not expanded, fuel prices would have to rise significantly in the coming weeks,” Marcel told reporters.
“This is going to allow this stabilization mechanism to continue operating throughout the rest of the year and for any additional time that is necessary, depending on what actually happens with fuel prices,” he added. The Fuel Price Stabilization Mechanism (Mepco) limits weekly price increases according to movements in international fuel prices, explained the minister. Chile is a net importer of oil.
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