18/06/2026 03:40 - Politica
Vista aérea de una planta de tratamiento de agua moderna con grandes tanques azules y tuberías, rodeada de vegetación, representando infraestructura de servicios públicos
The Justice of Buenos Aires Province has granted a precautionary measure suspending the privatization of Agua y Saneamientos Argentinos S.A. (AYSA), the largest water and sanitation company in Argentina. Judge Mariano López of the Contentious Administrative Court No. 2 of La Plata elevated his decision to the Federal Chamber, arguing that the privatization plan lacks essential guarantees for adequate water access.
The judicial decision is based on findings that the sale process fails to consider basic elements guaranteeing water access and ignores the existence of environmental liabilities in Buenos Aires territory. According to Judge López, the privatization "tends to reduce regulatory requirements and postpone critical infrastructure works."
AYSA (Agua y Saneamientos Argentinos) is Argentina's largest water utility, serving approximately 10 million residents in the Buenos Aires metropolitan area. It provides essential drinking water and sewage services.
Guido Lorenzino serves as the Defensor del Pueblo bonaerense (Buenos Aires Ombudsman), an independent public defender responsible for protecting citizens' rights and investigating complaints against government actions.
The Ombudsman argued that privatization jeopardizes environmental standards, investments, maintenance, expansion, sanitation, environmental remediation, and continuity of this essential public service.
The history of Argentina's water service traces back to 1912, with the creation of Obras Sanitarias de la Nación. During the administration of President Carlos Menem (1989-1999), known for his extensive neoliberal reforms and privatizations, the service was concessioned to the French company Suez-Lyonnaise des Eaux, operating as Aguas Argentinas.
In 2006, under President Néstor Kirchner (2003-2007), the Argentine state regained control after numerous contract disputes related to the private operator's performance failures.
| Period | Indicator | Change |
|---|---|---|
| 1993-2002 | Residential rate increase | 88.2% |
| 1993-2002 | Cumulative retail inflation | 7.3% |
Data from that period reveals that although the original contract limited rate increases during the first ten years, the concessionaire obtained successive tariff adjustments that enabled high profitability levels. A report by FLACSO (Latin American Faculty of Social Sciences) documented that during private management, there were contract modifications, indexation clauses, and repeated failures in investment and service expansion commitments.
The precautionary measure issued by Judge López temporarily suspends the privatization process while the substantive matter is resolved. The judge referred his decision to the Federal Chamber of La Plata, indicating the case may continue through the judicial system. This ruling adds to other obstacles the national government has faced in its reform agenda.
The decision represents a significant victory for environmental protection advocates and those who view water access as a fundamental human right rather than a commodity for private profit.
Source: El Destape Web, Ámbito - June 17, 2026
Alfredo S. Quiroga
