Argentinian government demands revision of AA2000 airports contract

ARGENTINA. As it hinted previously, Argentina’s government has gone ahead and suspended the contract the previous administration signed with Aeropuertos Argentina 2000 (AA2000) to manage the country’s 33 airports.

The AA2000 concession was renewed by former President Eduardo Duhalde on 20 May, just five days before new leader Kirchner took office. President Kirchner yesterday signed a decree that suspends that regulation.

Duhalde had also allowed Aeropuertos Argentina 2000 not to move operations from Buenos Aires’ Jorge Newbery Aeroparque to Ezeiza International airport, a condition of the original concession contract. Kirchner’s decree suspends the effects of these “special” conditions, but upholds the original concession terms.

The move is also seen as a sign of the government’s aggressive approach to the renegotiation of Argentina’s 61 public service contracts, under the new public services law. Last month, Argentina’s auditor general issued a report concluding that Aeropuertos Argentina owed the state US$351 million.

Cabinet Chief Alberto Fernandez said the AA2000 contract would now enter into a period of revision, along with 61 other public service companies, under a new law that foresees the renegotiation of their contracts by the end of next year.

“We are not talking about cancellation” of the contract, commented Fernandez.

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