In recent weeks, Guatemala has registered a increase in fuel prices derived from the conflict in the Middle East. Faced with this situation, some banks have presented initiatives to support consumers.
This Wednesday, July 29, the Raíces Bank presented the proposed Law to support the people of Guatemala in the face of the rise in fuel prices.
Individual final fuel consumers would be beneficiaries, in accordance with the conditions proposed by the initiative.
Legal entities with commercial activity that consume fuel could also benefit, in accordance with the conditions established by law, as well as legal entities whose commercial activity is related to the transportation of people, merchandise and other goods.
The proposal contemplates that the economic support for final fuel consumers will last three months from the entry into force of the law, if it were approved. Financial support may be terminated early in the event that the budgetary availability allocated for that purpose is exhausted.
It may also be terminated or suspended in the event that the Ministry of Energy and Mines determines a substantial and sustained drop in final fuel prices.
According to the proposal, the amount of financial support for consumers of regular gasoline, premium gasoline and diesel It would be Q10 for each gallon consumed.
The conditions for individual people would be the following:
- Be the owner or user of a two-wheeled vehicle with a cylinder capacity of no more than 125 cubic centimeters.
- Be the owner or user of a four-wheeled vehicle with a cylinder capacity of no more than two thousand cubic centimeters and a maximum of four cylinders.
- Possess valid license plates under the classification series M (motorcycles) or P (individuals).
- Register a maximum of one vehicle per owner or user in the database of beneficiaries of economic support for fuels.
The benefit would apply to a maximum of 40 gallons per month per vehicle owner or user.
In the case of legal entities with commercial activity, financial support would also be subject to conditions. Among them, being owners of a vehicle registered in the name of the entity, being solvent in paying taxes before the Superintendency of Tax Administration (SAT), having vehicles registered under the M, C or A license plate series and registering a maximum of 10 vehicles per owner in the beneficiary database.
What would be the procedure?
According to the proposal, to accredit financial support, the electronic registry of beneficiaries must enable for each user an electronic form and a computer module in which the Tax Identification Number (NIT) and online electronic invoices (FEL) are reflected.
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Applications for accreditation of financial support must be made monthly. The beneficiary must submit the request within the first five days of each month to the registered account.
The benefit must be credited within the following five days, in accordance with the form and databases. The regulations will develop the procedure, requirements, powers and responsibilities of the bodies involved.
What does the Cabal Bench propose?
The Cabal Bank’s proposal is called the Law of Direct Support for Fuel Consumers.
It proposes the creation of a registration platform that the Ministry of Energy and Mines will enable free of charge, with public access and available 24 hours a day. In it, the interested party must enter their data.
The applicant must enter the Personal Identification Document (DPI) number, the Tax Identification Number (NIT), the driver’s license number and its class (A, B, C or M).
You must also provide an active cell phone number, in the name of the applicant or under sworn declaration of ownership, for notification and payment purposes, as well as the license plate number of the registered vehicle.
The benefit would be that The State would reimburse the beneficiary Q12 for each gallon of diesel invoiced and Q7 for each gallon regular gasoline or higher.
The refund would be subject to maximum monthly fuel consumption limits, depending on the type of license.
Gallons that exceed the monthly limit would not generate the right to a refund nor would they be transferable to the following month. The limit would be the same per beneficiary, regardless of the number of vehicles, the type of fuel or the number of invoices presented, according to the proposal.
To obtain the refund, the beneficiary must register the corresponding online electronic invoice on the platform, which will be automatically verified.
The refund would be credited, at the beneficiary’s choice, by transfer to an electronic wallet associated with their cell phone number or by mobile payment to the same number, within a maximum period of seven calendar days from the confirmation of the token.
The proposal does not authorize payments in cash, in kind or through an intermediary.
The program would be executed for a maximum period of four months, although it could end early if the budget allocated for that purpose is exhausted.
According to the proposal, the program would be suspended when the national average sales price to the final consumer per gallon of diesel, regular gasoline and premium gasoline, published weekly by the Ministry of Energy and Mines, remains below Q34 for two continuous weeks.
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