Division of the Agency for Regulation and Control of Energy and Non-Renewable Natural Resources

By Presidential Decree No. 256 dated on May 8, 2024, the Agency for Regulation and Control of Energy and Non-Renewable Natural Resources (“ARCERNNR”) was ordered to be split into three new agencies:

1. Mining Regulation and Control Agency (“ARCOM”).
2. Electricity Regulation and Control Agency (“ARCONEL”).
3. Hydrocarbons Regulation and Control Agency (“ARCH”).

ARCOM, ARCONEL, and ARCH will be attached to the Ministry of Energy and Mines and will regulate and control the mining, electricity, and hydrocarbon sectors, respectively.

The attributions, functions, programs, projects, and delegations established in laws, regulations, decrees, and other applicable regulations that corresponded to ARCERNNR will be assumed by ARCOM, ARCONEL, and ARCH, according to their respective sectors.

Each agency will have a board of directors consisting of: (i) the minister in charge of the sector or their permanent delegate, who will preside over it; (ii) a permanent delegate of the President of the Republic; and (iii) the national planning secretary or their permanent delegate (the “Board”).

The Board will appoint the executive director of each agency, who will exercise its legal, judicial, and extrajudicial representation.

The rights and obligations acquired by ARCERNNR will be transferred to the new agencies according to their respective sectors. In the case of contractual obligations, if it is not possible to identify the specific sector, they will be transferred to ARCONEL.

The split of ARCERNNR must be completed by August 8, 2024.