Pro and LLA approved VTV deregulation in the City and the Buenos Aires 'hojarasca' law

Buenos Aires's City Legislature has approved a measure to deregulate the Vehicle Technical Inspection (VTV) service, opening the door for private workshops to conduct verifications. This initiative, presented by La Libertad Avanza (LLA) and backed by Governor Jorge Macri, aligns with national deregulation proposals championed by Minister Federico Sturzenegger.

The new framework aims to broaden inspection options, extend review periods for private vehicles, and remove state-set maximum prices. Previously, the service was concentrated among a few business owners, some of whom are reportedly under investigation for alleged bid-rigging in the VTV sector in Buenos Aires province. Pilar Ramírez, head of the LLA bloc in the city, argued that the state should oversee quality but not dictate where inspections occur, emphasizing the need for competition.

Alongside the VTV deregulation, the legislature also passed the "Hojarasca" law, mirroring a national effort to eliminate "obsolete" regulations. Additionally, funding was approved for the city's F subway line. The Pro party, along with allied blocs like the UCR and Confianza y Desarrollo (associated with former mayor Horacio Rodríguez Larreta), supported these measures. However, the PJ bloc opposed the VTV deregulation, raising concerns about ensuring quality and safety standards in private workshops and the potential for price deregulation to create difficulties.

LLA has been actively pursuing a deregulation and bureaucratic simplification agenda in the city for months. The passage of these laws signifies a significant step in that direction, despite opposition from some political factions who question the implications for public safety and market fairness.