Venezuelan merchants seek tax relief amid severe power outages

The commercial sector in Venezuela's Aragua state is facing a critical operational crisis, directly stemming from persistent and prolonged power outages. In response, the Association of Merchants of the Center of Maracay has formally requested the national executive branch to design and implement a compensatory fiscal relief plan.

Merchants argue that this relief is necessary to balance material losses and the paralysis of cash flow caused by the constant interruptions of the electrical supply. Alberto Zanardi, a representative for the merchants, warned of the severity of the situation, stating that the "electrical contingency affects everyone and affects sales." He explained that the unstable power supply deters customers, particularly those who avoid businesses lacking self-generation systems during outages. Some merchants report experiencing power cuts up to twice daily.

Beyond lost customers, the energy failures critically impact business operations by automatically blocking fiscal invoicing platforms and point-of-sale terminals. During these outages, establishments are completely unable to process card payments or digital transfers, resulting in entire workdays with zero revenue. This uncertainty has also altered short-term investment decisions within the sector. Many business owners are prudently avoiding acquiring new merchandise or replenishing inventory to prevent losses from spoilage or stagnation due to a lack of daily commercial activity.

The cost of installing backup power systems, such as generators, is largely inaccessible for small and medium-sized entrepreneurs. Merchants emphasized that purchasing a generator, which would offer a temporary solution, is prohibitively expensive in the current market. Furthermore, the costs associated with import duties, maintenance, and fuel for these systems exceed the operational budgets of most businesses in Maracay.

Given the lack of structural solutions to the energy problem and the financial impossibility of self-funding emergency power, the commercial sector insists that a reduction in local and national taxes is the only viable path to prevent the definitive closure of more establishments. They are seeking fiscal leniency to survive the ongoing crisis.

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the contingency electrical affects everyone and affects sales.