STATE COMPANY No. 2.125 Sanitary Works of the Nation. Please note that the Contamination Restoration Contributions Scheme is under way.

Bs. As., 12/9/78

VISTO Expediente No. 32.388/76, of the registration of the Company Health Works of the Nation and of the provisions of article 4 (n) and article 19, paragraph (1) (a) of Law No. 13.577 (text Law No. 20.324), which provides between the regular resources of the company those derived from the collection of services or for any other concept linked to the same according to the national rates,

CONSIDERING:

That the organic law of the National Health Works Company authorizes it to exercise the monitoring and control of the direct or indirect contamination of the sources of water forecasting that it uses, so that it is considered in its areas of action the appropriate agency to enforce the proposed regime.

That such sources, especially surface water resources, are being contaminated by liquid waste effluents of industrial activities.

That the polluting burden provided by industries adversely affects most of the legitimate uses that could be given to the waters, especially when it comes to providing safe water to the population.

That the need to put an end to the situation described makes it imperative to take measures that encourage industries to build their liquid effluent treatment plants.

That one such measure is the implementation of a Contamination Restoration Assessment Scheme.

Such a regime will help to encourage the actions of the industries to obtain the purification of their effluents.

It will also compensate for the greatest erogations that cause the company Healthy Works of the Nation the waste polluting liquid effluents from industrial activities.

Therefore,

THE PRESIDENT OF THE ARGENTINA NATION

RIGHT:

Article 1 Artículo The present regime of quotas for contamination shall be established, which shall be applied for industrial establishments which, because of the lack of wastewater treatment facilities or which, because of their insufficient possession, produce an effluent outside the conditions required by the regulations in force in the National Health Works Company.

The amount to be applied shall be calculated by the following formula:

T = A + Qn M. N. K.

T = Annual Pollution Restoration Quote.

A = Administrative fee, is 2 % of the T calculated without the A value.

Q = Daily flow rate expressed in m3.

M = Coefficient of updating the amount of the Contamination Restoration Fee, taking into account the fluctuations in the general wholesale price index provided by INDEC, which will be adjusted annually by the company, using that of the month of January corresponding to the year of payment.

For the first year of validity M will be equal to the relationship of the INDEC index corresponding to the month of January of the year of payment of the quota and the month of January 1978.

For the following years M will be equal to the relationship between the INDEC index of January of that year with respect to January 1978.

n = Constant = 0.8

K = Amount of the modules corresponding to the parameters that exceed the limits allowed by Sanitary Works of the Nation for the control of the contamination according to the receiving body and that will be determined by analysis practiced annually.

N = Variable numerical factor depending on the number of years in which the establishment remains in a polluting state and also annually modifies the minimum and maximum amounts established.

It is established as maximum and minimum amounts respectively, the sums of ninety million pesos ($ 90,000.000) and one million pesos ($ 1 million) multiplied by M. and N. factors to be applied when the calculated amounts exceed or are lower respectively to those values, where M is an update coefficient and N numerical factor depending on the number of years in which the establishment remains in a contaminated state.

The quota will be suspended once the polluting factors are eliminated. No remedy, administrative or judicial, shall be granted against the decision of the counter-institution, without the prior payment of the respective quota. The substance of such administrative remedies shall apply the rules contained in the Administrative Procedures Act.

Art. 2o o The company Sanitary Works of the Nation shall determine, within the area of its jurisdiction, the order of priority of the areas in which the present decree will be applied. Art. 3o o The annual quota of Contamination Restoration will be charged for expired periods and for its determination the values of the parameters obtained in the analyses performed during the previous year will be taken into account.

The limit values to set for each parameter, the number of samples and the value of the modules to be applied will be set by regulation.

Art. 4o — The daily flow of the effluent to consider for the purposes of the calculation of the Contamination Restoration Assessments will be obtained from the Jury Declaration presented by the person responsible for the industrial establishment or for the verification of Sanitary Works of the Nation. In any case, the company Sanitary Works of the Nation may carry out such checks or determinations of office. The form of the calculation of the daily flow of the effluent shall be determined by the respective regulation. Art. 5o o In cases where the National Health Works Company proceeds to determine by inspection, measurement or ex officio, the flow of the residual effluent from the industry, the person concerned shall be notified within twenty (20) subsequent working days, shall make any claim in this respect. This period shall be construed as giving its conformity to the notification. Identical term rules for annual periodic updates. Art. 6o o The payment regime for Assessments of Pollution Restoration shall be suspended after the contaminating factors are eliminated. When an existing industry initiates the construction of a debugger plant, the Pollution Restoration Cuota will be suspended during the time limit set by the regulation according to the work to be carried out, which will be unlikely. If, at the end of that period, the construction of the plant was not terminated or there were deficiencies in its operation, the Pollution Restoration Cuota will be re-implanted by assigning to factor N the value that would correspond to the failure to mediate such suspension. Art. 7o o To the owners or those responsible for the industries that are installed in the future and that have effluent treatment plants, they shall be exempt from the payment of the Pollution Restoration Quota, for a period of six (6) months, from its authorization by the competent authority, in order to enable the responsible to make the necessary corrections and/or adjustments. Art. 8o o The Pollution Restoration Cuota will be updated annually in accordance with articles 1 and 3 and 4 and for the following reasons:

(a) In any circumstances which, in the opinion of Sanitary Works of the Nation, requires a new determination of it.

(b) When the request of the person concerned is duly substantiated.

Art. 9o o The funds received in respect of quotas for restitution for pollution shall be allocated by Healthy Works of the Nation for the following purposes:

(a) Acquisition of materials, means of transport, instruments and apparatus of measure and analysis for the control of industrial drains.

(b) Equipment for operation, maintenance and/or improvement of enterprise facilities affected by effluent pollution.

(c) Recruitment of professional and technical staff for the development of the control and advisory tasks involved in the implementation of this regime.

(d) Financing of the conventions to be held with the municipalities of the localities where it provides services Sanitary Works of the Nation, which will include the study, project and/or construction of works to eliminate the pollution caused by the industries of the area.

Sanitary Works of the Nation will carry out annually the distribution of funds collected, in accordance with the order of priorities established for that purpose.

Sanitary works of the Nation will determine the accounting mechanism for the purposes of the perception, accounting and administration of funds from this regime.

Art. 10. Contact, post, give to the National Directorate of the Official Register and archvese.

VIDELA.

José A. Martínez de Hoz.