ARGENTINE RAILWAYS

Law 27.132

Policy of reactivation of passenger and freight railroads, renovation and improvement of railway infrastructure, incorporation of technologies and services. Declaration of national public interest. Sanctioned: April 15, 2015 Enacted: May 20, 2015

The Senate and Chamber of Deputies of the Argentine Nation, meeting in Congress, etc., are sanctioned by law:

Article 1 °-Declaranse of national public interest and as a priority objective of the Argentine Republic the policy of reactivation of the railroads of passengers and loads, the renovation and the improvement of the railway infrastructure and the incorporation of technologies and services that contribute to the modernization and efficiency of the system of public rail transport, in order to guarantee the integration of the national territory and the connectivity of the country, the development of regional economies with social equity and job creation.

ARTICLE 2-Establish the following principles of the railway policy: (a) The administration of the railway infrastructure by the State; (b) Public and private participation in the provision and operation of rail public transport services; (c) The interconnection of rail systems (d) the maximisation of investments and of the resources used for the provision of a railway service in terms of efficiency and safety; e) The incorporation of new technologies and management modalities that contribute to the improvement of service delivery (f) The protection of the rights of users, with special attention to persons with disabilities or reduced mobility, guaranteeing their rights to access to rail transport services in appropriate conditions (g) The promotion of conditions of free access to the national rail and passenger rail network, based on the principles of objectivity, transparency and non-discrimination.

Article 3 °-The national executive branch shall take the necessary measures for the purpose of reassuming the full administration of the railway infrastructure throughout the national territory and the management of the traffic control systems trains, being able to this end to resolve, to disaffect goods, to rescue, to recover or in its case to renegotiate the contracts of concession signed with New Central Argentine Company Anonymous, Ferroexpress Pampeano Company Anonymous and Ferrosur Roca Sociedad

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Anonymous, approved by decrees 994 of 18 June 1992, 1.144 of 14 June 1991 and 2,681 of 29 December 1992 respectively; contracts for the granting of carriage of passengers with the Metrovias Sociedad Anonima and Ferrovias Public limited liability company, approved by decrees 2,608 of 22 December 1993 and 430 of 22 March 1994, as well as concession contracts entered into with the provinces under Decree 532 of 27 March 1992 at present in force.

ARTICLE 4 °-The mode of open access to the national railway network for the operation of the freight and passenger transport services is established. The open access mode for the operation of rail freight services will allow any operator to carry the load with origin and destination at any point of the network, regardless of who holds the ownership or holding of the facilities of the point of loading or destination. For the purposes of the present, the national executive branch will create a (1) Register of Freight and Passenger Operators.

Article 5 °-The constitution of the society of the Argentine Railways Society of the State, in the orbit of the Ministry of the Interior and Transport, subject to the regime established by law 20,705, relevant provisions of the Law of Commercial companies 19,550 (t.o. 1984) and its modifications which are applicable to it and to the rules of its statute, which will be aimed at integrating and articulating the various functions and competences assigned to the companies created by the Law 26.352 and by decree 566 of 21 May 2013 and the articulation of the entire railway sector national.

Article 6 °-The society of the Argentine Railways Society of the State, will have the following functions and competences: a) Propose coordinated practices and lines of action between the company Operadora Ferroviaria Sociedad del Estado, the Administration of Railway Infrastructures Sociedad del Estado and the Sociedad Belgrano Cargas and Logistica Sociedad Anonima; b) To approve the policies, plans, programs and projects aimed at the constant improvement of the railway transport that will be carried out by the society Operator Railway Society of the State, the Administration of Railway Infrastructures State and the Company Belgrano Cargas and Logistica Sociedad Anonima and supervise its (c) Any other that does the performance of its tasks.

Article 7 °-The national executive branch shall approve the social statutes of the society of the Argentine Railways Society of the State created by this law, subject to its guidelines, and shall carry out all the necessary acts for the constitution and operation of the same, and may expressly delegate this option to the Ministry of the Interior and Transport.

Article 8 °-The Ministry of the Interior and Transportation will supervise the development of the Argentine Railways.

Article 9 °-The management and administration of the company Railway Argentines Sociedad del Estado will be in charge of one (1) directory composed of one (1) representative of the Ministry of Transport of the Ministry of the Interior and Transport appointed by that ministry, the chairman of the board of directors of the Railway Infrastructure Administration of the State or of the society

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To replace it in the future, the president of the directory of the society Operator Railway Society of the State or of the society that will replace it in the future, the president of the directory of Belgrano Cargas and the Logistics Society the society to replace it in the future, two (2) representatives appointed by the Ministry of the Interior and Transport on the proposal of the trade union associations with representative associations of the railway sector and one (1) representative of the (a) users designated by the Ministry of the Interior and Transport.

ARTICLE 10. -the budgetary, economic, financial, accounting and contracting arrangements of the company established by Article 5 ° shall be determined in their respective statute.

ARTICLE 11. -The labor relations of the society of the Argentine Railways Society of the State will be governed according to the legal regime established by law 20,744 (t.o. 1976) and its modifications or that in the future it will replace it.

ARTICLE 12. -The company created by Article 5 ° shall be subject to the internal and external controls of the national public sector in the terms of Law 24.156. In the management of its affairs, it must ensure transparency in decision-making, the effectiveness of controls and the promotion of mechanisms for the participation of the various sectors of activity and society.

ARTICLE 13. -Transfer to the society of the Argentine Railways Society of the State, created by the article 5 ° of the present, the nominative certificates representing the one hundred percent (100%) of the social capital of the Administration of Infrastructures Railway Company of the State and of the company Operadora Ferroviaria Sociedad del Estado, owned by the State, shares representing forty percent (40%) of the share capital of the State Administration Railway infrastructure State society and the actions which represent thirty-five per year (35%) of the share capital of the company Operating Railway Company of the State in the society Belgrano Cargas and Logistica Sociedad Anonima and the shares representing 16% (16%) of the share capital in New Central Argentina Company Anonymous, Ferroexpress Pampeano Ancionado and Ferrosur Roca Sociedad Anonima, owned by the State.

ARTICLE 14. -Substitute points (b) and (c) of Article 3 of Law 26.352, which shall be drawn up as follows: (b) the preparation and approval of railway infrastructure projects forming part of the railway network, its construction and rehabilitation which are carried out by its own resources, third parties, or associated with third parties and in accordance with what is determines the Ministry of the Interior and Transport and may agree with the operators of loads or passengers of the authorisation for the execution of works to improve or renew the sectors of the network on which they provide services; The control and inspection of the railway infrastructure it administers.

ARTICLE 15. -incorporate into Article 3 of Law 26.352, as points (m) and (n), the following: (m) The management of train traffic control systems and the maintenance of the railway infrastructure by itself or through operators (a) the diagramming of the services and, where appropriate, the approval of the diagrams submitted by the freight or passenger operators.

ARTICLE 16. -replace Article 7 of Law 26.352, which shall be drawn up as follows:

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Form:

Article 7 °: Create the company Operating Railway Company of the State subject to the regime established by law 20,705, relevant provisions of law 19,550 and amending, which force it applicable and to the rules of its statute, which will have its the provision of rail passenger transport services, in all its forms, which are assigned to it, including the maintenance of rolling stock, the maintenance of the railway infrastructure which it uses for the operation of the the railway service to be carried out and the management of the train traffic control systems, These last two functions in case they are assigned to them by the Administration of Railway Infrastructures Society of the State. The Company Railway Company of the State may develop all the necessary or appropriate actions for the best performance of its functions, carrying out the acts of administration or disposition that are necessary for the fulfilment of these obligations, including through participation in companies or companies, whether national or foreign, subject to the provisions of the legislation in force.

ARTICLE 17. -Substitute under points (a) and (c) of Article 8 (2) of Law 26.352, which shall be drawn up as follows: (a) It shall take on its own, through third parties or associated with third parties, the provision of the rail passenger services provided for in Article 8 (2); allocate, those who are concessionaires and which, for various reasons, revert to the national State, as well as new services which are created; (c) Manage and dispose of the active and towed material assigned to it for its railway operation; and those who acquire or incorporate in the future by any title.

ARTICLE 18. -Article 8 (2) (e) and (f), the following: (e) to maintain the railway infrastructure allocated to it by the State-run Railway Infrastructure Administration; (f) to manage the systems of the railway infrastructure; Control of the circulation of trains assigned to it by the Administration of Railway Infrastructures Society of the State.

ARTICLE 19. -replace Article 1 of Decree 566 of 21 May 2013, which shall be worded as follows:

Article 1 °: The constitution of the company Belgrano Cargas and Logistica Sociedad Anonima, in the orbit of the Ministry of the Interior and Transport, under the regime of Law 19,550 of Commercial Societies -t.o. 1984-, and its modifications and the norms of its the status of the service, the commercial operation and operation of the service, the operation and logistics of trains, in itself, through third parties or associated with third parties, the attention of stations, the maintenance of rolling stock, equipment, load terminals, telecommunications services, maintenance of the infrastructure the railway and the management of the train traffic control systems, these last two functions in case they are assigned to them by the Administration of Railway Infrastructures Society of the State, also being able to carry out all the other complementary and subsidiary activities of the national rail freight network.

ARTICLE 20. -This law will be regulated within one hundred and eighty (180) days from its publication in the Official Gazette of the Republic of Argentina.

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ARTICLE 21. -Contact the national executive branch.

GIVEN IN THE SESSION HALL OF THE ARGENTINE CONGRESS, IN BUENOS AIRES, ON THE FIFTEENTH DAY OF APRIL OF THE YEAR TWO THOUSAND FIFTEEN.

-REGISTERED UNDER NO 27.132-

BELOVED BOUDOU. -JULIAN A. DOMINGUEZ. -Juan H. Estrada. -Lucas Chedrese.

Date of publication: 21/05/2015

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