Despite the price of petroleum having dropped, the peso having appreciated and the rate of inflation having declined, the Fernandez government has announced that power rates will rise. The rates have consistently been going up ever since the electric sector was subject to privatization, a system that later failed. The government is now responsible for the operation of the Edesur and Edenorte power distribution companies, which provide service to two thirds of the national territory. The Superintendence of Power announced a 5.9% increase in their residential rates for consumption of 201-300 kWh, and 5.3% for those households consuming 301-700 kWh. The rates for those consuming more than that amount will not change, nor will those for residential consumption of less than 200 kWH.