Argentina is planning to scrap subsidies to its biggest natural gas, biofuel and oil companies.

The move will start on December 1 and save the government $820m, said Argentina’s economy minister Amado Boudou, who added that he did not expect the decision to affect the final price of biofuel, fuel and gas for consumers.

“The subsidy cuts will extend to the highest grossing companies in the fuel sector, natural gas production, biofuels, oil and agricultural chemicals,” Boudou told a press conference.

The government will also cut residential gas and power subsidies to people living in wealthy neighbourhoods.