<p>We review the distributional incidence of residential energy subsidies using the attractive case of Argentina, a developing country that has massively subsidized electricity in recent decades. Using multiple data sources, we explore two key dimensions often overlooked in prior research. First, we focus on geographic variation, as most previous studies primarily address the Buenos Aires Metropolitan Area (AMBA), the most populous region in the country. However, Argentina’s territorial heterogeneity demands for further analysis, particularly given that the stage of electricity distribution introduces significant differences between jurisdictions. Second, we emphasize the financing of subsidies, as most previous studies generally omit the net incidence. Our results indicate that regional disparities in electricity distribution costs and the pricing strategies of distribution companies are critical factors driving the distributional incidence. Additionally, ignoring the financing of subsidies can lead to a misperception on their redistributive effect.</p>