Brazil's Chamber Passes Bill Criminalizing Abusive Fuel Price Hikes

On 20 May, Brazil's Chamber of Deputies approved government‑sponsored PL 1625/26, which creates a specific crime for unjustified increases in fuel prices. The proposal sets a penalty of two to four years' imprisonment and a fine for companies that raise gasoline or diesel prices without verifiable economic reasons such as production costs, logistics, taxes or anti‑competitive behavior. Oversight would be handled by the Public Prosecutor’s Office in coordination with the Administrative Council for Economic Defense (CADE).

Deputy Merlong Solano, the rapporteur, said the measure is timely amid “the escalation of fuel prices in the international oil market, intensified by the geopolitical instability in the Middle East.” Opposition lawmakers warned the bill could criminalise routine distributor actions, citing recent Petrobras decisions that forced higher import prices. The text now moves to the Senate for further consideration.