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[BUSINESS] · Brazil · 6 sources

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Petrobras lobbies Brazilian government against gas market competition measures

Petrobras is reportedly lobbying the Brazilian government to block initiatives by the National Agency of Petroleum, Natural Gas and Biofuels (ANP) aimed at increasing competition in the natural gas market. The ANP’s agenda includes expanding access to pipelines and processing units, conducting overdue tariff reviews, and implementing the ‘gas release’ program—a system of compulsory auctions for gas volumes controlled by dominant players.

While the ANP and the Ministry of Mines and Energy argue these measures could significantly reduce costs for industry and consumers, Petrobras is resisting changes that could impact its profit margins. The Federação Única dos Petroleiros (FUP) has also voiced opposition to the ‘gas release’ program, arguing that simply redistributing existing gas volumes does not address the integrated chain costs that determine final prices.

In contrast, studies from the Empresa de Pesquisa Energética (EPE) suggest that opening access to transport infrastructure could reduce costs for certain gas types by up to 80%. The situation has raised concerns regarding the governance of Brazil’s energy sector and the independence of regulatory institutions.

Entities

ANP · FUP · Ministry of Mines and Energy · Petrobras