Brazil natural gas market regulation and competition

Tensions regarding the availability and regulation of the natural gas market in Brazil have emerged through both legal complaints and industry policy proposals.

The Brazilian Association of Glass Industries (Abividro) has requested that the Administrative Council for Economic Defense (Cade) investigate Petrobras for alleged anticompetitive practices. Abividro claims the state-controlled company restricts access to essential infrastructure, such as flow, processing, and regasification systems, while using opaque pricing and gas reinjection to artificially compress domestic supply.

Concurrently, the Brazilian Association of Piped Gas Distribution Companies (Abegás) has introduced a strategic agenda aimed at influencing the 2026 elections. Abegás highlights a significant gap in market availability, noting that only 33% of Brazil’s 2025 gas production reached end consumers. To address this, the association proposes legislative reforms including caps on gas reinjection, the creation of an independent transport network manager, and the transfer of free-market commercialization to the Electric Energy Commercialization Chamber (CCEE) to improve transparency.