Distributors In Five Northeastern States Will Launch Public Calls To Contract 2.406 Million Cubic Meters Per Day Of Natural Gas

Natural Gas Distributors in the Northeast (Copergás, Algás, Cegás, Potigás, and Sergás) Meet to Hire New Suppliers

The concessionaries in the Northeast region, Copergás (PE), Algás (AL), Cegás (CE), Potigás (RN), and Sergás (SE), all companies holding public concessions for the distribution and sale of natural gas in their states, will launch public calls to hire 2.406 million cubic meters per day of gas from new suppliers. The goal is to achieve a more advantageous price compared to what Petrobras pays.

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Last year, the concessionaries in the Northeast had already met, but due to uncertainties regarding changes in sector regulations, the process did not achieve the goal of attracting new natural gas suppliers to the region.

Fabrício Bomtempo, the president of Copergás, says that “Now, we are experiencing a different moment, and we hope this materializes in the offers made by the proponents.” The executive mentioned that people expect that, with the release of infrastructure usage by third parties, more competitors will appear in the teleconference, thus reducing the price currently paid.

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According to Fabrício, the company opted to open this call because there is high expectation in the gas sector that prices will be better and more competitive due to the new legal framework, and many companies have expressed interest in supplying the company’s demand. The president also stated that these public calls will occur at least once a year because the current contract of the concessionaries with Petrobras provides for a progressive reduction in contracted volumes between 2022, when the supplies from the contracts to be signed in this public call begin, until 2024.

Bomtempo stated that, in this public call, each distributor has its own contract dynamics, the average supply term ranges from two to five years, and there is no minimum or maximum price. He further explained that “It depends on the proponent who will submit a proposal. What we will do is compare with what we have today, and if it is something more competitive, we will move forward. If not, we will continue with the current supplier.”

The duration of the public call also varies. At Copergás, it starts tomorrow and ends in October. Some will accept proposals until January 2021. Of the total 2.406 million m³, Copergás intends to contract up to 1 million m³, Potigás up to 236 thousand m³, Cegás up to 600 thousand m³, Algás up to 270 thousand m³, and Sergás 300 thousand m³.