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Fuel price policy in Brazil will depend on the future presidency of Petrobras, says executive secretary of the Ministry of Finance

Written by Ruth Rodrigues
Published 05/01/2023 às 12:00
The president of Sindipetro stated that the fuel stations in Brazil are still hostages of the distributors for the calculation of the amounts charged. The constant readjustments in product prices end up impacting the transfer to the final consumer.
Source: PronaTEC

The executive secretary of the Ministry of Finance commented on the short, medium and long term plans to control the amounts charged for products in Brazil. Gabriel Galípolo also stated that the fuel price policy will depend on Petrobras.

The first days of the new Lula Government are already giving rise to talk about proposals for the national fuel market. Last Tuesday (03/01), the executive secretary of the Ministry of Finance, Gabriel Galípolo, commented on the future of the pricing policy adopted by Petrobras regarding fuels in Brazil. According to him, the decision on the readjustments of values will depend on the future presidency of the state-owned company, quoted to be assumed by Jean Paul Prates.

Ministry of Finance will discuss fuel price policy, but the decision will come from the future president of Petrobras, highlights Galípolo

The last few months have been full of discussions regarding the price policy adopted by Petrobras for the sale of fuels in Brazil, and the impacts on the quality of life of the final consumer.

In this way, the new Ministry of Finance of the Lula Government articulates itself to seek improvements and stabilization in the segment, even dealing with a fiscal deficit left by the Bolsonaro Government.

Thus, the executive secretary of the Ministry of Finance, Gabriel Galípolo, commented on the future of the state-owned company's pricing policy and highlighted that the decision on any change will be taken by the company's future presidency.

The most quoted name currently to take over the company's administration is that of Senator Jean Paul Prates, who should become the president of Petrobras in the coming months.

Thus, the Ministry of Finance will have a strong dialogue with the senator to verify the best model for charging fuel prices in Brazil, but will continue to accept the company's decision. 

Today, the pricing policy follows international quotations and is influenced by the exchange rate, which is welcomed by the market.

Jean Paul Prates defends the creation of a fuel price stabilization fund in Brazil, aiming to reduce the amount charged in crises and minimize the impacts caused to the population.

Short, medium and long term plans are being developed for the pricing policy with Petrobras

From the fiscal point of view, Galípolo stated that the Ministry of Finance is developing short, medium and long term plans regarding the fuel price policy at Petrobras.

On the issue of fuel, he said that the annualized cost of the federal exemption for gasoline is around R$ 30 billion and for diesel, R$ 18 billion, but that there was an assessment that, due to the road transport matrix, the fuel costs would affect the price of basic products for the population.

The Lula government started the week by expanding the provisional measure that provides for the exemption of gasoline for another two months, and the exemption of diesel until the end of 2023, as a way of controlling a possible rise in prices.

According to the executive secretary of the Ministry of Finance, a series of tax waivers in the fuel sector are being analyzed with a view to minimizing damage to consumers.

There is also an assessment of the quality of spending, such as what happened with the change in the Auxílio Brasil, which generated an increase in mononuclear families, since the benefit was given per family.

“We are studying how to mitigate and reduce the fiscal deficit forecast for 2023,” he said, in an interview with Globonews.

Now, just wait for the future presidency of the state-owned company to present a new fuel charging model for the stabilization of prices in the country.

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Ruth Rodrigues

Graduated in Biological Sciences from the State University of Rio Grande do Norte (UERN), she works as a writer and scientific disseminator.

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