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Compagas proposes gas tariff restructuring in Paraná, eliminating the ceramic tariff and threatening the number of jobs generated by local ceramic industries.
The new pricing premise for the gas, aimed at the ceramics industry in Paraná, will directly affect job stability and revenue state tax.
According to Roca Brasil Cerámica, the tariff modification suggested by Compagas, applicable from August 1st, threatens the maintenance of ceramic industrial activities in Paraná. This adjustment could further harm operations, particularly due to increased costs with natural gas. This tariff change could result in severe consequences for the regional economy.
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Campo Largo, July 31, 2024 – Present for 72 years in Paraná, the Roca Brasil Cerámica, a company that is part of the Mexican group LAMOSA and leads the brands Roca Cerámica and Incepa, views with great concern the proposal to tariff restructuring from Companhia Paranaense de Gás (Compagas). The new tariff structure will bring countless damages to both the state's ceramics industry and the regional economy, significantly affecting the number of jobs created by these companies.
Impact of Tariff Restructuring
This analysis is a result of the proposal of the Paraná Gas Company (Compagas), a private company that distributes gas in Paraná. The proposed measure eliminates the specific price list for the ceramic segment, treating it in the same way as other industrial sectors. Second Sergio Wuaden, managing director of Roca Brasil Cerámica, this decision will result in layoffs and a consequent reduction in the income of workers in Paraná. He emphasizes that 'offering the same treatment to the ceramics operation and completely different sectors will be a mortal blow to the viability of activities in Paraná'.
Wuaden also highlights that the high prices historically charged by Compagas have generated many impasses in defining an efficient tariff policy for the industry in Paraná.
High Costs and Competitiveness
In recent years, tariff values above the national average have already affected the competitiveness of Paraná's industry both in the local market and in exports, discouraging investments in technological updating and expansion of production capacity. However, by proposing the extinction of the ceramic tariff, currently under analysis by the Paraná Delegated Public Services Regulatory Agency (Agepar), Compagas ignores the negotiation history and eliminates the chance of recovering part of the competitiveness lost over the years.
For ceramic production, natural gas represents approximately 30% of the total cost, while for other sectors this percentage is much lower. If the tariff restructuring is approved by Agepar, Roca Brasil Cerámica and other industries in the sector in Paraná will face an increase of around 7% in the gas values applied. Furthermore, the portion of margin allocated to the distributor of gas increased by 22,3%. 'Clearly, there is room to reduce this margin by up to 35%', evaluates Wuaden.
According to him, Compagas' stance reveals a limited strategic vision, which does not recognize the importance of gas for the development of the state's industry, resulting in the elimination of direct jobs and the economic disruption of local communities that depend on this income.
Historical Difficulties
The history of the relationship between Roca Brasil Cerámica and Compagas is marked by successive disagreements in recognizing the importance of the ceramic sector for the economy of Paraná. At the end of the 90s, the conversion of the Campo Largo potters' energy matrix to natural gas was crucial to making Compagas' operations viable. However, over the years, these contributions were forgotten, as were the recent negotiations between the distributor and Roca Brasil Cerámica.
In 2021, when the company announced the expansion of industrial park located In Campo Largo, Compagas agreed to bring forward the benefits arising from the renewal of the concession contract, resulting in a tariff reduction to support investments that strengthened the regional economy and state revenue. However, by eliminating the price allocated to potters, this condition was eliminated. 'We know that states like Bahia and Santa Catarina continue to offer these special conditions for local industries, while in Paraná we are at risk of losing these advantages and worsening the situation in our sector', analyzes Wuaden.
Monopoly and Regulation
Wuaden also expresses concern about the growing monopoly in gas distribution by a few private companies. 'This is an imminent risk that requires strong and effective regulation to control these companies' appetite for excessive profit margins.', he warns, adding that without adequate policies, high tariffs will negatively impact Brazil's industrial development and the generation of jobs and income.
About Roca Brasil Cerámica
Roca Brasil Cerámica, which leads the Roca and Incepa coatings brands, is part of the LAMOSA Group, a Mexican company with global operations in the manufacture and sale of ceramic coatings and adhesives. After its acquisition in 2021, the company joined a history of more than 130 years in the construction sector, with operations in 9 countries and 33 production centers in the Americas and Europe.
Innovation and Sustainability
The LAMOSA Group is the market leader and the second largest manufacturer of ceramic tiles in the world, with an annual installed capacity of more than 280 million m². Innovation, cutting-edge technology and high quality are the pillars that guide Roca Brasil Cerámica, consolidating its position as one of the largest manufacturers of ceramic tiles in the world.
The constant investment in technology allows the company to offer a robust portfolio that follows architectural and construction trends, whilst remaining fully compliant with technical standards. In 2016, Roca Brasil Cerámica became the first company in the Americas to acquire the Contínua+ supercomputer. In 2018, it launched the Superformat market with large coverings, revolutionizing the ceramic industry and the architecture and construction market.
Environmental responsibility
In 2019, the company pioneered the analysis of the life cycle of its products, monitoring the environmental impacts of its production. Improvements achieved between 2021 and 2022 include a 3% reduction in water consumption and a 5% reduction in energy consumption per m² produced, allocation of 95% of waste for reuse or recycling, and the replacement of coke petroleum by biomass, a renewable fuel.
These actions reflect Roca Brasil Cerámica's commitment to sustainability, placing it as a reference in the global ceramic sector.
Source: © Glaucia Ferreira
