Renewable fuel research and support for the shipbuilding industry was the topic of current President Lula in an event on the balance of 100 days in office

President Luiz Inácio Lula da Silva announced that Petrobras will support research into new renewable fuels and help boost shipbuilding through the expansion of Transpetro's fleet. The initiative aims to generate jobs in national shipyards, although it was not specified whether a Promef-like program will be released. The statement was made during an event on the balance of 100 days in office, on Monday (10), in Brasília.

Lula pointed out that Petrobras will finance research into new renewable fuels and will resume its leading role in investments, expanding Transpetro's fleet of ships and generating jobs in Brazilian shipyards. The Minister of Mines and Energy, Alexandre Silveira, was present at the event, along with other members of the government.

Brazil's potential as a global power in green hydrogen

The president stated that the country will not miss the opportunity to become a “global power” in green hydrogen. Lula mentioned that, during his previous administrations, Petrobras' investments in research and innovation increased from R$3 billion to R$30 billion.

The Brazilian shipbuilding industry has been facing demobilization for almost 10 years, with a shortage of projects and job losses. Sinaval estimates that the sector has lost more than 60.000 jobs since the crisis that started between 2014 and 2015. However, the growth of the shipbuilding industry in Brazil resulted in the construction of 605 vessels by 2016, creating more than 80.000 direct jobs and 400.000 indirect and in the qualification of the workforce in the oil and gas production chain.

Alternatives to resume the shipbuilding industry in Brazil

In December of last year, at a meeting with members of the government's transition group (GT), representatives of shipbuilding heard that Lula was interested in discussing alternatives for resuming the shipbuilding industry in Brazil. The transition also managed to postpone until this year the definition of two topics relevant to shipbuilding and merchant shipping: the sale of ships from the Transpetro fleet and the regulation of the BR do Mar (Law 14.301/2022).

The minister of ports and airports, Márcio França (PSB), signaled that the government intends to revisit some rules of the cabotage program that impact the national industry. At the WG meeting, the need for policies that increase local content rates, in addition to offshore wind projects, was also discussed.

Participants reported that the government will encourage projects to generate energy at sea and that shipyards will need to be

prepared if this segment develops within, or even before, five years. Builders suggested that building new support vessels could be the best option to reactivate and pave the way for other opportunities for the industry, including the return of orders for merchant ships in the wake.

Positive impact on the economy and job creation

The resumption of the naval industry in Brazil can have positive impacts on the economy of the municipalities where the shipyards are located, in addition to contributing to the generation of direct and indirect jobs. The expansion of Transpetro's fleet and support for local shipyards, as announced by Lula, may represent a new impulse for the national industry.

Challenges and prospects for the future

Brazil faces significant challenges for the resumption of the naval industry, including the need for investments in infrastructure, qualified labor and public policies that favor shipbuilding and repair. However, Lula's announcement about the expansion of Transpetro's fleet and support for local shipyards brings hope to the sector and may contribute to the strengthening of the national industry.

In summary, the expansion of Transpetro's fleet and support for national shipyards, as announced by President Lula, have the potential to generate jobs and boost the Brazilian shipbuilding industry. The resumption of this industry can also benefit the economy of the municipalities where the shipyards are located, in addition to contributing to the development of the oil and gas production chain. For this to happen, it is necessary to make a joint effort to invest in infrastructure, workforce qualification and public policies that foster the national industry.