The Government Gives Procon Five Days To Notify About Abusive Fuel Price Increases

Written by Bruno Teles

Published on 02/03/2023 at 18:31

Updated on 02/03/2023 at 18:32

Preços dos combustíveis (foto/divulgação)

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Flávio Dino stated that “we have boundaries for what these fluctuations are reasonable or abusive.” However, he also compared cartelization with discrepancies in fuel prices. The minister also mentioned state, municipal, and civil society entities to discuss Procon.

The government announced on Tuesday (28) a new tax schedule for gasoline and ethanol, with the start of validity being yesterday, Wednesday (1st). The tax rate for PIS/Cofins will be raised to R $0.47 per liter of gasoline and R $0.02 per liter of ethanol – lower than the charges adopted before the reduction, but still an extra burden for the consumer.

The decision aims to align three sustainability principles promoted by the Lula government: environmental (placing a higher burden on fossil fuel), social (trying to reduce the impact of prices on consumers), and economic (preserving revenue). The increase in federal taxes was justified by the difference in treatment between private cars and public transport, which uses diesel still exempt until the end of the year.

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Petrobras Studies Adopting National Price, With Only 15% of International Reference

Petrobras announced a record profit of R $188 billion in 2022. In a teleconference with financial market analysts, President Jean Paul Prates criticized the current fuel price policy of the oil company, as it was operating with a very low refining capacity, which could be due to government interference.

It was also reported by GLOBO that the new Petrobras administration is studying to end the Import Parity Price (PPI), adopted by the company since 2016. Because of this, only 15% of the calculation would be linked to the quotes of oil and dollar, while 85% of the formula would be based on national oil production costs. The discussed proposal underwent minor variations in the case of diesel and gasoline since the volume of imports is different.

Prates stated that it is not Petrobras who will make fuel price decisions in Brazil and that there will be an open dialogue with investors so that decisions are made through the Board and the executive directorate. He emphasized that the company will not sell its assets based on government decisions.

The Government Gives Procon Five Days To Notify About Abusive Fuel Price Increases

Petrobras Studies Adopting National Price, With Only 15% of International Reference

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The Government Gives Procon Five Days To Notify About Abusive Fuel Price Increases

The Minister of Justice and Public Security, Flávio Dino, has just launched a bombshell in the fuel sector. He declared that Senacon granted five days for the Procon of each state to check for abusive practices related to fuel prices.

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