Petrobras Raises Gasoline Price Today for the Third Time This Month

Petrobras Increases Gasoline Price by 3.5% at Refineries Starting Today, April 30. The Diesel Price Remains Unchanged at R$2.2470.

Average price per liter rises to R$ 2.045, the highest level since October 23 of last year at R$2.0639. The new price comes just 6 days after the last adjustment, which occurred on April 23 of this month. It should be noted that the pass-through to gas stations will depend on variables such as taxes and profit margins of stations and distributors. The gasoline sold by Petrobras represents 32% of the final fuel price.

This is the first time since October 2018 that gasoline is sold by Petrobras at a price above R$ 2. In 2019, the price of fuel at the oil company’s refineries has accumulated an increase of 35.5%. At gas stations, the increase is lower at 3.7%, according to data from the National Agency of Petroleum, Natural Gas, and Biofuels – ANP. The average price per liter of gasoline in the country is R$4.504.

Recomendado para você

Oil and Gas

Major Oil, Gas, and Energy Event Will Take Place in Brazil: Macaé Energy Will Gather Petrobras, Equinor, Prio, Among Other Suppliers and Energy Executives for Business, Networking, and Employment Opportunities

The Technical Agenda and the Fair in the City of Macaé Should Boost Discussions on Investments, Energy Transition, and Development of the Oil, Gas, and Energy Chain in the National...

Paulo Nogueira

1

However, the adjustment in gasoline prices does not necessarily mean that it will reach the pumps, as the pass-through to the final consumer will depend on a series of variables, such as the margins of resellers and distributors, taxes, and the mandatory blend of biofuels.

The diesel price was kept unchanged, with the last adjustment made on April 18, at 4.8%. This measure was taken six days after a rollback of a 5.7% increase. The government’s interference raised alarms, causing the company’s stock to drop, leading to a loss of R$32 billion in market value.

Petrobras has reduced the frequency of gasoline adjustments and, to avoid losses, especially in the external market, has used a financial protection mechanism known as hedge, which allows for extending the intervals between gasoline price adjustments at refineries by up to 15 days.

This month, the state-owned company announced a change in the way it discloses fuel prices. Petrobras decided to publish the prices of fuels at all its points of sale on its website, no longer providing the average as it had previously done.

Petrobras announced this Monday, April 29, that it has opened the bidding for the leasing of the Fafens, as the company’s nitrogen fertilizer plants in Sergipe (Fafen-SE) and Bahia (Fafen-BA) are known.