The government sent the proposal in September, leaving biomethane out.

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The rapporteur stated that the Biomethane will be included in the Bill (PL) of the Fuel of the Future

Companies in the oil sector are positioning themselves contrary to a new tribute

Raízen supports hybrid vehicles and invests in second generation ethanol

Company root is promoting hybrid vehicles and is focused on the development and production of ethanol produced from second generation raw materials.

The companies Cosan, With gas and Compass are undergoing changes in their leadership, seeking new directions and strategies for the future.

Deputy Arnaldo Jardim, responsible for the bill PL 4516/23, stated that it is committed to including standards and regulations for the use of biogas e biomethane in your opinion. He sent a video to participants of the 10th Forum of Biogas, in São Paulo, to communicate its actions and future projects.

I am negotiating with party leaders and the government to ensure the inclusion of biogas and biomethane in my opinion, which will be part of the text of the Fuel of the Future. The sector has been demanding this inclusion since it was excluded from the government's proposal in September. The main demand is the creation of a mandate for the biogas, establishing a gradual mixture with natural gas.

Squid, together with representatives of Equinor Brazil, discussed with authorities in Brasília about changes in legislation tax and investments in renewable energy. The meeting was also attended by the president of Equinor Brazil, Verônica Coelho.

A tax reform, recently approved by the Senate, includes the creation of a new tax of up to 1% on the production of oil, and the text will need to be reevaluated by the Chamber of Deputies.

The president of the Shell Brazil, Cristiano Pinto da Costa, was also present in Brasília this week to discuss with Executive and Legislative leaders about the tax reform, as well as investments in research and other related matters.

The oil and gas sector is concerned about the advancement of the proposal for a excise tax 1% on extractive activities in the context of Tax reform, as mentioned by an executive on a social media platform.

IBP Expresses Opposition to New Tax The Brazilian Institute of Oil and Gas (IBP) expressed its opposition to the new tax, warning that its incidence could result in a financial impact annual amount of R$5,5 billion, taking into account the consumption of diesel and gasoline in Brazil.

Impact of forecasting a selective tax

According to the institute, the forecast of a selective tax goes against Government initiatives, such as the “Gas to employ” and “Gas for Industry” programs, which aim to increase the competitiveness of a vital input for the growth and decarbonization of the industrial sector.

Price stability of oil. The price of oil WTI for December closed unchanged, at US$78,26 per barrel, while Brent for January 2024 closed with a slight drop of 0,06% (US$0,05), at US$82,47 per barrel.

ExxonMobil began operating its third oil field oil in Guyana, the Payara, located in the Stabroek block. With the entry into operation of the FPSO Prosperity, the production capacity of the company will reach 620 thousand barrels per day in the country, and the expectation is to reach more than 1,2 million barrels per day in Stabroek by the end of 2027.

Company eneva stored liquefied natural gas (LNG) for the Qatar Energy at the Sergipe regasification terminal. This was the first operation of its kind carried out by the company on the Hub Sergipe regasifier vessel and the contract provides for the storage of 152 thousand m3 of LNG for up to six months, until March 2024.

A Unigel suspended prior notice to workers at the fertilizer factory in Camaçari (BA) and informed that it will resume operations at the asset as soon as possible. The company also stated that it is in negotiations with Petrobras to enable the operation of the Unigel Agro Bahia and believes that a satisfactory solution will be reached for both parties.

Raízen bets on hybrids instead of electric cars

O CEO da root, Ricardo Mussa, highlighted that in Brazil, hybrids are the most advantageous choice compared to electric cars. At a press conference to discuss the company's financial results, he highlighted the company's preference root by hybrids, which are considered a “smarter” option for the Brazilian market.

Mussa also addressed the federal government's decision to gradually increase the import tax on electric cars, starting at 10% in 2024 and reaching 35% in July 2026. This measure reinforces the company's commitment root in hybrids as the best alternative for the national automotive scenario.

Brazil decided to tax the import of electric cars again, causing doubts and questions. The measure is accompanied by a strong investment in the production of 2G ethanol, which has proven to be a viable and promising alternative. A root, one of the main companies in the sector, is preparing to meet this growing demand, with the construction of several production plants 2G ethanol and two projects already announced. The forecast is that two of these plants will begin operating in 2024, boosting national production of biofuel.

Highlight for the largest 2G ethanol in the world, the Bonfim Bioenergy Park, under construction in the city of Guariba (SP). With these advances in the production of 2G ethanol, Brazil seeks to strengthen its energy matrix and reduce dependence on fossil fuels, following a global trend towards energy sustainability.

A Cosan will have a new one CEO, who will replace Luis Henrique Guimarães from January. Luis will continue on the boards of Cosan, move, Compass e OK.

Antonio Simões Rodrigues Júnior, current president of With gas, will be the new CEO from Compass.

And Felipe Ferreira Guimarães Figueiredo, current director of Operations at root, will take command of the With gas.

High temperatures and increased energy consumption resulted in a record instantaneous load demand, exceeding 100 GW for the first time in history, according to the National Electric System Operator (ONS). This occurred on September 26 of this year, at 14:20 pm, when the load reached 101.475 megawatts (MW).

Furthermore, the government placed the proposed budget of R$37,2 billion for the Energy Development Account (CDE) in 2024 for public consultation, representing an increase of 6,2% compared to this year's value.

Biggest budget in the last 11 years, if approved

If approved, the budget in question will be the largest in the last 11 years. The Energy Development Account (CDE) is responsible for most subsidies in the electricity sector, including incentives for renewable sources, the purchase of fuels for thermal plants, distributed generation, Light for All and social tariffs.

Additionally, by email, recipients also receive the authorities' agenda daily.

Source: EPBR Agency