SC Will Increase Natural Gas Prices for Vehicles, Industry, and Households Starting January 2022

Next Semiannual Adjustment of Compressed Natural Gas (GNV), Residential and Industrial in SC Will Change Starting in January, and for the Automotive Sector, the Percentage Will Increase to 41.88%

The taxes on compressed natural gas (GNV), industrial, and residential in SC will have average adjustments of 40% starting from the first month, according to definitions from the Regulatory Agency for Public Services of Santa Catarina (Aresc). The increase was lower than the previously estimated 48%, which even received questions from the Administrative Council for Economic Defense (Cade). With Aresc’s decision, industry consumers will see a 40.95% adjustment on natural gas, residential consumers 24.70%, commercial users 29.47%, and automotive (GNV) 41.88%.

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Compressed Natural Gas Will Increase from R$ 2.7830 to R$ 3.9484

The fuel distributor in the state, SCGás, states that for the GNV, the single rate without taxes will rise to R$ 3.9484. Currently, the price without taxes for compressed natural gas is averaging R$ 2.7830.

According to the company, stating the price per cubic meter is clearer for users. What influenced the new increase in natural gas in SC was the international oil price and the fluctuation of the dollar in Brazil over the past six months.

For 5 years, gas prices in SC have been defined based on a graphic account by the agency. There are two adjustments per year, one in January and another in July. On the 10th of this month, after projections that the expected increase for January could reach 48%, companies and institutions in SC decided to contest the high cost through legal action in the Administrative Council for Economic Defense (Cade).

Average Adjustment of Natural Gas Reached 28% in January This Year

Companies are questioning the prices charged by Petrobras for compressed natural gas (GNV), which holds a monopoly on supply through Gasbol. In July, the adjustment for the industry reached 36.57% in SC, the highest among the four user groups.

In January of this year, the adjustment in the state reached 28%. Companies also filed action with Cade, SCGás, Infragás, the Federation of Industries of Santa Catarina (Fiesc), and the state government. If the competition agency meets this demand, according to SCGás’s advisory, the decision could influence prices in the following months or also in the July adjustment.

In addition to the semiannual adjustment, Aresc decided this month to revise the distribution margin of SCGás through resolution No. 186/2021. According to the agency, the new margin for the company will rise from R$ 0.3346 to R$ 0.3826. This will have an average effect of 2% on tariffs. It is an update based on inflation.

To Stimulate the Use of GNV, Platform 99 Will Start Renting Conversion Kits for Partner Drivers

Natural gas offers several benefits for various sectors, such as industry, providing lower equipment corrosion, easily adjustable combustion, pay-as-you-use arrangements, lower insurance premiums, among others.

In the automotive sector, compressed natural gas (GNV), when used instead of gasoline or alcohol in vehicles, offers a cost advantage per km traveled. For the commercial sector, it provides lower installation costs and less investment in storage due to space usage.

With the constant rise in fuel prices, using Compressed Natural Gas (GNV) is an alternative found by several app drivers. On the balance sheet, with the fuel, it’s possible to achieve savings of up to 50% compared to gasoline or other fuels in São Paulo city. However, many professionals still feel insecure enough to pay an initial installation cost of R$ 5,000. Therefore, “99” has a new initiative to rent Compressed Natural Gas (GNV) conversion kits for partner drivers’ cars for just R$ 329.00 per month.