Palácio do Planalto convened experts from the oil and gas market to hear suggestions for resolving the fuel price shock due to the rise in oil on the international market. THE CNNanalysts who requested anonymity said they would alert President Jair Bolsonaro to the urgency of finding ways to subsidize the products.
“There is no more time to discuss projects in the National Congress. The war broke out and the government needs to adopt a public policy to subsidize the prices of diesel and gas cylinders, as a priority. Without this, we run the risk of shortages”, said one of them.
The proposal that will be suggested to President Bolsonaro foresees a fixed period of time, between three and six months, with a trigger for the price of a barrel of US$ 90. The difference in prices must be covered by resources from Petrobras’ dividends and royalties, in the opinion. of the analysts heard by the column. To ensure the legal certainty of the measure, it may be necessary to declare a state of public calamity again.
“To change the direction of Petrobras’ resources, it is necessary to change the constitution. There is no time to formulate and approve a PEC now. The government will have to consult the jurists to confirm whether the state of calamity can guarantee the application of the subsidy policy”, said a source who goes to Brasília.
The subsidy paid directly to Petrobras was adopted in 2018 by the Temer government to stop the truck drivers’ strike that paralyzed the country. That year, the measure cost around R$ 10 billion to the public coffers. Now, the economic team wants to prevent this solution from being applied at all costs.
The lag in prices charged internally is already at 40%, according to experts in the oil and gas sector. If you have to buy more expensive abroad and sell cheaper here, companies can give up importing. The subsidy built into a measure with a pre-determined time and a lot of transparency can alleviate the pressure on prices.
“In a few months it will be possible to reassess the need to maintain the subsidy. Until then, the country needs to prevent this price shock from reaching the gas stations”, warned one of the experts who will be heard at the Planalto Palace.
Source: CNN Brasil
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