Fuel price must have ‘cushioning cushion’, says quote for Lula’s minister

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Senator Jean Paul Prates (PT-RN), one of the coordinators of the transition government’s technical group for Mines and Energy, defended this Thursday (24) the creation of a mechanism that serves as a “cushioning cushion” for fluctuations of fuel prices.

The parliamentarian also said that the technical group will have a meeting with the board of Petrobras this Friday (25th) and that it will be asked that the company’s strategic processes, such as the sale of assets, be suspended during the current government. A similar request has already been made to the current Minister of Mines and Energy, Adolfo Sachsida.

The current minister stated that processes considered strategic would not be initiated at the end of the Jair Bolsonaro administration.

Jean Paul Prates is responsible for dealing with oil, gas and fuel issues in the Mines and Energy technical group. Upon arriving for meetings this Thursday (24) at the Centro Cultura Banco do Brasil, headquarters of the transitional government, the senator was asked about changes in Petrobras’ fuel price policy.

Prates ruled out any more significant intervention in prices, citing the freeze as an example. He also said that Petrobras’ pricing policy should not be confused with that of the federal government, which should be strategic for the country.

“We’re going to try to work towards it [redução dos preços dos combustíveis]🇧🇷 Now remembering that this price policy is not Petrobras’, this pricing policy is the government’s. So let’s start to sort things out. Petrobras is going to start making its price policy, its customers, the volume, the quality of customers, in short, like any company sells”, he said.

“Who is going to give the price policy in general for Brazil, if somehow there is going to be a cushion, stabilization account, reference price etc., without absolutely talking about freezing, no strong act in this sense of intervention is the government Brazilian. So government is one thing and Petrobras is another,” he added.

The senator is one of the advocates of some mechanism to avoid the impact of more abrupt fluctuations in fuel prices and foreign currency. He was the rapporteur of a proposal approved in the Senate and included in the text the creation of a stabilization account, whose resources would be used to cushion the impact of variations.

This account could be filled with resources from Petrobras’ dividends, the Union’s participation in shares and concessions, among others. The proposal did not advance in the Chamber of Deputies

Jean Paul also said that he will hold a virtual meeting with the board of Petrobras this Friday (25) and that another, in person, is scheduled for early December. The parliamentarian said that he will ask that strategic processes be stopped during the last days of the current government, such as the sale of assets.

This week, the technical group that integrates also defended that the command of Petrobras is “aligned” with the new government. The speeches of the transition technical group resulted in a drop in the value of the company’s shares.

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