November 28, 2021

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The Chamber approves the approval of the Representative on the direct sale of ethanol to service stations - 11/25/2021 - The Market

The Chamber approves the approval of the Representative on the direct sale of ethanol to service stations – 11/25/2021 – The Market

a Parliament Thursday (25th) approved a temporary measure changing the form of Ethanol trading in gas stations. Under the proposal, producers or importers will be able to sell the product directly to service stations, without the mediation of distributors, something that was mandatory before.

Highlight given by PT With the support of the majority of the plenary session, he removed one of the main items from the proposal, allowing functionality Reselling fuel to more than one brand.

According to Deputy Carlos Zarateni (PT-SP), author of the request to cancel this article, the proposal may deceive consumers.

“This action will harm fuel consumers, who will be attracted to the station because of a famous brand and buy from any distributor. Lowering fuel prices is very important to the consumer, but there is no evidence that the proposal will achieve that goal and, contrary to what is expected, it will be harmful to the consumer who may be deceived “.

The government has estimated that this measure could reduce the price of gasoline by as much as R$0.50 per liter, as a result. From the growing competition. At a public consultation on the topic in May, the ANP (National Agency for Petroleum, Natural Gas and Biofuels) argued that brand loyalty to gasoline would become a consumer choice rather than a regulatory obligation that now gives the agency the task of overseeing contracts for individuals in their personal capacity.

The text goes to Federal SenateIt must be voted on by December 9, when the MP’s term expires.

This measure also changes the pool of contributions to PIS/Pasep and Cofins (Contribution to Social Security Funding) on ​​the sale of imported anhydrous alcohol for addition to gasoline, when the distributor is also imported.

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The Rapporteur of the text, Representative Augusto Coutinho (Solidariedade-PE), made further changes to the proposal. Someone authorizes the retail resale of gasoline and hydro ethanol outside the authorized establishment, without geographic or land restrictions. For this, regulation by the ANP will be necessary.

The final version also included the expectation that it would not be necessary for the company to establish links with other agents in the biofuel industry in order to obtain permission to buy and sell ethanol.

On the other hand, Coutinho changed the law criminalizing crimes against the economic system so that the crime of using liquefied petroleum gas is limited to automobile purposes only. Currently, it is prohibited for use in engines of any kind, saunas, boilers and pool heating, or for automotive purposes.

The government amended the MP with the aim of trying to increase competition in the fuel market.

The promise of gains from the changes is questioned by the fuel market and potential harms to the consumer have been challenged by Procons at a public consultation by the ANP to discuss the changes.

Distributors and defense of competition are especially interested in the possibility of selling fuel from other brands at service stations. For consumer protection agencies, the action violates legal provisions that guarantee the right to obtain clear, accurate and sufficient information.