The Brazilian Ministry of Mines and Energy plans to issue a programme for overhauling the domestic gas sector by June 2019. It will be referred to as the “New Gas Market” and will be treated separately from the “Gas for Growth” scheme that was pursued under the previous administration. The main purpose of the reform will be to introduce free market policies across the Brazilian gas sector and to reduce the cost of gas by an estimated 50%. In particular, it will be looking forward to ending monopolies of regional state-owned gas distributors
In January 2019, the Brazilian oil and gas regulator ANP proposed to significantly reduce Brazilian state-controlled Petrobras' role in the natural gas market and in particular in the distribution market. The company's decision to sell assets in gas distribution has created a momentum paving the way for the introduction of competition. It also proposed that the LNG regasification terminals be declared essential infrastructure, which would guarantee third-party access to the terminals if there is unused capacity.
In December 2017, the Ministry of Mines and Energy under the previous administration issued a decree aimed at gradually phasing out electricity subsidies for rural users (including electricity consumers for irrigation purposes) over a 5-year period. The new administration will maintain this subsidy-removing policy.
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