The Brazilian state oil company Petrobras announced strong increases in gasoline and diesel for the crisis in Ukraine, ignoring President Jair Bolsonaro’s criticism of what he considers excessive prices.
Hours later, the Senate approved a project precisely to contain fuel prices with a “stabilization fund”, as well as an aid plan.
Petrobras said in a statement that it will raise the price of gasoline at its refineries in 18.8% and diesel by 24.9% as of today in the face of the “global increase in oil prices and its derivatives as a result of the war between Russia and Ukraine”.
The company pointed out that the measure is in line with increases from other fuel providers and emphasized that it had not raised prices in almost two months despite the increases registered in the international market in recent weeks.
The shares of the oil company on the São Paulo Stock Exchange rose 4% on Thursday, hours after the increases were announced, while in some capitals, such as Brasilia and São Paulo itself, many drivers lined up in front of gas stations to fill up on fuel before the increase was reflected in the pumps.
Pulse with Bolsonaro
Bolsonaro regularly criticizes Petrobras for its pricing policy. On Monday he said the company’s parity with international prices “cannot continue” and is pushing for Congress to pass legislation to lower prices.
The Senate approved, by a vote of 61 to 8, the creation of a “price stabilization” fund financed in part by dividends from the company to payments to the State. The proposal tries to reduce the volatility in fuel prices and introduces a “gasoline aid” of up to 300 reais -about 60 dollars- per month for low-income self-employed drivers. The bill will now go to the Chamber of Deputies.
The Brazilian state oil company Petrobras announced strong increases in gasoline and diesel for the crisis in Ukraine, ignoring President Jair Bolsonaro’s criticism of what he considers excessive prices.
Hours later, the Senate approved a project precisely to contain fuel prices with a “stabilization fund”, as well as an aid plan.
Petrobras said in a statement that it will raise the price of gasoline at its refineries in 18.8% and diesel by 24.9% as of today in the face of the “global increase in oil prices and its derivatives as a result of the war between Russia and Ukraine”.
The company pointed out that the measure is in line with increases from other fuel providers and emphasized that it had not raised prices in almost two months despite the increases registered in the international market in recent weeks.
The shares of the oil company on the São Paulo Stock Exchange rose 4% on Thursday, hours after the increases were announced, while in some capitals, such as Brasilia and São Paulo itself, many drivers lined up in front of gas stations to fill up on fuel before the increase was reflected in the pumps.
Pulse with Bolsonaro
Bolsonaro regularly criticizes Petrobras for its pricing policy. On Monday he said the company’s parity with international prices “cannot continue” and is pushing for Congress to pass legislation to lower prices.
The Senate approved, by a vote of 61 to 8, the creation of a “price stabilization” fund financed in part by dividends from the company to payments to the State. The proposal tries to reduce the volatility in fuel prices and introduces a “gasoline aid” of up to 300 reais -about 60 dollars- per month for low-income self-employed drivers. The bill will now go to the Chamber of Deputies.
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