The Federal Government has doubled the volume of resources to cushion the impact of rising fuel prices, injecting R$ 5.2 billion in one month to control the prices of gasoline, ethanol, and imported diesel.
Volatility in the international oil market, intensified by global conflicts that keep the Brent crude barrel above US$100, has forced the federal administration to redouble its consumer protection efforts.
In a new plan announced this Friday (9), the central administration detailed an injection that exceeds the previous package by R$ 2.65 billion, highlighting the urgency to shield the supply chain and mitigate inflationary pressures on energy and transportation.
The Minister of Planning and Budget, Bruno Moretti, presented the details of the operation, which combines tax relief with direct subsidies.
Of the total amount, R$ 3.6 billion will be specifically directed towards reducing taxes on gasoline and strengthening hydrated ethanol, while R$ 1.6 billion will focus on supplementing imported diesel.
The strategy relies on using extraordinary revenues obtained from crude oil exports to finance the maneuver, while preserving fiscal framework targets.
Tax Relief and Defense of Biofuels
For gasoline, the tax relief jumps from R$0.63 to R$0.89 per liter, with the temporary annulment of federal taxes such as PIS/Cofins and Cide Combustíveis.
The measure represents unprecedented relief for drivers, requiring a concentrated fiscal effort that will be formalized through a presidential decree published in the Official Gazette of the Union.
In the sustainable segment, hydrated ethanol receives support to maintain its competitiveness against fossil fuels.
The subsidy for the biofuel was increased from R$0.25 to R$0.43 per liter, injecting approximately R$800 million over thirty days.
Bruno Moretti emphasized fiscal responsibility for the initiative:
The measures are incorporated into the bimonthly report, therefore, all of them impact our primary result target, and we are taking the measure within the fiscal space we have.
Emergency Subsidy for Diesel
Given the risk of shortages and severe hikes in international derivative margins, the Ministry of Finance implemented an extra aid of R$1.40 per liter directed exclusively at imported diesel.
This aid is added to the current subsidy of R$1.20, totaling a concentrated effort of R$1.6 billion during the period to ensure the country’s logistical predictability.
The economic team’s central argument is that Brazil‘s status as a net exporter of crude oil generates extraordinary gains that should be returned to society.
The minister highlighted:
This war was not caused by the Brazilian population. Brazil is an oil exporter, collects more with volatile prices at higher levels, and our entire logic involves converting, transforming this extraordinary revenue into policies to protect the population.
The governmental actions are temporary and will be in effect for an initial period of thirty days, after which the behavior of the global energy market will be reassessed.
In parallel, the Executive Branch has engaged control bodies to inspect retail stations, ensuring that tax waivers and subsidies funded by public resources effectively reach the final consumer at the pump.
