The legal instability caused by the excessive use of provisional measures undermines long-term investments and affects the credibility of the business environment in Brazil.
Respect for constitutional rules and the preservation of legal certainty are essential pillars to ensure the attractiveness of the Brazilian market. The recurrent application of unilateral government acts puts investor confidence at risk in strategic sectors.
The criticism reflects concern over recent federal government decisions that alter consolidated rules, impacting everything from the energy sector to fixed-odds betting segments. Regulatory predictability is pointed out as a decisive factor for the country’s economic sustainability.
During an analysis of the national regulatory scenario, experts warn that sudden changes through exceptional instruments violate the principle of legitimate expectation protection. This volatility directly affects ventures that require high capital investments.
Impacts on the oil and energy industry
The energy sector, fundamental to driving the energy transition and ensuring supply security, requires stable regulatory frameworks. Sudden tax changes generate uncertainties that go beyond the immediate operational environment and drive away major international investors.
A central point of this discussion involves the application of Provisional Measure No. 1,340/2026, which established a 12% tax rate on crude oil exports. The measure, aimed primarily at fiscal revenue collection, deviates from the original purpose of the tax in foreign trade.
The breach of legitimate trust in investments
The use of extraordinary instruments to reverse decisions previously debated by the National Congress weakens the regulatory environment. This movement was observed both in the BET industry and in the taxation of the hydrocarbon chain.
When the State authorizes an activity and encourages billion-dollar investments only to severely alter the rules in force afterward, it creates a dangerous precedent for any productive segment.
The law loses its authority when it ceases to be the common measure and becomes merely the name given to the will of those who govern.
Attorney Alexandre Calmon, partner at the law firm Cosro – Costa Rodrigues Advogados, highlights that strict compliance with the 1988 Constitution is the only guarantee that contracts and rights will be preserved in the long term.
The role of institutions in attracting capital
For Brazil to maintain its capacity to attract capital and foster energy projects, the actions of the Executive Branch must align with due legislative process. Provisional measures must be restricted to cases of genuine urgency and constitutional relevance.
Overcoming this scenario requires strengthening control mechanisms and the firm action of the Judiciary Branch to ensure the stability of norms and the consolidation of a mature business environment.
The preservation of the legal framework is essential to ensure the continuity of investments in the country. The consolidation of a predictable environment will strengthen national competitiveness in the coming years.
Without continuous respect for constitutional guarantees, the country risks compromising its international image and halting the development of key sectors for the global economy.
