São Paulo [Brazil], August 1 (ANI): The Brazilian government has announced a major policy shift aimed at reducing natural gas prices for domestic industry by over 50 per cent, driving a wave of re-industrialisation across key commercial sectors.
Speaking at an event on the restructuring of the Union’s natural gas marketing policy, Minister of Mines and Energy Alexandre Silveira outlined plans to bring gas prices down to around USD 5 per unit. The cost currently ranges between USD 12 and USD 14 in the South American nation. Brazil 247 reported this, citing Sputnik Brazil.
Silveira described the policy reform as a “historic milestone” designed to inject vital breathing room into local manufacturing, noting that domestic industrial gas costs are currently up to four times higher than in countries like the United States. High energy prices have previously forced several large industrial firms to scale back domestic operations or shift capital overseas, as reported by Brasil 247.
To drive down costs, the government plans to unlock the market by increasing transparency in sector auctions, expanding access to Petrobras-owned pipeline networks, and optimising offshore oil-well reinjection parameters. Regulators, including the National Agency of Petroleum, Natural Gas and Biofuels (ANP), will play an expanded role in ensuring fairer infrastructure pricing and market oversight.
In addition to industrial supply, the strategy touches on broader national energy priorities. Silveira advocated for eliminating energy subsidies, promoting sustainable domestic growth, and ensuring national sovereignty over critical minerals like rare earths and iron ore. Emphasising that foreign capital from nations such as the US, China, and Russia remains welcome, the minister affirmed that local value-addition must be prioritised over raw exports.
The policy reforms are expected to bolster critical sectors including steel, fertilisers, and petrochemicals, positioning energy accessibility as a cornerstone of Brazil’s long-term economic strategy. (ANI)
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