Brazil deregulates gas sector

Apr 20, 1998 02:00 AM

The Brazilian petroleum agency ANP (Agencia Nacional de Petroleo) issued 4 decrees liberating the imports of natural gas, the construction of gas pipelines (prior a monopoly of Petrobras), and defining the quality of the imported product and of the gas to be used as fuel.
It is expected the decree will trigger a wave of investments, to be monitored by ANP, that points to a fast increase on the natural gas consumption currently at only 17 mm cmpd.
The measure is the green light waited by the consortium British Gas and Pan American that won the tender to set up a pipeline connecting Buenos Aires (Argentina) and Montevideo (Uruguay) that would be extended to Southern Brazil. In addition, AES plans to set up a pipeline from Argentina to Rio Grande do Sul state (Brazil) with a capacity to pump 18 mm cm per day.

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