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The subsidy of R$0.44 per liter of gasoline is expected to cost around R$1.2 billion per month to the public coffers, with an initial duration of two months. Thus, the initial cost forecast is R$2.4 billion, without considering a possible extension of the measure.
According to the government, the expense will be offset by the increase in revenue generated by the surge in oil prices on the international market, but the use of this revenue still depends on authorization from the National Congress.
President Luiz Inácio Lula da Silva published the decree establishing the subsidy on Monday night (25), in an extra edition of the DOU (Official Gazette of the Union). The measure comes amid the rise in fuel prices caused by the war in the Middle East.
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The subsidy will be paid directly to producers and importers, through the ANP (National Agency for Petroleum, Natural Gas and Biofuels).
The decree also provides for a new subsidy for diesel, of up to R$0.3515 per liter. In gasoline, the authorized limit for the subsidy is up to R$0.89 per liter, an amount equivalent to the total federal taxes charged on the fuel. The subsidy defined by the government therefore represents around half of this charge.
Toque agora.
*Under the supervision of Fabricio Julião
Source: CNN
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