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Member Country Profile - Brazil

Country: Brazil
Organisation: National Agency of Oil, Gas and Biofuels (ANP)
Regime Scope: Regulatory body for the activities related to the oil, gas and biofuels industry (upstream and downstream).
Administering Agency /Arrangements: Anp is vinculated to the Ministry of Mines and Energy, being the federal agency responsible for implementing the national policy for the energy sector, according to the Petroleum Law (Law No 9,478/1,997).
Legislation Type: The ANP is led by a director board, composed by five directors (one general and four technical) with a four-year term each one. Deliberative sessions take place weekly in order to issue instructions, rules and resolutions to the industry and to solve conflicts between economic agents and consumers. Acts that may impact industry are submitted to public hearings.
Extent Of Government Approval: - Promotion of geological and geophysical studies to identify potential basins for hydrocarbon production. ANP organizes and maintains the technical data on a database;
- ANP performs biddings rounds for exploration, development and production of hydrocarbon areas, signs the concession contracts on behalf of the Union and supervises the execution of the contracts;
- Calculations of the amount of royalties and other tributes owed to the States and the Union;
- Authorizations and supervisions of the activities of refining, processing, transportation and the import and export of oil and gas;
- Authorizations and supervisions of the activities of production, storage, import and export of biodiesel;
- Authorizations and supervisions
Nature Of Duties Imposed: - Constitution of the Federative Republic of Brazil, Article 177;
- Law 9,478/1,997, which instructs the national energy policy, activities related to the oil monopoly, creates the National Energy Policy Council (CNPE) and ANP;
- 9,847/1,999 Law, which instructs the fiscalization of the activities related to national fuel supply;
- Decree No 2,455/1,998, which establishes the ANP;
- Decree No 2,705/1,998, which defines criteria for calculation and collection of royalties and special shares
- Law 11,097/2,005, which introduces biodiesel in the national energy matrix;
- Resolutions of the CNPE.
Physical Objects In The Regime: - Oil, gas, fuels and biofuels pipelines: around 16,000km;
- Refineries: 14 facilities;
- Onshore and offshore fields: 131 units;
- Onshore and offshore drilling facilities: 65 units;
- Biodiesel plants: 64 units;
- Lubricants producers, collectors, rerefiners and importers: 400 companies;
- Oil and derivatives import and export traders: 222 companies;
- Aviation kerosene distributors and resalers: 81 companies;
- Asphalt distributors: 27 companies;
- Fuel, biofuel, solvent and LPG distribution bases: 319 facilities;
- Fuel and biofuel transporting, distribution and retail facilities: 460 units;
- Fuel and LPG resale stores: over 72,000 units.
Assurance Mechanisms: - Government inspectorate. Audits, inspections, monitoring and fiscalization;
- Offices located in Rio de Janeiro (central office), São Paulo (2 units), Salvador (1 unit) and Brasilia (headquarter);
- Agreement with the Brazilian Navy for joint operation on safety issues;
- Agreement with State Fire Brigades and Finance Secretaries to support downstream fiscalization;
- Contracts with Federal Universities and other research institutes to support fuels and biofuels quality analysis.
Financial Basis: - Funds in the Union Budget, dependent of the approval of Congress;
- Concession Contract Signing Bonuses (paid by companies that obtain concession areas) and revenue taxes,
- Resources from agreements and donations;
- Fees and fines;
- Trading of geological and geophysical data from the National Database of Exploration and Production (BDEP);
- Occupation/retention of areas tax;
Profile Author: Raphael Moura
Chief of Safety Division
Profile Date: 26 February 2009



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