The mayor, Rodrigo Maia (DEM-RJ), can approve provisional measure extending up to 2040, the Repetro, a differentiated customs regime for the oil and natural gas sector. According to Pedro Kinsman, president of Petrobras, Maia is committed to approving the matter on emergency arrangements and the measure should go to the vote by next week.
The proposal for extension of the Repetro loses its validity on 15 December, if it does not pass through the plenary sessions of the Chamber and the Federal Senate. The provisional measure was one of the factors that resulted in the success of the last auctions of oil exploration areas this year, attracting billions of reais to the Union, so, second relative, it is crucial that parliamentarians maintain their commitment by approving the Measure within the deadline.
Repetro is a regime that allows the suspension of the payment of federal taxes on the import and export of goods destined for research and mining activities of oil and natural gas deposits. Previously foreseen to end in 2019, the expectation is that with continuity for longer, the offshore sector activities in the country are more fostered, since the tax collection represents about 50% of the value of investments in the area.
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