The economic team announced this Friday (9) that it will expand federal tax relief on gasoline and increase subsidies for ethanol and imported diesel.
The measures take place 16 days before the second round of elections and involve estimated costs of R$5.2 billion in 30 days.
With the decision, the tax reduction on gasoline goes from R$0.63 to R$0.89 per liter, zeroing the PIS/Pasep, Cofins and Cide-Combustíveis rates. The measure is valid for 30 days, with the possibility of review or extension.
In addition to gasoline, the package includes the maintenance of benefits for hydrated ethanol and the reinforcement of subsidies for imported diesel.
Check out the main changes:
Gasoline: tax reduction of R$0.89 per liter, with an estimated cost of R$2.4 billion per month;
Ethanol: maintenance of the exemption of R$ 0.19 per liter;
Ethanol producers: subsidy increased from R$0.25 to R$0.43 per liter;
Imported diesel: additional subsidy of R$1.40 per liter, in addition to the R$2.12 already foreseen.
The estimated impact of the measures for gasoline and ethanol is R$3.6 billion in 2026. The reinforcement of the subsidy for imported diesel will cost around R$1.6 billion over a 30-day period.
At the same time, the government opened an extraordinary credit of R$7.52 billion for the Ministry of Mines and Energy, through Provisional Measure 1,395, published this Friday in the Official Gazette of the Union.
The resources will be allocated to economic subsidy programs for the production and import of fuels.
Of the total, R$6.17 billion will be allocated to diesel for road use, while R$1.35 billion will finance actions related to other petroleum derivatives. The resources, however, cover current subsidies.
Oil on the rise
The Minister of Planning, Bruno Moretti, justified the measures by the continued rise in international oil prices and the effects of the conflict in the Middle East on the fuel market.
“For this reason, then, we are zeroing out federal taxation, PIS/Cofins and Cide on gasoline for a period of one month so that we can reevaluate the conditions.”
According to the minister, a Brent barrel exceeded US$100, compared to approximately US$70 before the conflict. International refining margins also increased, putting pressure on derivative prices.
The Minister of Finance, Dario Durigan, stated that the government intends to use the increase in revenue from oil revenues to reduce the effects of rising fuel prices on the population.
“We are reinforcing the line of using the resources that we have seen from increased revenue to protect the Brazilian population”, declared Durigan.
Tax compensation
According to the Ministry of Planning, the waivers related to gasoline and ethanol will be compensated with extraordinary oil revenues from the Union, with the aim of guaranteeing fiscal neutrality.
In a note, the ministry informed that the measures are temporary, valid only for 2026 and may be revised according to the economic situation and budgetary and financial availability.
