Onerous Assignment

In two turns, Senate approves PEC of Onerous Section

T&B Petroleum/Agência Brasil
04/09/2019 14:27
In two turns, Senate approves PEC of Onerous Section Imagem: Courtesy ANP Visualizações: 267 (0) (0) (0) (0)

The Senate approved last night (3), in two shifts, the Proposed Amendment to the Constitution (PEC) that guarantees the division of the pre-salt auction resources, the so-called onerous assignment with the states and municipalities. Approval was unanimous, with 74 votes in the first round and 69 in the second. No senator voted against the matter.

 

The government expects to raise $ 106 billion with auctions of pre-salt blocks of the continental shelf. Of this total, $ 36 billion will be used to pay a debt with Petrobras and the remaining money, $ 70 billion, will be divided among the three federative entities.

 

The approved text stipulated that 30% of the proceeds from auctions will be divided between states and municipalities, but voting at the session on Tuesday was only possible after an agreement between the government and producing states. In the agreement, the government pledged to give 3% of its share, which is 70% of the total collected from the auction, to producing states. Thus, the Union's share will be 67%, municipalities share 15% and states get 15%, with oil producing states taking an additional 3%.

 

The agreement immediately benefits Rio de Janeiro, as the next auction will be for blocks located in the state. The amendment was presented by the Rio Senate bench. Before the deal, the state would have $ 326 million. With the agreement, the Union will give up $ 2.1 billion, passing the value to producing states.

 

“In this way we do justice to the producing states in the matter of onerous assignment. We are not talking about the royaties, we are talking about these auctions that will happen from now on, so it is not only with Rio de Janeiro, any producing state will also have this 3% stake, ”said Senator Flávio Bolsonaro ( PSL-RJ). The Rio de Janeiro bench, formed by Romário (Somos), Arolde de Oliveira (PSD), and Bolsonaro, was the proponent of the agreement.

 

As the text of the PEC has changed, it goes back to the House to be voted again by the deputies.

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