Brazil’s antitrust watchdog to investigate Petrobras

petrobras antitrust
Photo: Paralaxis/Shutterstock

State-controlled oil and gas giant Petrobras is facing two antitrust investigations into allegations that its pricing policy is abusive. The probes were opened on January 12. Just yesterday, Mines and Energy Minister Bento Albuquerque called for an investigation into the company’s role in its de facto monopoly over oil refining.

Brazil’s antitrust watchdog Cade will scrutinize the company’s pricing policy to check for anticompetitive practices. The company issued a statement claiming it follows the dynamics of the commodities market — and that it doesn’t pass all of the international price hikes on to fuel distributors.

Since 2016, Petrobras has pegged its prices to international oil rates, which has contributed to 49 percent fuel inflation over the last 12 months.