Good morning! Clock still ticking on Eletrobras privatization, while Senate takes an important step. Lawmakers fiddle with misconduct in office rules. And Brazil’s latest right-wing documentary praises agricultural expansion.
Eletrobras privatization advances, but race for approval continues
In a 42-37 vote, the Senate passed the provisional decree allowing for the privatization of state-owned energy firm Eletrobras. According to the proposal, the company would issue new shares to dilute the government’s stake and relinquish its role as controlling shareholder. The state would retain a so-called ‘golden share,’ however, giving it veto powers on strategic matters.
Yes, but … The legislative process is not over. Senators made changes to the draft previously approved by the House, meaning representatives will need to give their final approval. Speaker Arthur Lira scheduled a vote for Monday, before the decree expires on Tuesday.
Why it matters. The government believes the privatization of Eletrobras could raise up to BRL 60 billion (USD 12 billion), BRL 25.5 billion of which would go directly to the public purse.
- Getting the deal off the ground would also be a massive political win for the Bolsonaro administration. In January, the then-CEO of Eletrobras resigned due to what he described...