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Is Brazil’s new natural gas law a step forward?

Overview

Brazil’s Congress in December 2008 passed a long-awaited natural gas law to encourage more private investment and diminish the country’s reliance on main supplier Bolivia for nearly half of its gas supply needs. Some welcome changes include a new public tender process for pipeline construction projects and increased regulatory clarity to allow industrial firms, such as iron ore giant Vale, to produce and transport natural gas for private consumption.

Unfortunately, the...

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