Brazil's Natural Gas Challenge

Overview

Energy shortages are perhaps the single greatest threat to the sustainability of Brazil’s improving economic growth. And the key to avoiding electricity rationing and outages is ensuring adequate supplies of natural gas to thermal generating stations. In an effort to accommodate double-digit gas demand growth since 2000, Petrobras signed an agreement in May 2007 with the national electricity regulator guaranteeing natural gas supplies for the nation's thermoelectric power plants....