São Paulo - Consumption of natural gas rose 26.2% in Brazil in the first semester. In June, 37.2 million cubic meters were consumed, a 3.9% increase compared with May. According to the Brazilian Association of Piped Gas Distributors (Abegás), the demand in June was greater in all regions of the country and all consumer segments.

The positive result was due to the increased output of thermoelectric power plants (which consume natural gas) in the Northeast, despite the rains that have affected the region in recent months; low temperatures in the South and Southeast regions; and increased industrial consumption, reflecting the economic recovery.

In comparison with May, the drop in temperature raised commercial consumption by 21.6% and residential consumption by 41.1%. The industrial sector consumed 1.4% more in June, and automotive consumption rose 2.5%.

According to the assessment made by the Executive Secretary of the Abegás, Derly de Oliveira Bittencourt, the figures show that the piped natural gas industry has been registering substantial growth in recent years and the energy matrix has been changing.

At the 5th Energy Business Encounter, yesterday (11), in the capital of São Paulo, entrepreneurs and representatives of the sector discussed the potential of natural gas as a cheaper and cleaner energy source. Bittencourt used the occasion to reiterate the need to create the so-called "gas law" as a parameter to regulate taxation, distribution, gas transport, and the final cost to consumers.

Agência Brasil
Reporter: Arthur Braga
Translator: David Silberstein
08/12/2004