Brasília, 3/25/2004 (Agência Brasil) - The Northeast region of Brazil has the country's biggest problems with natural gas shortfalls, especially because it needs to fuel thermoelectric power plants. But now Brazil's state-run petroleum company, Petrobrás, says it is about to resolve the problem.

According to the company director of Gas and Energy, Ildo Luiz Sauer, funding totalling US$1.4 billion (R$4.2 billion) is available for the construction of pipelines. Construction awaits only approval by the Environmental Protection Agency (Ibama). "Our demand forecasts for the near future show that we will be unable to handle consumer needs with present infrastructure. With new pipelines we will be able to meet demand in the Northeast and contribute to a higher trade surplus by reducing imports from Bolivia," says Sauer.

At the moment, Brazil consumes 29 million cubic meters of natural gas daily. Out of that amount, 13 million cubic meters are imported from Bolivia. (translator: Allen Bennett)