Officials admit a natural gas shortfall in Brazil

25/01/2006 - 14h55

Aécio Amado
Reporter Agência Brasil

Rio - The director of the Petroleum, Natural Gas and Biofuels Agency (Agência Nacional do Petróleo, Gás Natural e Biocombustíveis) (ANP), Victor Martins, speaking at a seminar at the Commercial Association of Rio de Janeiro this week, declared that there is a shortfall of natural gas for both the generation of energy and industrial use in the Northeast region, especially the state of Bahia, where the demand for more gas is "clear." Martins explained that ANP studies show that the shortfall will be worse beginning in 2010.

One solution would be to extend the Brazil-Bolivia gas pipeline to the Northeast. "There is time to do so before 2010, but the decision has to be made now," he declared.

Meanwhile, the association of gas distributors (Abegas) reports that there is a deficit of over 16 million cubic meters of natural gas daily in the Northeast.

Translation: Allen Bennett