LATIN AMERICA ADVISOR

Energy ADVISOR

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May 20, 2022

Are CEO Shakeups Hurting Business at Brazil’s Petrobras?

Brazil’s president last week tapped Caio Mario Paes de Andrade as CEO of state oil company Petrobras. He is the company’s fourth chief executive in two years. // File Photo: Brazilian Government.

Q

A

Anabel Teixeira, associate for Brazil and the Southern Cone at McLarty Associates: “President Bolsonaro has taken several controversial measures over the past year to contain the rapid rise in fuel prices, aggravated by the war in Ukraine. The backdrop to this is the upcoming election, in which the president trails his opponent, former President Lula, by a significant margin. Public pressure on Bolsonaro to contain rising prices, especially by truckers who comprise a significant component of his base, has been increasing. Andrade is the fourth Petrobras CEO in the position during Bolsonaro’s tenure, and his appointment followed Bolsonaro’s replacement of the well-regarded minister of mines and energy, Bento Albuquerque. These personnel moves have damaged the relationship between the executive branch and Petrobras leadership, with shares of the company dropping in reaction to political intervention in its management…”

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A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

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