.. It is unacceptable that at a time when Brazil is undergoing a serious crisis that affects all sectors of activity that Petrobras adopts a pricing policy that only benefits its private shareholders, which holds more than 60% of Petrobras' capital, of which 30 % foreign. It is necessary to ensure that Petrobras' top priority is to serve national interests and not only the remuneration of its shareholders and creditors.

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DEVASTATED AND DEGOVERNED BRAZIL
Fernando Alcoforado *
The "agreement" between the federal government and the "representatives" of the
truck´s drivers announced yesterday failed completely because continues the movement
of interruption of cargo transportation in the country started several days ago. The
agreement is quotation marks because it did not really meet the demand of the truck’s
drivers and the representatives are quotation marks because the person who signed the
"agreement" does not really represent the interests of the truck´s drivers. The so-called
"agreement" consisted, in summary, of the following:
 The price of diesel will be reduced by 10% and will be fixed for 30 days. The
amount will be fixed at R$ 2.10 in the refineries for the period.
 The costs of the first fortnight with the reduction, estimated at R$ 350 million, will
be assumed by Petrobras. The expenses of the remaining 15 days will be with the
Union as compensation for the oil company.
 Every 30 days, the fuel price will be adjusted according to Petrobras' pricing policy
and set for another month.
 There will be no reonaration of payroll of the cargo sector.
 The freight table will be reissued every three months.
 Judicial actions against the movement will be extinguished.
 Fines applied to truck drivers as a result of the stoppage will be negotiated.
 Entities of truck drivers and government will have regular meetings.
 Petrobras will hire freelance truck drivers as outsourced to provide services.
The proposal of the "agreement" was signed by the National Confederation of
Independent Carriers (CNTA), National Transportation Confederation (CNT),
Federation of Freight Carriers in General of the State of São Paulo (Fetrabens), Union
of Freight Carriers of the Federal District (Sindicam-DF), National Union of Storks
(Sinaceg), Interstate Federation of Autonomous Freight Transport and Goods of the
Northeast Region (Fecone), Federation of Freight Forwarders of the State of Minas
Gerais (Fetramig) and Federation of Freight Forwarders of Espírito Santo (Fetac-EC).
The only representative body of the truck drivers who did not sign was the National
Union of Truck Drivers.
The so-called "agreement" did not meet the truckers' claims agenda because it did not
solve two of the main problems that contribute to the rise in the prices of petroleum-
based fuels, which are, on the one hand, the incident taxes (Cide, PIS / Cofins and
ICMS) and, on the other, the prices of fuels practiced by Petrobras, which vary
according to the international oil market. This is the reason why the truck drivers
continue the interruption of cargo transportation in the country. Despite the agreement,
truck drivers held protests in 23 states and the Federal District because their main
claims were not met.
It should be noted that it is legitimate the interruption of cargo transportation in the
country by truck drivers that began from the real discontent of drivers who own their
vehicles and render services facing the diesel increases with Petrobras' price policy that
fluctuates according to the international price of petroleum products. This leads to
increases in the cost of freight and reduces the margin obtained by the truck driver. The

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Michel Temer government, however, cannot be accused of being surprised. It received
warnings from representative entities about the possibility of the outbreak of
interruption. But he chose to ignore it.
It should be noted that the federal government collects taxes on Cide and PIS / Cofins
that totals 10%, while state governments collect taxes on ICMS that total 31% in the
case of gasoline, 18% in diesel S500 and 17% in diesel S10. The impact of total taxes
on final fuel prices is therefore high, reaching 41% on gasoline, 28% on diesel S500 and
27% on diesel S10. There could hardly be a reduction of federal and state taxes in a very
severe fiscal crisis of the federal and state governments that operate in almost totality
with gigantic deficits.
Faced with the difficulty of reducing federal and state taxes, the federal government
should require Petrobras to adopt a pricing policy that made compatible the interests of
the country and its domestic and foreign private shareholders.. It is unacceptable that at
a time when Brazil is undergoing a serious crisis that affects all sectors of activity that
Petrobras adopts a pricing policy that only benefits its private shareholders, which holds
more than 60% of Petrobras' capital, of which 30 % foreign. It is necessary to ensure
that Petrobras' top priority is to serve national interests and not only the remuneration of
its shareholders and creditors.
Petrobras is a mixed capital company whose command is indicated by the federal
government. Petrobras should not only produce gains for its domestic and foreign
private shareholders, but also contribute to the development of the Brazilian economy
and implement social development policies. Therefore, a balance is needed between
what your private shareholders want and the quality of life in the country. One fact is
clear: although privatization of Petrobras has not been formalized, it already exists in
practice. Petrobras is in the service of its private shareholders.
Instead of solving the problem by making the pricing policy practiced by Petrobras
correspond to the interests of Brazil, President Michel Temer has decided to repress the
truck drivers movement with the use of the Armed Forces whose consequences are
unpredictable. We are faced with the possibility of a bloodbath that can lead the country
to institutional political backtracking. The conflict among truck drivers and the
government could pave the way for the implementation of an exception regime in
Brazil. The fragile Brazilian democracy is threatened by the repression against the truck
drivers put into practice by the government Michel Temer.
* Fernando Alcoforado, 78, member of the Bahia Academy of Education, engineer and doctor in
Territorial Planning and Regional Development by the University of Barcelona, university professor and
consultant in the areas of strategic planning, business planning, regional planning and planning of energy
systems, is the author of 13 books addressing issues such as Globalization and Development, Brazilian
Economy, Global Warming and Climate Change, The Factors that Condition Economic and Social
Development, Energy in the world and The Great Scientific, Economic, and Social Revolutions that
Changed the World.