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    Brazil ousts Petrobras CEO over fuel prices

Summary

Luna is leaving for the same reason as his predecessor.

by: NGW

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Brazil ousts Petrobras CEO over fuel prices

Brazil has removed Joaquim Silva e Luna as CEO of national oil company Petrobras less than a year after he was appointed in a spat over fuel prices.

Luna, a retired general aged 72, was appointed CEO in April last year, two months after Brazilian president Jair Bolsonaro fired former head Robert Castello Branco following a clash over the company's decision to raise fuel prices. Now Luna is departing for the same reason.

Petrobras bases its domestic fuel prices on international rates, which have soared as a result of a global energy crunch and in the wake of Russia's invasion of Ukraine. Bolsonaro has fought back against these price hikes, because of the impact on his already-waning popularity. The Brazilian leader faces re-election this October, and he is currently trailing in the polls.

While Bolsonaro has criticised Luna for Petrobras' market-based pricing, Brazil's energy ministry has proposed as his replacement a market-friendly oil sector consultant, Adriano Pires. Pires is one of the founders of the Brazilian Center for Infrastructure, and has served as an advisor to Brazil's National Agency for Petroleum, Natural Gas and Biofuels, and held other positions in government.