Main highlighted news in the oil and gas sector

ANP Approves First Authorization for Bio‑GL

On January 26, 2026, the ANP granted Authorization No. 62/2026 to Refinaria de Petróleo Riograndense (RPR), marking the first authorization in Brazil for the production and commercialization of renewable liquefied gas (Bio‑GL). Bio‑GL, equivalent to liquefied petroleum gas (LPG), is produced from feedstock composed 100% of vegetable oil.

Tests conducted by RPR demonstrated results within the regulatory limits applicable to conventional LPG with respect to power, consumption, energy efficiency and carbon monoxide emissions. As a result, Bio‑GL may be used as a drop‑in fuel, without the need for any modification to end‑use equipment.

Finally, the Board Decision No. 65/2026, which approved RPR’s authorization, noted that such authorization will be granted in alignment with ANP Resolution No. 825/2020 (LPG specifications) until the publication of a specific regulation governing the specification of the product, considering that BioGL is equivalent to LPG, including for commercialization within Brazil.

MME publishes ordinance adjusting the guidelines and systematics for conducting the LRCAP 2026

On January 26, 2026, the Ministry of Mines and Energy (MME) published Ordinance No. 125/2026, introducing relevant amendments to Ordinance No. 118/2025, which establishes the guidelines and systematics for the 2026 Capacity Reserve Auction in the form of Power (LRCAP 2026), aimed at contracting firm power from natural gas fired thermoelectric plants (new and existing), coalfired thermoelectric plants (existing), and expansion projects of hydroelectric plants.‑gas‑fired thermoelectric plants (new and existing), coal‑fired thermoelectric plants (existing), and expansion projects of hydroelectric plants.

Among the main changes, the new ordinance reduced the requirement for contracting firm natural gas transportation for power plants connected to the Natural Gas Transportation System (STGN), which must now submit a commitment letter ensuring at least 70% of continuous operation at maximum capacity (article 13, §1). The ordinance also softened the obligation to contract entry capacity, allowing enterprises, in the absence of compatible products, to contract only exit capacity for the longest term approved by ANP, replacing the previous rule that required simultaneous contracting of both entry and exit capacities.

 The auction remains scheduled for March 18, 2026.

ANP publishes report on compliance with RenovaBio targets

On January 30, 2026, the ANP released information regarding compliance with the compulsory individual greenhouse gas emissions reduction targets established under RenovaBio. The target set by the CNPE for 2025 was 40.39 million CBIOs, of which 40.06 million CBIOs were retired, which amounts to  99% compliance. This reflects an overall increase in compliance when compared to last year.

The individual targets of fuel distributors, already adjusted due to injunctions and changes in abatements applied to long‑term contracts, totaled 45.28 million CBIOs, of which 88.20% were actually retired.

Of the 163 fuel distributors that had targets established for 2025, 122 fully complied, including six with previous years targets still under judice. Another eight distributors retired CBIOs in amounts equal to or greater than 85% of their target, all of them with the previous year’s target accomplished, according to art. 7, §4 of Law No. 13,576/2017, which allows up to 15% of the previous year’s target to be met in the subsequent year). Finally, 33 distributors failed to meet their targets and are subject to administrative sanctions.

STJ suspends injunctions against RenovaBio

On February 3, 2026, Justice Luis Felipe Salomão of the Superior Court of Justice (STJ) suspended six federal court injunctions that determined the suspension of   CBIO payments and challenged provisions of RenovaBio. The program aims to reduce greenhouse gas emissions in the transportation sector and incentivize biofuel production, having been established by Law No. 13,576/2017.

The injunctions authorized small and mediumsized distributors to suspend CBIO payments, alleging that they were required to purchase CBIOs in quantities exceeding the volume of emissions generated by their activities. This suspension could happen through judicial deposits of the companies, which were converted into CBIOs and used to accomplish individual targets. However, the injunctions set CBIO prices below the value practiced in the market.

In his decision, Justice Salomão emphasized that allowing unilateral judicial deposits in substitution for compulsory decarbonization targets undermines the uniform application of public policy and poses a concrete and immediate risk of serious harm to administrative order and public finances, characterizing judicial interference that weakens the normative authority of competent regulatory bodies.

Chamber of Deputies approves urgency of REDATA and amendments allow the use of Natural Gas and Biomethane in datacenters

On February 10, 2026, the plenary of the Chamber of Deputies approved the request for urgency for Bill No. 278/2026, which establishes the Special Taxation Regime for datacenter Services (REDATA). The Bill is identical to Provisional Presidential Decree No. 1318/2025, which is set to lapse on February 25, 2026.

The Bill establishes a set of measures intended to encourage the installation, expansion, and modernization of datacenters in the country, through a differentiated tax regime. The Bill also establishes countermeasures such as the requirement to use energy from clean or renewable sources, the adoption of water efficiency standards, and investments in research, development, and innovation (R&D).

In the Bill´s original text, only those datacenters that meet the entirety of their electricity demand through supply contracts or self-production derived from clean or renewable energy sources would be contemplated by those tax benefits. However, Amendment No. 11, authored by Representative Júlio Lopes (PP‑RJ), and Amendment No. 12, authored by Representative João Carlos Bacelar (PL‑BA), seek to include natural gas, biomethane, and nuclear energy as alternative sources for the incentivized projects under REDATA.

With the approval of the urgency regime, the Bill may be voted directly in the plenary of the Chamber of Deputies, as discussions by the thematic committees are no longer required.

Gas Release enters the agenda of the Economic Development Committee of the Chamber of Deputies

Bill No. 5802/2025, authored by Representative Kim Kataguiri (União‑SP), establishes the Gas Release program, which consists of the reduction of the concentration of the natural gas market. The purpose of the Bill is to establish transitional rules while the ANP has not yet issued regulation on the matter, as provided for in Article 33 of the New Gas Law (Law No. 14,134/21) and in the Regulatory Agenda of the Agency since 2023.

In December 2025, the Bill was forwarded by the Executive Board of the Chamber of Deputies to the Committees on Economic Development (CDE), Mines and Energy, Finance and Taxation, and Constitution, Justice and Citizenship.

After the CDE received the Bill on February 11, Representative Arnaldo Jardim (CIDADANIASP) was designated as rapporteur in the committee. Subsequently, the period for receiving amendments to the project was opened for the next five sessions of the CDE. To date, no amendments have been submitted to the Bill.

“Gás do Povo” Program moves to presidential sanction

On February 3, 2026, the Senate approved the Provisional Presidential Decree No. 1,313/2025, converted into a Bill of Law (PLV), establishing the Gás do Povo Program. The program guarantees free refilling of LPG cylinders at ANP‑accredited retailers for 15 million families enrolled in the CadÚnico with per‑capita income of up to half the minimum wage.

In addition to the social program, the PLV introduces regulatory changes, such as the creation of the “Selo Gás Legal”, intended for LPG retailers and distributors that adopt enhanced transparency, safety and compliance practices, functioning as an informational and reputational certification.

New legal provisions were also established for the commercialization of filled LPG cylinders. If sanctioned, LPG must be sold exclusively in transportable cylinders bearing a commercial brand, properly filled and sealed, with tamper evident mechanisms and clear labeling indicating net quantity and the company authorized by ANP.

Furthermore, companies contracted by the federal government for oil and gas exploration and production activities may allocate resources to actions under the National Program for Access to Clean Cooking, such as the provision of equipment, low emission technologies, and development of domestic solutions, with such contributions counting toward compliance with contractual obligations for Research, Development and Innovation (R&D).‑emission technologies, and development of domestic solutions, with such contributions counting toward compliance with contractual obligations for Research, Development and Innovation (R&D).

The PLV was received by the Ministry of the Civil House on February 6, 2026, triggering the constitutional 15‑business‑day period for presidential sanction or veto.

MMA e MME issue an unprecedented joint environmental feasibility statement for a continuous area

On February 11, 2026, the Ministry of the Environment (MMA) and the Ministry of Mines and Energy (MME) signed Joint Statement No. 001/2026, confirming, for the first time, the environmental feasibility of including a continuous area in the Permanent Offer cycle, covering exploratory sectors in the Campos, Santos, and Espírito Santo Basins. This marks the first time in which the environmental assessment is issued in an integrated manner for an extensive (continuous) area rather than on a block by block basis, as traditionally occurs.‑by‑block basis, as traditionally occurs.

The measure represents progress in the environmental assessment stage required for the inclusion of blocks in both the Permanent Concession Offer (OPC) and the Permanent Production Sharing Offer (OPP). According to the ANP, the joint statement expands regulatory and operational predictability for round planning, reduces analysis and referral timelines to the National Council for Energy Policy (CNPE), and broadens exploratory opportunities in two of the country’s main producing basins.

 With the joint statement, 18 new blocks are now authorized for inclusion in the OPP, adding to the eight already foreseen, resulting in an unprecedented round totalling 26 blocks, including strategic presalt sectors. The MME estimates that the released areas may generate up to BRL 3.2 billion in signing bonuses, in addition to BRL 1.6 trillion in government revenue and roughly BRL 1.4 trillion in investments over the contractual cycle.