MercoPress. South Atlantic News Agency

Brazil announces plans to join OPEC+

“We should not be ashamed of being oil producers,” Silveira stressed

Brazilian authorities announced Tuesday the South American country's decision to join the Organization of 13 Petroleum Exporting Countries (OPEC) and 10 observer nations, commonly referred to as OPEC+. According to Mines and Energy Minister Alexandre Silveira, the move would in in line with Brazil's goals and would not collide with its environmental commitments. Brazil will participate in the OPEC Cooperation Charter, a forum for discussing oil market strategies without binding obligations to follow cartel policies like production cuts.

Brazil's decision to join the OPEC+ cooperation charter seeks to expand dialogue on the oil market and promote biofuels, while not officially joining the cartel. Minister Silveira intends to use this forum to discuss financing the energy transition with oil resources. Despite some resistance within the government due to Brazil's role as a leader in the global energy transition, Silveira justified the move by stating that oil remains a crucial global energy source. He highlighted Brazil's efforts to increase renewable energy use, such as the mandatory 25% biodiesel blend and carbon capture regulations.

Silveira made the announcement ahead of November's 30th Conference of the Parties (COP30) of the United Nations Framework Convention on Climate Change to be held in the Brazilian city of Belem. “It is a historic moment for Brazil and the energy industry, opening a new chapter in the history of dialogue and cooperation in the field of energy,” he said.

“It is just a forum to discuss the strategies of oil-producing countries. We should not be ashamed of being oil producers,” he added. ”Does this create any binding obligations for Brazil? No. Literally, not. It was read and reread at the CNPE (National Energy Policy Council) meeting, which is just a letter, a forum for discussing the strategies of oil-producing countries,” the Minister also argued.

The Brazilian government also announced its decision to join the International Energy Agency and the International Renewable Energy Agency.