Lula's Government Strengthens Oil, But Has No Concrete Plan for Use of Resources

President and ministers defend fossils as funders of clean energy

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Brasília

The Lula (PT) government reaches a year and a half in office with a consolidated discourse in defense of oil exploration.

One of the main arguments is that the generated resources are essential to finance the energy transition. Despite this, members of three ministries acknowledge that there is no formal plan to use the money for decarbonization.

VITÓRIA, ES, BRASIL, 01-03-2024: The Petrobras oil extraction platform (Foto: Bruno Santos/ Folhapress) - Bruno Santos/Folhapress

The defense of oil as a financier of the energy transition appeared in Lula's latest interviews, who endorsed the discourse of government members, such as Alexandre Silveira, Minister of Mines and Energy.

The ministry cites the Pre-Salt Social Fund, created to gather oil resources and allocate them, among other purposes, to mitigating climate change.

However, the TCU (Federal Court of Accounts) shows that, after 14 years, the R$ 146 billion collected were not applied for this purpose and were even used to reduce public debt.

Environmentalists are skeptical of the official discourse and see a contradiction between the government's internal stance and the promises in international debates.

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