Espirito Santo Oil & Natural Gas Yearbook 2021
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ESPÍRITO SANTO OIL & NATURAL GAS YEARBOOK | 2021
CHAPTER 3 GOVERNMENT SHARE AND ECONOMIC IMPACTS
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11.462
formal employees were
employed in Espírito Santo
in the oil and natural gas
production chain
Distribution of employees
in the oil and natural gas
sector by links in the chain
in 2020
3.2. Labor market
The oil and gas industry pro-
motes the growth and improve-
ment of the job market. In this
yearbook, the oil sector chain in
the State of Espírito Santo was
segmented into five links26: (i) ex-
ploration and production (E&P),
also known as upstream, which
consists of the actual extraction
and production activities of O&G;
(ii) derivatives, which are activi-
ties related to the processing of
oil and natural gas; (iii) supply,
which consists of processing
and trading of 27 O&G products;
(iv) petrochemicals, which is a
branch of the chemical indus-
try that uses oil and natural gas
as input; and (v) supply chain 28,
which includes the industrial ac-
tivities that provide specific prod-
ucts and services for E&P activi-
ties (see Appendix II).
In 2020, the oil and gas produc-
tion chain employed 11,462 formal
employees in Espírito Santo, repre-
senting 2.9% of the national chain
and 1.3% of all employment in the
State (Table 4). These numbers in
the Espírito Santo industry were
distributed in: 63.5% in the sup-
ply chain link; 28.0% in E&P; 7.1%
in supply; 1.3% in petrochemicals;
and 0.1% in petroleum byproducts.
In comparison with 2019, there
was a 2.8% increase in the number
of employees in the oil and natural
gas industry in the state, a result
driven by the expansions of: 6.5%
in E&P, 1.7% in the supply chain;
and 11.3% in petrochemicals.
Still, -in the transition from 2019
to 2020, the total number of for-
mal jobs in Espírito Santo de-
creased by 0.7%, due to the new
Coronavirus pandemic. However,
in the production chain of the oil
and gas sector, this drop was not
seen, possibly due to the follow-
ing reasons: i) due to the intensity
of capital employed, the techno-
logical complexity, and the high
degree of knowledge necessary
to perform certain activities, the
workforce is usually specialized
and requires an advanced level
of training. The layoff in an un-
certain scenario is not strategic
for companies; ii) as an essential
activity, E&P was not interrupted
by government decree, and iii)
federal and state programs to en-
courage job maintenance during
the pandemic helped the industry
maintain formal employment.
Due to the multidisciplinarity re-
quired to carry out activities in the
Table 4-Formal jobs in the chain of the O&G production sector in Espírito Santo
Links in the Chain
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
E&P
2,278
2,636
2,818
2,914
3,192
3,251
3,087
3,207
3,071
2,883
2,518
2,439
3,011
3,207
Chain of
Supply
63.5%
Oil byproducts
97
86
91
197
102
91
95
33
31
15
17
16
19
15
Petrochemicals
20
35
51
53
51
0
123
123
125
133
148
E&P 28.0% Supply
501
563
669
642
674
730
804
820
835
807
787
739
827
817
Supply 7.1%
Chain of Supply
4,942
7,703 7,633 6,060
6,868
8,223
7,186
7,630
7,143
5,981
6,232
7,107
7,155
7,275
Total
7,838
10,995 11,217 9,815
10,871
12,346 11,225 11,741 11,080
9,809
9,677
10,426 11,145 11,462
Petrochemical 1.3%
% of the total jobs in ES
1.0%
1.4%
1.4%
1.1%
1.2%
1.3%
1.2%
1.2%
1.2%
1.1%
1.1%
1.2%
1.2%
1.3%
Oil
byproducts
0.1%
% of the ES chain in the total 2.1%
2.6%
2.6%
2.1%
2.1%
2.3%
2.1%
2.3%
2.3%
2.3%
2.5%
2.7%
2.8%
2.9%
of the same chain in Brazil
Source: Rais/ME | Prepared by: Ideies/Findes
26. In this edition of the yearbook, the oil and
natural gas sector chain was expanded from 3
to 5 links, now including oil derivatives/byprod-
ucts and petrochemicals. We must highlight that
for the composition of the sector chain and the
possibility of extracting information from official
sources, it is necessary to use the National Clas-
sification of Economic Activities 2.0 (CNAES),
and in this edition, previously used CNAES were
reclassified and new ones were added to that list
(see Appendix II). Moreover, it is a known fact that
the structuring of a production chain, whether in
the oil and gas sector, or in any other sector of
economic activity, through CNAES is limited,
since many companies can operate in different
activities, which are not covered by the CNAE in
which it is classified.
27. In this chain, the retail fuel trade was not con-
sidered because this activity exists in practically
all regions of the country, regardless of whether
or not the region has O&G exploration and pro-
duction activities.
28. In this yearbook, the chain covers the CNAES
which IBGE describes as an activity that supplies
raw materials or provides a service to the oil and
natural gas industry.View entire presentation