Espirito Santo Oil & Natural Gas Yearbook 2021 slide image

Espirito Santo Oil & Natural Gas Yearbook 2021

42 42 ESPÍRITO SANTO OIL & NATURAL GAS YEARBOOK | 2021 CHAPTER 3 GOVERNMENT SHARE AND ECONOMIC IMPACTS 43 43 Ranking of amounts received in Government Shares 1st: Rio de Janeiro R$ 18.7 billion was received by Rio de Ja- neiro in Government Shares 2nd: São Paulo R$ 2.5 billion was received by São Paulo in Government Shares 3rd: Espírito Santo R$ 2.3 billion was received by Espírito Santo in Government Shares Chart 25 Evolution of the composition of the government share in Brazil, by modality (R$ billions) Compared to 2019, the amount re- ceived from Government Share by Espírito Santo decreased by 43,9% in 2020. And the drop in revenue in the state government (-47.1%) was greater than that of the municipali- ties of Espírito Santo (-36.5%). The main contributing factor to the loss of revenue from the gov- ernment share in Espírito Santo is caused by the drop in special shares received (-53.1%). It is worth noting that 2019 recorded an atypi- cal flow of Special Shares received due to the signing of the agreement to unify Parque das Baleias, which caused the basis for comparison to be higher. Not only that but roy- alties (-27.2%) also declined in the State at the turn of the year. Furthermore, in 2020, the drop in oil and natural gas production and the devaluation of the price of the barrel - provided that the latter is explained Chart 27 Evolution of the average reference price of oil in Espírito Santo (in US$) by the reduction in world demand due to the Covid-19 pandemic - also contributed to the reduction in the revenue from the Government Share both in the state and country. On the other hand, the devaluation of the Brazilian currency (Real) exchange rate against the dollar was a coun- terpoint to this result, which can be seen by the difference in the magni- tude of the reduction in the average reference price of Espírito Santo in Reais and US Dollars (chart 27). (R$ bilions) 140 120 131.9 20% 18% 16% 100 80 14% 77.7 12% 60 48.9 37.9 40 72.1 48.7 34.7 30.8 20.7 10% 8% 47.0 6% 4% 20 2% 0 0% 2010 2011 2012 2013 2012 2015 2016 2017 2018 2019 2020 ES participation in BR (Royalties and PE) Royalties Special Shares Ocupation or area fee Signing Bonuses $103.28 $95.88 $97.51 $98.72 $62.67 $55.22 $50.20 $43.57 $37.10 $31.69 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Total government shares Share of ES (Royalties and PE) (*) Amounts with deflation calculated according to the IPCA index (accumulated from Jan-Dec 2020). Source: ANP | Prepared by: Ideies/Findes Share transferred to ES in BR (Royalties and PE) Chart 26 Revenue from the government share (royalties and SS) in Espírito Santo in constant amounts* (R$ million) Source: ANP | Prepared by: Ideies/Findes Chart 28 Evolution of the average reference price of oil in Espírito Santo (in R$) 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Municipality of ES State of ES (*) Amounts with deflation calculated according to the IPCA index (accumulated from Jan-Dec 2020). Source: ANP | Prepared by: Ideies/Findes R$ 227.8 R$ 206.3 R$ 197.3 R$ 158.4 R$ 156.9 R$ 139.6 R$ 113.1 R$ 223.1 R$ 215.1 R$ 184.2 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Source: ANP | Prepared by: Ideies/Findes
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