November 21 (Renewables Now) - The Mines and Energy Commission of Brazil's House of Representatives approved on Wednesday a bill that would allow ethanol producers to sell the biofuel directly to gas stations.
Currently, the sale is prohibited by the National Petroleum, Natural Gas and Biofuels Agency (ANP), as all fuel must pass through a distributor before reaching the pump.
According to the bill, a direct link between producers and sellers will increase competition in the Brazilian fuel market and thus help bring lower prices. The text also states that gas stations will continue to be able to buy ethanol from distributors if they choose to do so.
The bill is now being studied by the Constitution, Justice and Citizenship (CCJ) Committee.