Brazil: The PROMINP Program, Brazil: The PROMINP Program,
PETROBRASPETROBRAS’’ Local Content Policy Local Content Policy
and Maritime Equipment Demandsand Maritime Equipment Demands
Opportunities for Suppliers Opportunities for Suppliers
Houston, Texas
6th to 9th May 2013
Agenda
PROMINP: O&G Brazilian Industry Mobilization Program
PETROBRAS' Local Content Policy
Offshore and Maritime Equipment Demand
Brazilian Main Shipyards
Agenda
PROMINP: O&G Brazilian Industry Mobilization Program
PETROBRAS' Local Content Policy
Offshore and Maritime Equipment Demand
Brazilian Main Shipyards
Apresentação ao Comitê Diretivo
PROMINP: O&G Brazilian Industry Mobilization ProgramPROMINP: O&G Brazilian Industry Mobilization Program
May 2013May 2013
PROMINP’s Mission
““Maximize goods and services Maximize goods and services national national
industryindustry content, within content, within competitive competitive
andand sustainablesustainable basis, in the basis, in the
implantation of oil and gas projects in implantation of oil and gas projects in
Brazil and abroad.Brazil and abroad.””
SteeringCommittee
Oil, Natural Gas and Renewable Fuels Secretariat
Executive Committee
Executive Coordinator
MME – MinisterMDIC – MinisterPETROBRAS – President and Services DirectorONIP – CEO/PresidentBNDES – PresidentIBP – President
MME – Oil, Natural Gas and Renewable Fuels SecretariatMDIC – Development, Industry and International Trade SecretariatBNDES - DirectorPETROBRAS – Engineering Executive ManagerPROMINP – Executive Coordinator ONIP – DirectorIBP – DirectorAssociations – President / Director (ABCE, ABDIB,
ABEMI, ABIMAQ, ABINEE, ABITAMSINAVAL e CNI)
Sectorial CommitteeExploration
& ProductionG&P and Pipelines
DownstreamMaritime
Transportation
P&G IND
PETROBRASIBPBNDES
Prominp
Management Structure
Strategic Subjects
Prominp Projects Portfolio
CHALLENGE
Maximize Local
Content
Sustainability Competitiveness
Safety, Environmentand Health
Industry Performance
Tax Policy
Financing Regulation
Foster micro and small
companies
Industrial Policy
IndustrialCapacity
ProfessionalQualification
Technological Qualification
Qualification
E&P MT Downstream GP&Pipelines O&G IND Environment Technology
Strategic Subjects
Sustentabilidade Competitividade
SMS
Desempenho Empresarial
Política Tributária
Financiamento Regulação
Fomento àPequena e
Média Empresa
Instrumentos de Política Industrial
Sustentabilidade Competitividade
SMS
Desempenho Empresarial
Política Tributária
Financiamento Regulação
Fomento àPequena e
Média Empresa
Instrumentos de Política Industrial
Suppliers Development
IndustrialCapacity
ProfessionalQualification
Technological Qualification
Qualification
Examples of Results
Develop domestic suppliers in a competitive
and sustainable way, for the manufacture of
equipment and materials that are not
provided by the national market.
Competitive
Substitution of
Imports
Objective
Cases of success (examples)
Lifeboats nationalization(E&P-11)
Offshore cranes nationalization(E&P-11)
Suppliers Development
Sustainability Competitiveness
Safety, Environmentand Health
Industry Performance
Tributary Policy
Financing Regulation
Foster micro and small
companies
Industrial Policy
IndustrialCapacity
ProfessionalQualification
Technological Qualification
Qualification
Professional Qualification Plan
Sustainability Competitiveness
Safety, Environmentand Health
Enterprise Performance
Tributary Policy
Financing Regulation
FosterSmall andMedium
Enterprise
Industrial Policy
Examples of Results
Establishment of the National Professional Qualification Plan – PNQP
Advanced
Regular
Level of the Professional Category
High Specialization
• Examples: Production operators, etc.;
• High investments in infrastructure for the viability of professional qualification;
• Only experienced professionals.
• Examples: Cargo Operator, inspectors etc.;
• Only experienced professionals.
• Examples: Engineer, Technician, Electrician, etc;
• Professionals with or without experience.Str
uc
turi
ng
of
pro
fess
ion
al C
are
ers
EXAMPLES OF DEMANDED PROFESSIONAL CATEGORIES
Lack of qualified
professionals to
respond competitively
BOTTLENECKBOTTLENECK
“Provide skilled professionals in the country to operate in
different links of the supply chain for the categories and
quantities necessary for the oil and gas projects
implementation.”
ACTIONACTION
Establishment
of PNQP
(2006)
PROFESSIONAL GAPS IDENTIFICATION
Sustentabilidade Competitividade
SMS
Desempenho Empresarial
Tax Policy
Financing Regulation
Foster microand small
companies
Instruments of Industrial Policy
Capacitação Industrial
Qualificação Profissional
CapacitaçãoTecnológica
Capacitação
Sustentabilidade Competitividade
SMS
Desempenho Empresarial
Política Tributária
Financiamento Regulação
Fomento àPequena e
Média Empresa
Instrumentos de Política Industrial
Funding mechanisms for working capital
Results
Financing Mechanisms
PROGREDIR FIPsPrivate equity funds
FIDCsInvestment Funds in Receivables
Support the structuring of new mechanisms for financing and capitalization of the production chain.
� Fund to anticipate major
receivable credits;
� 9 Funds in operation:
� 1.528 contracts;
� Over 300 financed
suppliers;
� R$ 3.8 billion in
anticipation of receivables.
� Fund of “Private Equity”
� 1 Operating Fund - net worth
of U.S. $ 500 million.
� Financing the supply chain;
� 10 participating banks;
� Over R$ 5.8 billion granted in
loans;
� Over 1.152 transactions
involving 491 companies of
21 states in all regions of
Brazil;
� Reduction of 20% to 50% in
interest rates.
Sustentabilidade Competitividade
SMS
Desempenho Empresarial
Capacitação Industrial
Qualificação Profissional
CapacitaçãoTecnológica
Capacitação
Sustentabilidade Competitividade
SMS
Desempenho Empresarial
Política Tributária
Financiamento Regulação
Fomento àPequena e
Média Empresa
Instrumentos de Política Industrial
Local Content Booklet
Tax Policy
Financing Regulation
Foster microand small
companies
Industrial Policy
Examples of Results
• The “Cartilha” (booklet) is the official methodology for measuring local
content, published by the ANP in 2005;
• It aims to identify the source of manufacture of components that make
up each piece of equipment and service;
• The calculation is separated into:
• Local Content of goods
• Local Content of Services
• Local Content of goods for temporal use,
• Local Content of systems and sub -systems
• For the booklet, an item is not simply "national“, but has "x%" Local
Content.
Goods (%) = 1- cost imported inputs x 100
selling price of good without taxes
Services (%) = cost of skilled local labor force x 100
total cost of manpower
Local Content Booklet (“Cartilha”)
Main Concept
Sustainability Competitiveness
Safety, Environmentand Health
Industry Performance
PolPolPolPolíííítica tica tica tica TributTributTributTributááááriariariaria
FinanciamentoFinanciamentoFinanciamentoFinanciamento RegulaRegulaRegulaRegulaççççãoãoãoão
Fostero Fostero Fostero Fostero ààààPequena e Pequena e Pequena e Pequena e
MMMMéééédia Empresadia Empresadia Empresadia Empresa
Instrumentos de PolInstrumentos de PolInstrumentos de PolInstrumentos de Políííítica Industrialtica Industrialtica Industrialtica Industrial
PolPolPolPolíííítica tica tica tica TributTributTributTributááááriariariaria
FinanciamentoFinanciamentoFinanciamentoFinanciamento RegulaRegulaRegulaRegulaççççãoãoãoão
Fostero Fostero Fostero Fostero ààààPequena e Pequena e Pequena e Pequena e
MMMMéééédia Empresadia Empresadia Empresadia Empresa
Instrumentos de PolInstrumentos de PolInstrumentos de PolInstrumentos de Políííítica Industrialtica Industrialtica Industrialtica Industrial
Competitiveness Study of Goods and Services for Oil and Gas Market
Examples of Results
Competitiveness Study2008
Competitiveness
Industrial Sectors
World Class
• 18 industrial sub-sectors
• 2 perspectives:
• Technical-Industrial Qualification
• Tax and labor legislation, financing and guarantees
Competitiveness Study of Goods and Services
Supplier Industry of Oil and Gas Market
Sources: UFRJ – Economy Institute and Petrobras
National Industry Competitiveness Diagnosis
General Competitiveness Roadmap
Sources: UFRJ – Economy Institute and Petrobras
Expansion of Production Capacity
Technology update / Association with foreign companies
National Industry Competitiveness Diagnosis
Medium Level Competitiveness Sectors