o
Issue local content certificates, in line with the template provided by the ANP, for goods and services, stating the percentage of local content based on the local content primer developed by PROMINP Issue a quarterly certification report to the ANP, detailing certification activities.
o
The leading certifier is the ONIP, a nongovernmental organization (NGO) engaging 2,000 companies working in the Brazilian oil and gas value chain (Heller Redo Barroso 2010). In addition to certification of local content, the NGO:
Proposes actions for improvement of industrial policy and the development and competitiveness of domestic industry Proposes joint actions and actors for the removal of bottlenecks on factors of competitiveness of the domestic industry Develops and disseminates sectoral knowledge and understanding of national and international markets Promotes interactions and contributes to the development of business in favor of domestic suppliers.
Several other NGOs and associations are engaged in similar activities. The other major enabler of LCPs is PROMINP. The program is a multistakeholder initiative, composed at the steering committee level of the minister of mining and energy; minister of development, industry, and trade; president and services director of Petrobras; president of the BNDES; president of the ONIP; and the president of the Brazilian Petroleum Institute. Reporting to the steering committee is an executive committee and four sectoral committees (Figure 2.18). Figure 2.18 Brazil: PROMINP Governance Structure
Steering Committee
CEO / President ONIP President BNDES President Brazilian Petroleum Institute (IBP)
Minister of Mining and Energy (MME) Minister of Development, Industry, and Trade (MDIC) President of Petrobras Director of Services of Petobras
Executive Committee
MME – O&G and Renewable Fuels Secretariat MDIC – Secretariat BNDED – Director Petrobras – Director PROMINP – Engineering Executive Manager
ONIP – Director IBP – Director Associations – President / Director (ABCE, ABDIB, ABEMI, ABIMAQ, ABINEE, ABITAM, SINAVAL e CNI)
Sectoral Committee E&P
Maritime Transp.
G&P and Pipelines
Downstream
Source: Adapted from PROMINP 2011b. Note: BNDES = Brazilian National Development Bank; E&P = exploration and production; G&P = gas and processing; ONIP = National Organization of the Petroleum Industry; PROMINP = Program for the Mobilization of the Oil and Gas Industry.
The steering committee is mainly responsible for strategy development, approval of portfolios of projects, and the budget and funding sources. The executive committee shall mainly:
Implement PROMINP’s guidelines Coordinate sectoral committees and appoint their coordinators Prepare the annual budget and indicate sources of funds Validate, prioritize, monitor, and evaluate the portfolio of projects.
Sectoral committees are responsible for the implementation of projects and management of resources (Decree No. 4925, 2003). PROMINP’s day-to-day activities are mainly funded by the government and Petrobras. As for the projects launched by the program, these are mostly funded on a project-by-project basis. To summarize the landscape of local content institutional responsibilities, Table 2.9 maps key local content activities to the different stakeholders.
61