Lira: Lula worries when criticizing privatization of Eletrobras – 05/07/2023 – Market
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The President of the Chamber of Deputies, Arthur Lira (PP-AL), said this Sunday (7) that the intention of President Luiz Inácio Lula da Silva (PT) to question the privatization of Eletrobras causes a “very strong concern for Brazil”.
Lira, who is traveling to New York, said in an interview with CNN Brasil that Congress’ decision to privatize the company was right and said that the Lula government needs to reconcile its “progressive” agenda with the conservative and liberal congressional majority in the economy .
“These issues of reviewing privatization are a cause for concern. You may not propose any more privatization, but changing a framework that has already been played out and defined, and with many groups, many countries investing, really causes Brazil a very strong concern”, stated the president of the Chamber.
Lira also stated that he considered that the state-owned company was providing a terrible service and that, if there are no changes in the rules, its privatization could become a successful case in a few years, as, according to him, happened with Vale do Rio Doce —privatized during the government Fernando Henrique Cardoso (1995-2002).
In a press conference this Saturday (6), in London, after the coronation of King Charles 3rd, Lula again criticized the privatization of Eletrobras, carried out in the government of Jair Bolsonaro (PL). The petista has already classified the privatization of the company as “banditry” and stated that he intends to file a lawsuit questioning the sale.
On Friday (5), the government filed a lawsuit with the STF to expand its voting power in the company, currently limited to 8% – the Union has 43% of the shares.
Lula also criticized the limits created in the privatization of the company, which made it difficult for it to be renationalized and questioned the remuneration of Eletrobras directors and counselors.
“The directors increased their salaries from BRL 60,000 a month to more than BRL 360,000 a month, and a counselor to organize a meeting earns more than BRL 200,000. It is not possible in a country where 33 million people spend form us to live in a situation like this”, he affirmed.
Elected by a narrow margin, Lula has been having difficulty building his support base in Congress, which has a majority of center and right-wing parties.
Last week, for example, the government suffered its first defeat after seeing part of its decrees that changed the sanitation framework overthrown in the Chamber. The issue still needs to be voted on by the Senate.
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