NTS prepares legal offensive against the ANP and raises alert for investors
Regulatory conflict over assets in the southeast network paralyzes new investments and affects companies like Itaúsa.
BY THE X-TRADER NEWS NEWSROOM · REPORTING FROM INFOMONEY · 1 MIN
Nova Transportadora do Sudeste will go to court to try to suspend the decision taken by the National Agency for Petroleum, Natural Gas and Biofuels in October, according to information from InfoMoney and Money Times.
According to Money Times, the dispute revolves around the asset valuation method adopted by the regulatory body, which ended up causing a decrease in the regulated asset value linked to the agreement in the southeast region.
The company operates a network of more than 2,000 kilometers of gas pipelines connecting the territories of São Paulo, Minas Gerais and Rio de Janeiro, according to data from InfoMoney.
Faced with the regulatory impasse, the company informed InfoMoney that it suspended new investments and began a review of its previous projects.
Among the main investors in NTS is Itaúsa, a fact also highlighted by InfoMoney in its coverage of the case.
What changes for the investor
The judicialization of regulatory conflicts and the unilateral change in asset valuation criteria increase the perception of regulatory risk in Brazil, a factor that directly affects the cash flow predictability of companies with a strong presence of major investors, such as Itaúsa, and paralyzes the infrastructure investment cycle in the energy sector.
Automatically translated from Portuguese.
