On December 18, 2018, the Energy Regulatory Commission ("CRE") published in the Federal Official Gazette the Resolution A/040/2018 which sets forth the interpretation criteria for business models compatible with the Retail of refined products.

The Resolution is applicable to all Retail permit holders that want to promote business models that allow the efficient development of the market, and guarantee supply in an efficient, uniform, regular and safe manner.

The following are the general criteria to consider in the Retail of refined products activities:

That based on the statistical analysis of the Retail permits, there should exist a relation between the decrease in reported prices in a zone and the adoption of business models with new commercial strategies, that are generated by the competition between the permit holders, such as benefits accumulation or points for the clients, rewards programs, membership or credit cards, subscriptions, reservations, exclusive offers or special considerations.

That the commercial strategy that consists in benefits such as the above mentioned are not discriminatory, meaning that they are offered to the general public.

In the event of an emergency or accident, declared by the competent authority, all Retail permit holders shall provide their permitted service without any distinction derived from their different business models.

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