Autonomy of Regulatory Agencies

The Ranking of Politicians expresses its support for PLP 73/2025, understanding that the technical autonomy of regulatory agencies necessarily depends on budgetary autonomy. An agency whose performance can be compromised by discretionary budget cuts from the Executive Branch loses part of its independence and reduces its capacity to fulfill the mission for which it was created.

Regulatory agencies play a strategic role in the Brazilian economy. They are responsible for overseeing essential sectors, ensuring contract compliance, protecting consumers and investors, and guaranteeing regulatory stability. To perform these functions independently, it is not enough for their leaders to have fixed terms or protection against arbitrary dismissal. It is essential that they also have the necessary resources to carry out their duties.

Brazil has already recognized this principle by approving the autonomy of the Central Bank. Complementary Law No. 179/2021 strengthened the institution by granting fixed terms to its board of directors, reducing short-term political influence on monetary policy. The logic is simple: eminently technical decisions should not be subject to the conveniences of the government in power. The same reasoning applies to regulatory agencies. It is of little use to guarantee formal autonomy if their actions can be limited by budget constraints that render their activities unfeasible.

PLP 73/2025 seeks precisely to correct this distortion. The proposal prevents the agencies' own revenues—largely derived from inspection fees paid by the regulated sectors themselves—from being earmarked for other purposes. This is not about increasing public spending or relaxing fiscal responsibility. It is about ensuring that resources collected for a specific purpose are effectively used in the regulatory activity for which they were established.

The withholding of these revenues creates a paradox. The state collects fees to finance the agencies' activities, but prevents them from using these resources. The result is a reduction in oversight capacity, delays in authorizations, licenses and technical analyses, and increased legal uncertainty in strategic sectors of the economy.