Brazil is being seen increasingly as an attractive destination for liquefied natural gas (LNG), but regulatory barriers are hindering development of the country’s market.

According to analysts at shipbroker Poten & Partners, regasification project developers and infrastructure owners are “pushing back against what they see as regulatory barriers” holding back the promised liberalization of the market.

There are about 10 regasification projects in different stages of development in Brazil, principally in the south, according to Poten.

Consultancy BRG Energy & Climate for South America said natural gas-fired power generation in Brazil could grow by 20 GW by 2040, rising to 15% from 9% in the energy mix.

Natural gas power is used principally as a backup for hydropower...