Carbon market, new fuels, CCS and hydrogen: About some Bills in Brazil.
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    • Nov 16, 2023
    • 3 min read

Carbon market, new fuels, CCS and hydrogen: About some Bills in Brazil.

Today is Thursday, November 16, 2023.


There are a significant number of bills in progress that have not yet been approved. Although some of them may still surprise positively with votes before COP-28, including helping to improve the country's image, with the year-end festivities approaching, followed by Carnival at the beginning of next year, perhaps a good idea to recall what is at stake, how many important decisions to be made both for the Brazilan society and for the productive sectors.


Let's see the status of some bills of interest to the readers of this blog:



Despite being listed as "urgent" regarding the processing regime, the status has been maintained since October 26th, when PL 528 of 2021 was added. Remember our post "[Update] Bill 412 2022, Brazilian Greenhouse Gas Emissions Trading System.", so much appreciated by our readers. Obviously, this is a complex topic, especially due to this addition, for bringing the voluntary carbon credits market alongside the regulated market, the "cap-and-trade" model. Important to have in mind that there was also an agreement to keep the agro sector out of the regulated market.




Despite being processed under a priority regime, the latest status is from the beginning of last October, received by the Mines and Energy Commission. There is also a supplement to PL 4196 of 2023. We quote some interesting parts below:


- Integrated vision of RenovaBio, the Rota 2030 Program - Mobility and Logistics and the Brazilian Vehicle Labelling Program.


- Brazilian Vehicle Labelling Program. It will disclose GHG emissions information to the consumer on the of each vehicle, based on analysis of the well-to-wheel cycle and energy consumption based on the tank-to-wheel cycle, per vehicle.


- ProBioQAV, National Sustainable Aviation Fuel Program, to encourage research, production, commercialization and energy use of SAF.


- National Green Diesel Program, with mandatory minimum use of green diesel, produced from raw materials exclusively derived from renewable biomass.


- Geological CO2 capture and storage activities, the regulation of which will be the responsibility of the National Petroleum, Natural Gas and Biofuels Agency (ANP).


The proposal also increases the maximum and minimum limits for the mixture of anhydrous ethanol with gasoline to respectively 30%, subject to verification of its technical feasibility, and 22%. Changing the maximum limit is part of the strategy to provide the country with higher octane fuels and as a prerequisite for inducing a new cycle of improvements to internal combustion engines.



Regarding hydrogen, Congress is still trying to consolidate proposals from some texts that deal with the topic:



- and PL 725 from 2022, at CI - Infrastructure Services Commission of the Federal Senate, since last November 6th.


Click on the image below for the Public Hearing with the theme “Use of Hydrogen as a Clean Source for Mobility in Brazil”, which took place on October 17th in Campinas, São Paulo. Includes presentations from the event, including representatives from USP (and the partnerships at the Research Center for Gas Innovation), FAPESP, SENAI (very good). And we highlight here that from Toyota Brasil, where the image below was taken.


In other words, it’s worth following all of this closely.


In fact, still regarding hydrogen there is PL 2308 from 2023, which provides for the legal definition of fuel hydrogen and green hydrogen. According to the rapporteur, the “birth certificate” of green hydrogen in Brazil.




Tags:

 CARBON CREDIT MARKETS

“Nothing in life is to be feared, it is only to be understood. Now is the time to understand more, so that we may fear less.”

“I am among those who think that science has great beauty”

Madame Marie Curie (1867 - 1934) Chemist & physicist. French, born Polish.

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