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Brazil established national biofuels policy

 

 
Brazilian President Michel Temer has approved legislation creating Renova Bio, a new national biofuels policy.

The law was published in the official federal gazette of Brazil on Dec. 26. The Brazilian Senate approved the

bill on Dec. 12.
 
RenovaBio aims to increase the use of all biofuels, including ethanol, biodiesel and biomethane, in Brazil with

the aim of increasing energy security and reducing greenhouse gas emissions.
 
A statement released by the Brazilian Ministry of Mines and Energy on Dec. 27 explains that the RenovaBio law

provides for the establishment of national emissions reduction targets for the nation's fuel supply. Targets will to

be met annually by fuel distributors. The ministry said that the targets are fundamental to bring predictability to

the national fuel supply and will provide better conditions and less uncertainty for private parties to carry out

investment planning and analysis.
 
The Ministry of Mines and Energy said the objective of the certification is to measure the exact contribution of each

biofuel producer to greenhouse gas emissions reductions, in relation to their fossil substitute. The law also creates

a decarbonization credit that combines the emissions reduction targets and the live cycle assessment of each biofuel

producer. The credits are pronounced the financial assets that can be traded on a stock exchange. Fuel distributors

will meet required targets by obtaining these credits.
 
Brazil is currently the world's largest largest producer and consumer of biofuels. In 2017, the country produced an

estimated 27.7 billion liters (7.32 billion gallons) of ethanol and 4.2 billion liters of biodiesel. The Ministry of Mines

and Energy said on a combined basis, biofuels and bioelectricity account for 18 percent of Brazil's energy mix.


                                                                                                                                                                                         
                                                                                                                                                                                                Source:Biomass Magazine