The Brazilian government has introduced a Fuel of the Future law in a bid to increase the use of biofuels, along with other actions.
Brazilian President Luiz Inacio Lula da Silva introduced the legislation on 8 October, a statement on the government website Planalto said.
The new law – also known as PL 528/20123 – increases the biodiesel blend in diesel – currently at 14% – by 1% annually from 2025 to reach 20% by 2030.
In addition, the regulation establishes national programmes for green diesel and sustainable aviation fuel (SAF), while also providing incentives for biomethane and other initiatives.
“It will generate over BRL 260bn (US$46.9bn) in investments in agribusiness and the biofuels chain. The Fuel of the Future places Brazil at the forefront of the new economy, the green economy,” Minister of Mines and Energy Alexandre Silveira said on the day the law was introduced.
Due to start in 2027, the National Program for Sustainable Fuel for Aviation, will require air operators to use sustainable aviation fuel (SAF) to reduce greenhouse gas emissions (GHG) from domestic flights. The targets will begin with a 1% reduction and will increase to 10% by 2037.
A National Program for Green Diesel and National Program for the Decarbonization of Natural Gas Producers and Importers and for the Promotion of Biogas would also be formed.
Welcoming Brazil’s new legislation in a statement on its website on 17 October, the International Air Transport Association (IATA) said it put the country on a solid path towards leading the production and use of SAF, which it said was essential for decarbonising aviation.
“[The law] introduces a legal framework to promote the production and use of SAF [which] represents the most significant lever for air transport to reach net zero CO² emissions by 2050,” IATA’s director of energy Hemant Mistry said.