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The Future Fuel Law promises to unlock R$ 260 billion in investments and reduce CO2 emissions by 705 million tons by 2037
Brazilian's President Luiz Inácio Lula da Silva signed Law No. 14,993, dated October 8, 2024, known as the Future Fuel Law, on Tuesday (8). The new legislation aims to promote sustainable low-carbon mobility, foster the green industry, and highlight Brazil's role in the global energy transition.
This measure is part of the New Brazilian Industry program, led by the Ministry of Development, Industry, Commerce, and Services (MDIC), with mission 5 focused on boosting the bioeconomy, decarbonization, energy transition, and security, ensuring resources for future generations.
The law's approval was highly anticipated, as it is seen as a regulatory milestone for the production and use of biofuels, such as green diesel and SAF (sustainable aviation fuel). SAF, produced from renewable sources like organic waste and animal fat, can be used in aircraft engines without modifications. The new law aims to reduce dependency on fossil fuels and promote environmental sustainability.
In addition to encouraging the production and use of green diesel and SAF, the legislation sets targets for reducing greenhouse gas emissions through carbon capture and storage. It also establishes deadlines for increasing the blend of ethanol in gasoline and biodiesel, providing greater legal certainty for the sector.
These advancements are expected to attract new investments, estimated at R$ 260 billion, and drive the development of biofuel-related technologies.
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