The Chamber of Deputies took a decisive step towards regulating the carbon market in Brazil by approving Bill 182/24 . The text establishes a mixed system, with regulated and voluntary markets for titles representing greenhouse gas emissions or removals. The bill, which is now awaiting presidential approval, promises to align Brazil with global trends in decarbonization and energy transition.
The Brazilian Emissions Trading System and its Implementation Phases
The heart of the new legislation is the Brazilian Greenhouse Gas Emissions Trading System (SBCE) , which will be implemented in five phases over six years. The system will allow the trading of Brazilian Emission Quotas (CBE) and Verified Emissions Reduction or Removal Certificates (CRVE) , fostering a dynamic and transparent market.
During the initial phases, regulations will be defined and measurement instruments implemented. In the fourth phase, free distribution of emission quotas and the start of trading on financial markets will take place. Full implementation of the SBCE will consolidate a robust mechanism to monitor and limit national emissions.
Companies that emit more than 10,000 tons of CO₂ equivalent per year will be regulated, with obligations that include monitoring plans and periodic emissions reports. Activities with emissions above 25,000 tons will have stricter targets , requiring periodic reconciliation of emissions and reductions.
Voluntary Market and Brazil's Economic Potential
The voluntary carbon market represents a major opportunity for Brazil , thanks to the vast capacity to sequester carbon in its forests. Companies, institutions and even individuals can purchase carbon credits to align their activities with global climate strategies.
This market plays a strategic role, especially in the context of measures such as the European Union's Carbon Border Adjustment Mechanism (CBAM) , which penalizes exported products with high environmental impact. By consolidating its carbon market, Brazil will be able to demonstrate decarbonization differentials, strengthening its international competitiveness and attracting investments.
Impacts on the Agricultural Sector and New Sector Obligations
Despite accounting for 27% of national emissions, the agricultural sector was excluded from direct regulation . Indirect emissions, such as those related to fertilizer production, will also not be considered for control purposes.
Sectors such as basic sanitation will be exempt from limits, as long as they adopt technologies to neutralize their emissions. Insurance companies and supplementary pension institutions will have to invest at least 1% of their annual assets in carbon credits, strengthening the environmental market.
With the approval of this project, Brazil is taking a strategic step towards the energy transition and meeting international climate commitments . The new carbon market promises not only to reduce emissions, but also to foster technological innovation and attract investment, consolidating the country as a protagonist in the global environmental agenda.
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