Trade and markets
 

Detail

Area
Brazil
Commodity Group
Biofuels
Commodity
Biodiesel
Date
01/09/2017
Policy Category
Consumption and marketing
Policy Instrument
Biofuel policy
Description
Considered raising mandatory blending of biodiesel into regular transport diesel from 8 percent to 10 percent in March 2018, one year earlier than originally planned.
Notes
According to government sources, mandatory blending of biodiesel into regular transport diesel will be raised from 8 percent to 10 percent towards the end of the current year – i.e. more than one year earlier than originally planned (see MPPU Apr.’16). Officials from Brazil’s Mines and Energy Ministry expect the National Energy Policy Council to approve the shift to the higher blending mandate by December 2017, in line with efforts to lift the country’s biofuel output, reduce imports of mineral oil products, and meet national GHG reduction commitments. Moreover, the Government is expected to announce details about ‘RenovaBio’, a package of incentives and regulatory measures aimed at (i) raising domestic biofuel production and consumption, (ii) attracting investments, and (iii) fostering competition within the sector.