Energy transition

Brazil has been playing a prominent role in the clean energy sector, which is internationally recognized. In 2023, 93% of the electricity generated on national soil came from renewable sources, according to the Chamber of Electric Energy Commercialization (CCEE), compared to a global average below 30%.

By investing in its vocation in this sector, the country becomes an attractive destination for investors, creating a virtuous process of strengthening industrial activity and sustainable initiatives in the field, impacting various sectors and value chains.

Brazil also stands out among the world's leading producers of biofuels, being the second-largest ethanol producer and the fourth-largest biodiesel producer. The biofuels produced in the country represent a sustainable alternative to the energy dependence on fossil fuels, with significant potential for demand growth due to emission reduction targets established by other countries, opening up the market for Brazilian products. In addition to their use in the automotive sector, biofuels correspond to a low-emission alternative in the aviation (SAF) and maritime transportation (biobunker) sectors.

In addition to biofuels, the expansion of the global market for low-carbon hydrogen ‒ resulting from its use to meet climate targets ‒ increases the possibility of Brazil exporting its surplus of renewable energy to countries with a deficit of low-carbon energy, especially European countries.

The energy transition agenda also represents economic development opportunities for Brazil in the mineral production area. Brazil is among the countries with the largest mineral reserves in the world, capable of meeting the growing demand generated by the energy transition, considering that clean energy technologies are much more mineral-intensive.

Axis 4: Energy transition

• Green Mobility and Innovation Program - MOVER, with new targets for decarbonization, including biofuel and electrification, focused on R&D.
• Anticipation of the mandatory biodiesel blend targets in diesel.
• Electrification of the public and school bus fleet, with national content rules in public purchases.
• Decarbonization of isolated systems through integration with the national system and the use of renewables - Energies of the Amazon Program.
• Future Fuel Program, including green diesel, sustainable aviation fuel, synthetic fuels, carbon capture and storage.
• Triennial Work Plan 2023-2025 of the National Hydrogen Program (PNH2).