Implementing partner: Comitê Brasileiro da Câmara de Comércio Internacional

Consortium partner: WayCarbon

Implementation period: January 2025 - December 2025

Sector: Finance

 

 

 

 

 

The project will contribute to the long-term transformation of Brazil’s carbon market and its integration into the global sustainable finance ecosystem. By supporting the development of a robust and transparent framework for Brazil’s National Emissions Trading System (SBCE), the project aims to enable the country to effectively reduce its carbon emissions and attract green investments, specially through a well-designed interaction between regulated and voluntary carbon markets in Brazil.

 

This will foster economic growth through low-carbon industries, enhance environmental sustainability by promoting carbon neutrality, and empower government organisations to continuously improve the effectiveness and scalability of the carbon pricing mechanism. Ultimately, the project seeks to position Brazil as a leader in climate finance and contribute to its broader goals of decarbonisation, promoting sustainable development, and climate resilience in alignment with international climate commitments, such as its NDC; and green finance initiatives supported by the country.

 

The project aims to support the Brazilian government in its continued structuring and implementation of a well-designed and functioning National ETS (SBCE in Portuguese) and reduced GHG emissions in the industrial sector due to compliance with the SBCE cap and trade. 

 

Activities include providing technical inputs as well as capacity building and relevant connections to the beneficiary (Ministry of Development, Industry, Trade and Services (MDIC) and key stakeholders from public and private sectors. The main objective is to improve their capacity to develop infralegal acts that will define how the regulated market should function, specifically regarding the definition of standards and the acceptance of credits from the voluntary carbon market as offsets in the SBCE. Furthermore, the capacity building activities will contribute to a better implementation of SBCE and empower public officials and policymakers to continuously improve it. The project will also increase the private sector readiness for complying with SBCE regulation on offsets and promote information sharing amongst public and private counterparts.

The team will continue the work developed under the first phase of the project, selecting carbon project’s methodologies to be further analysed. In parallel, the project will develop a tool for 
calculating emissions from potential SBCE operators (complying instrument) that will guide companies to effectively comply with the mechanism.