HOUSTON (ICIS)--The Brazilian Senate approved on Tuesday a bill that would create a national biofuels programme called RenovaBio that is intended to promote the production of ethanol, biodiesel, biogas and other biofuels.
If it becomes law, the bill would create biofuel decarbonification credits (CBIOs). These will be given to biofuel producers in relation to the amount of clean energy they produce. The credits would be traded on an exchange, where they can be sold by companies that have a surplus and purchased by those that have a shortage.
Such credits could help a company offset carbon emissions connected to its operations.
The RenovaBio programme should help Brazil comply with the Paris Agreement, according to the Senate.
The bill still needs to be signed by the president, Michel Temer.