June 7 (Renewables Now) - Brazil has officially adopted a commitment to reduce the greenhouse emissions in the country's fuel mix by 10% by the end of 2028 under the new National Biofuels Policy (RenovaBio), the Ministry of Mines and Energy announced on Tuesday.
The Minister of Mines and Energy, Moreira Franco recalled that the targets will contribute to the fulfillment of the commitments made under the Paris Agreement as the country is expecting to offset 600 million tons of carbon dioxide (CO2) from the atmosphere by 2028, the equivalent to 2 years of emissions from the country's fuel mix.
The initiative will, among other things, encourage growth in the share of biofuels from 20% to 28.6%. The government will also invest around BRL 1.3 trillion (USD bn/EUR bn) in biofuel production in the period; reducing the country's exposure to exchange rate risk and international oil prices.
RenovaBio will establish emissions reduction targets for the fuel sector, with a 10-year minimum period. These targets will be individually made for fuel distributors, taking into account their participation in the fossil fuel market.