If you searched for SBCE, the Brazilian Greenhouse Gas Emissions Trading System, you probably want to know what is actually traded inside it. Under Lei 15.042, of December 11, 2024, the answer is two assets: the CBE and the CRVE. Each one stands for one tonne of CO2e, but they come from different places and do different jobs.
What the SBCE is, in short
The SBCE is a cap-and-trade system. A managing body distributes allowances within a limit, and regulated operators must show, at the end of each period, that they hold enough assets to cover their net emissions. Art. 10 of the law says two assets are created and traded in the system, the CBE and the CRVE. Its sole paragraph adds that they are only recognized once entered in the SBCE Central Registry.
CBE: the allowance
Art. 2, item VI defines the Cota Brasileira de Emissões (CBE) as a fungible, tradable asset that represents the right to emit 1 tCO2e. Under art. 11, the managing body distributes it to the operator that has the duty of periodic reconciliation.
Art. 11, paragraph 1 allows distribution free of charge or for payment, through an auction or another administrative instrument, as regulation sets. Paragraph 2 deals with use of a CBE in different commitment periods, according to the managing body’s rules. Paragraph 3 says charging for CBEs follows the implementation phases of the SBCE, and paragraph 4 says paid distribution has a ceiling defined in the Plano Nacional de Alocação (PNA).
CRVE: the verified result
Art. 2, item III defines the Certificado de Redução ou Remoção Verificada de Emissões (CRVE) as a fungible, tradable asset that represents one tonne of verified emission reduction or removal. Art. 12 says verified results are recognized as CRVEs in the SBCE when they follow an accredited methodology.
The same article lists two uses. The first is periodic reconciliation by operators, within the maximum percentage admitted. The second is international transfer of mitigation results, which requires prior authorization. The percentage for reconciliation is the open number here. I found no act that sets it, and the first PNA is still listed as planned on the ESG Minute SBCE tracker, so treat any figure in market material as an estimate, not law.
Who issues, who uses
The CBE is distributed by the SBCE managing body to regulated operators. The CRVE is not handed out by the state. It comes from an activity that applies an accredited methodology, goes through verification and is registered. Developers and sellers originate it, and operators can buy it to cover part of their obligation.
Art. 30 sets the entry lines. Item I covers operators above 10,000 tCO2e per year, and item II covers those above 25,000 tCO2e per year. Art. 29, item III lists sending the periodic reconciliation report among operator duties. Paragraph 1 of art. 30 lets the thresholds be raised by regulation.
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How offsetting enters the picture
Art. 5, item III describes periodic reconciliation as matching the CBEs and CRVEs delivered against reported net emissions. Art. 2, item II calls the final step cancellation, the voiding of the assets to prove compliance.
A hypothetical example, not a rule: a plant reports 100,000 tCO2e of net emissions. It holds 90,000 CBEs. If the percentage admitted for CRVEs allows it, it covers the remaining 10,000 with CRVEs, and then both assets are cancelled in the Central Registry.
What still depends on rules not yet written
The biggest open item is how methodologies get accredited. Art. 25 gives the managing body the job of setting accreditation criteria, with credibility of asset origination as one of the stated aims. Art. 9, item I gives the Comitê Técnico Consultivo Permanente (CTCP) the role of advising on those criteria.
Resolução CTCP/SBCE nº 4, of May 11, 2026, published in the DOU on May 12, 2026, created the thematic working group for accreditation and de-accreditation of CRVE methodologies, known as GT Metodologias. A working group recommends. It does not accredit anything. The ministry of Finance has posted minutes of the group’s second meeting, from August 2026, where members stressed independent validation and verification. I could not open the later minutes, so I do not describe them here.
As of the tracker’s last check, no act accrediting methodologies is listed. Everything about criteria is still a proposal under discussion.
Common mistakes
- Treating any voluntary carbon credit as a CRVE. Art. 12 requires an accredited methodology and registration.
- Quoting a fixed offset percentage. The law refers to a maximum percentage admitted, and no number has been confirmed.
- Mixing up the 10,000 and 25,000 tCO2e lines in art. 30.
- Expecting a CBE market now. Art. 50 sets implementation in phases, and the first phase is for drafting regulation.
What to do now
If you are an operator, calculate annual emissions per installation and see which side of the 10,000 and 25,000 tCO2e lines you fall on. If you develop or buy credits, keep methodology, baseline and verification records organized, since accreditation criteria are likely to ask for them. Then follow the CTCP and the managing body, and read the official text before signing anything that promises SBCE eligibility.
Sources
- Lei 15.042, of December 11, 2024 (Planalto)
- Lei 15.042, updated text (Câmara dos Deputados)
- Resolução CTCP/SBCE nº 4, of May 11, 2026 (DOU)
- Minutes of the 2nd GTT Metodologias meeting (gov.br/fazenda)
Read next
- Brazil SBCE tracker: every act with its primary source
- Free PDF guides on carbon markets
- Brazil SBCE timeline 2024 to 2031 (PDF)
Free guide (PDF): Brazil SBCE timeline 2024 to 2031 Download →
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