The minute
- President Lula signed decrees setting guidelines for sustainable aviation fuel (SAF), carbon capture and hydrogen projects.
- The regulations follow a two-year wait since the Future Fuel Law and other legislation approved in 2024.
- The decrees establish the regulatory framework that sectors needed to move forward with projects in these three areas.
Why it matters
Brazil had created the legal basis for key energy transition sectors in 2024 but left companies and investors in limbo without the implementing rules. The new decrees unlock project development in SAF, carbon capture and low-carbon hydrogen, three pillars of the country’s decarbonization strategy.
The delay had been a recurring concern among industry players, who argued that the absence of clear rules stalled investment decisions and slowed progress on commitments tied to the energy transition. With the regulations now in place, project developers can begin structuring initiatives under a defined framework, via Reset
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