In May 2022, decree no. 11,075 which proposed to establish the National System for Reducing Greenhouse Gas Emissions (Sinare). In fact, the decree was laconic and did not offer complete and exhaustive regulation on the subject.

The text also opened space for self-regulation: it established a deadline for certain sectors to voluntarily present their sectoral climate mitigation plans. In other words, it predicted that it would be up to each sector to identify the best way to reduce its emissions.

Regardless of its potential defects or virtues, the decree fell into disuse with the assumption of the new president. With much greater emphasis on the climate agenda, the new federal government has already forwarded a series of laws on this matter to Congress, especially with the approaching COP28 event.

In just the last few weeks, the Chamber approved the regulatory framework for offshore wind farms, the regulatory framework for carbon capture and storage (CCS), the rules for low-carbon hydrogen and, finally, the bill that regulates the carbon market.

Unlike the previous decree, this PL (1425/2022) effectively offers a true framework for the creation and development of a regulated domestic market for the reduction or sequestration of greenhouse gases.

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