Brazil pushes Congress to pass 'green' bills ahead of COP28

The package of bills will include projects aimed at increasing the use of renewable fuels and regulating related sectors such as offshore wind farms, Rodrigo Rollemberg, secretary of Brazil's Ministry of Development, said in a statement.

Through this, the South American country will be able to strengthen its "green" commitment as countries from around the world prepare to gather in Dubai in November and December for the annual climate talks organized by the United Nations.

President Luiz Inacio Lula da Silva, who took office in January, has boosted his international reputation by reversing an environmental setback under his far-right predecessor Jair Bolsonaro when Amazon deforestation soared.

Lula has pledged to halt illegal deforestation in the Amazon rainforest by 2030 and help drive an ecological transformation led by renewable energy.

Rollemberg said the bills supported by the government would focus on four main issues: establishing a new carbon market, regulating offshore wind energy, launching the "Fuel of the Future" project, and regulating green hydrogen.

"They are all individual bills, but when they are put together there is a convergence towards sustainability, which gives them an economic boost they would not otherwise have," Rollemberg said.

The "Fuel of the Future" project will seek to promote sustainable aviation fuel (SAF) production in Brazil, which Boeing (BA.N) recently touted as a potential top player in the sector, the minister said.

The government hopes to promote the use of degraded agricultural land to boost SAF production. Other proposals include increasing the proportion of ethanol that must be blended into gasoline from the current 27% to 30%, Rollemberg said.

Rollemberg added that one of the most advanced proposals is one that would create a regulated carbon market in the country. This bill could be submitted to Congress as early as next week, he said.

"We have 100 days until COP28. This is more than enough time for Congress to pass all the bills," Rollemberg said.

"Brazil has a unique opportunity in the second half of the year to finish the year by sending very strong signals to domestic and international markets that it is a country that really wants to lead the transition to a green and low-carbon economy."

The South American country will host the UN climate talks in 2025 in the Amazonian town of Belem.