Brazil Between the Challenges and Opportunities of the Green Transition

At a time when the world is facing increasingly visible consequences of climate change, Brazil finds itself at a crucial crossroads between strong development ambitions and complex environmental challenges. The protection of the Amazon, the advancement of renewable energy, the development of biofuels, and more sustainable mobility, alongside the fight against deforestation, climate extremes, and social pressures, are simultaneously shaping the country’s path toward a more sustainable future.

Photo: Courtesy of Marija Klara de Abreu Rada

We spoke with the Ambassador of Brazil to Serbia, H.E. Maria Clara de Abreu Rada, about the priorities of Brazil’s climate policy in 2025, the results achieved so far, and the potential for cooperation between Brazil and Serbia. In this interview, she reveals how Brazil is charting its course toward climate neutrality and the role it sees for international partnerships in that transition.

How is Brazil currently advancing its efforts in combating climate change, and what are the government’s priority programs for reducing emissions and preserving the Amazon in 2025?

 Brazil’s 2024 NDC reaffirms the goal of climate neutrality by 2050 and sets a 2035 target of reducing emissions by 59–67 percent below 2005 levels. These commitments are being operationalized through the Ecological Transformation Plan, launched by the federal government in December 2023, which advances a national carbon market, new energy-transition legislation, a Brazilian Sustainable Taxonomy, and an expanded Climate Fund.

Deforestation has declined by around 11 percent in both the Amazon and the Cerrado,⃰ with Amazon loss roughly halved since 2023, driven by tougher enforcement, real-time satellite monitoring linked to rural credit restrictions, and expanded forest finance via the Amazon Fund and the Tropical Forests Forever Facility (a proposed global fund led by Brazil to finance tropical forest conservation permanently). These efforts place strong emphasis on Indigenous territories, forest protection, and a standing-forest” bioeconomy.

Beyond forests, Brazil is accelerating the deployment of renewables, offshore wind, green hydrogen, biofuels, and low-carbon agriculture (ABC+), all supported by green industrial and financial policies designed to align economic development with long-term climate goals.

What are the key measures Brazil is implementing in the field of disaster prevention and management, particularly regarding floods, forest fires, and landslides, which are becoming increasingly frequent due to climate change?

Brazil’s disaster-prevention system is coordinated by the National Protection and Civil Defense System (SINPDEC), which integrates federal, state, and municipal actions, maintains a national registry of high-risk municipalities, and requires each of them to prepare local contingency plans. Prevention is based on mapping and classifying risk areas, limiting or prohibiting occupation of steep slopes and floodplains, and, where vulnerable settlements already exist, investing in slope stabilization, drainage, flood-control infrastructure, and basic sanitation. Early-warning and monitoring networks feed a national disaster information system, while local civil defense bodies are responsible for training, public awareness, and community preparedness. In the case of forest fires, Brazil has strengthened legislation, expanded the role of the National Environment Fund, and launched integrated operations, such as Operação Guardiões do Bioma, to prevent and combat illegal burning and deforestation. At the same time, the country is investing in resilient infrastructure and disaster-risk financing mechanisms.

In focus:

Brazil’s energy policy prioritizes renewable sources — especially hydropower, wind, solar, and biofuels — which keeps its electricity mix relatively clean by international standards. Hydropower remains the backbone of the system, while onshore wind and solar are the fastest-growing sources, with substantial expansion expected through 2030. New regulatory frameworks are stimulating investment in offshore wind, green hydrogen, and sustainable aviation fuels (SAF), with the strategic objective of positioning Brazil as a relevant low-carbon energy exporter. In the coming years, the country anticipates continued growth in wind and solar capacity, the consolidation of green-hydrogen hubs, higher ethanol, biodiesel, and SAF output, stronger transmission infrastructure, rapid expansion of distributed solar, and new green-industry projects aligned with the Ecological Transformation Plan.

Brazil’s renewable energy sector is among the most developed in the world. Which energy sources does Brazil invest in the most, and what results are expected in the coming years? Additionally, how would you describe current trends in Brazil’s energy sector?

Brazil invests most heavily in renewable energy, with hydropower forming the backbone of its electricity system and wind and solar emerging as the fastest-growing sources. Bioenergy—particularly ethanol, biodiesel, and biomass cogeneration—also plays a central role, linking the energy transition to Brazil’s strong agricultural sector. In the coming years, the country expects continued expansion of onshore wind and solar capacity, new regulatory support to unlock offshore wind and green hydrogen projects, rising production of sustainable aviation fuels (SAF), and reinforced transmission infrastructure to better integrate variable renewables into the grid.

Current trends already point in this direction: rapid growth in distributed rooftop solar, increasing private-sector investment in large renewable energy parks, the early delineation of offshore wind zones, and the rise of green-industry projects aligned with Brazil’s broader ecological transition agenda. Taken together, these developments help consolidate Brazil’s position as one of the world’s cleanest large-scale energy matrices.

E-mobility is becoming a global priority. How is Brazil encouraging the development of electric vehicles, biofuels, and sustainable public transportation, and what are the expectations for the expansion of these technologies in 2026?

Photo: Foto: Pixabay/Lando Hamukwaya

Brazil is promoting electric vehicles (EVs), biofuels, and sustainable public transport through a combination of industrial policy, fiscal incentives, and broader energy-transition frameworks. The Rota 2030 program provides tax incentives for the production of low-emission vehicles, while the newer Mobility and Innovation Green Program (Mover) raises the bar on energy efficiency, recycled-content requirements, and investment in clean technologies across the automotive supply chain. At the same time, Brazil remains a global leader in biofuels, reinforcing RenovaBio, expanding ethanol and biodiesel blending mandates, and advancing regulations for sustainable aviation fuels (SAF). Urban mobility policies increasingly favor electric and hybrid buses, with major cities investing in fleet renewal, charging infrastructure, and low-carbon transport plans.

By 2026, the country expects rapid growth in EV manufacturing, with a wider range of flex-hybrid and battery-electric models available to consumers, as well as the expansion of public charging corridors along key highways and in urban centers. Biofuel production — especially ethanol, biodiesel, and SAF — is projected to rise significantly, supporting both domestic decarbonization and potential export markets. Public transport systems are expected to incorporate a larger share of electric buses, backed by federal credit lines, green procurement rules, and municipal decarbonization strategies aligned with Brazil’s broader Ecological Transformation agenda.

Which strategic sustainable development guidelines are likely to define the upcoming year in Brazil, particularly in the areas of environmental protection, energy efficiency, and the circular economy?

Brazil’s strategic sustainable guidelines for the coming year converge on three main fronts: stronger environmental protection, higher energy efficiency, and a scaled-up circular economy. On the environmental side, key priorities include sustaining the recent decline in deforestation through the continued implementation and expansion of the PPCDAm  (Action Plan for the Prevention and Control of Deforestation in the Legal Amazon)  and the PPCerrado (government program designed to promote sustainable development and protect Cerrado biomes), tightening enforcement against illegal mining, logging and fires, and advancing an Amazon bioeconomy that values standing forest and increases Indigenous participation in decision-making and benefit-sharing.

In the energy sector, Brazil is set to keep expanding renewable sources — especially wind, solar, and biofuels — while introducing new efficiency standards under the Ecological Transformation Plan, and providing incentives for electric mobility, green hydrogen, and other low-carbon technologies. In the circular-economy agenda, federal policy is expected to advance national guidelines for recycling and reverse logistics, promote low-carbon and resource-efficient industrial processes, and encourage the sustainable use and traceability of critical minerals, all aligned with Brazil’s Sustainable Taxonomy and green-industry programs. Taken together, these measures seek to align climate and biodiversity goals with economic modernization, technological innovation, and greater social inclusion.

⃰ The Brazilian Cerrado is a vast, biodiverse tropical savanna in central Brazil, covering more than 2 million km². Known as the “cradle of waters,” it feeds major river systems and serves as a vital groundwater recharge zone. It is also a global biodiversity hotspot, home to an immense variety of plants, animals, and fungi, many of them endemic.

Interview by Milena Maglovski

The interview was published in Energy portal Magazine RESPONSIBLE BUSINNES

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