According to the ANP, RenovaBio is responsible for establishing national targets, defined for a period of 10 years, for the decarbonization of the sector. The targets were defined by CNPE Resolution No. 15 , of 2019, and will be annually broken down into individual mandatory targets for fuel distributors, according to their shares in the fossil fuel market.
From this, through the certification of biofuel production, scores will be assigned, in a value inversely proportional to the carbon intensity of the biofuel produced, to each producer and importer. The score, known as the Energy-Environmental Efficiency Score, will denote the individual contribution of each producer agent to the mitigation of a certain amount of GHG in relation to its fossil substitute.
The origin of the biomass energy source, the raw material for the vietnam mobile database biofuel. For example, in the case of biomass produced in Brazil, only that produced on a property with an active or pending Rural Environmental Registry (CAR) and without any occurrence of native vegetation suppression based on the legal frameworks of RenovaBio will be considered.
Finally, in addition to establishing and contributing to the fulfillment of the commitments adopted in the Paris Agreement, RenovaBio also aims to promote the adequate expansion of biofuels in the energy matrix, with an emphasis on the regularity of fuel supply and ensuring predictability for the fuel market, inducing gains in energy efficiency and reduction of greenhouse gas emissions in the production, commercialization and use of biofuels.
The enactment of the law also created the Decarbonization Credit (CBIO), which can be understood as a financial asset, traded on the stock exchange, and issued by producers and importers of biofuels. To meet decarbonization goals, distributors are required to purchase CBIO, whose unit is equivalent to one ton of carbon removed from the atmosphere – which means that producers can sell these credits to fossil fuel distributors and, as a result, there is a greater supply of credit for those who manage to decarbonize more.