The Federal Chamber of Deputies received for analysis Bill No. 5,174/2023, presenting the ambitious Energy Transition Acceleration Program (PATEN). The main objective of the project is to catalyze sustainable development, focusing on the expansion of infrastructure and research, especially in the areas of renewable energy and clean fuels.
PATEN establishes clear goals, seeking to encourage financing for projects aimed at sustainable development. Furthermore, it intends to bring financing institutions closer to companies interested in sustainable projects, in addition to allowing the use of private credits as a financing instrument.
Standing out in the initiative are projects that encompass infrastructure works, technological research and innovation, aiming for socio-environmental benefits and the mitigation of environmental impacts. Priority sectors include the development of renewable fuel technologies, expansion of clean energy production and transmission, and the replacement of polluting energy matrices with renewable sources.
The Guarantee Fund for Sustainable Development, known as the Green Fund, is one of the instruments proposed to mitigate financial risks in projects approved by PATEN. This fund aims to guarantee, in whole or in part, financing granted by financial institutions.
Another relevant tool is the tax transaction conditioned on investment in sustainable development. Companies with approved projects can submit debt transaction proposals with discounts on fines, interest and legal charges, regardless of the assessment of the degree of recoverability of the credits.
In the broader scenario, Bill No. 412/2022, approved in the Senate on October 18, 2023 and sent to the Chamber, establishes the Brazilian Greenhouse Gas Emissions Trading System (SBCE). This proposal seeks to regulate tradable assets, the trading of these assets and carbon credits in the Financial and Capital Markets.
The initiative also impacts taxation, establishing rules for companies taxed on real profit. Furthermore, PATEN provides for deductions in Income Tax and Social Contribution on Net Profit for expenses related to the reduction or removal of greenhouse gas emissions linked to the generation of these assets.
Finally, on November 7, 2023, the Ministry of Mines and Energy presented a proposed Bill for the legal framework for hydrogen in Brazil. This proposal reinforces the country's commitment to the diversification of energy sources and the search for sustainable solutions in the sector.
The PATEN Bill proposal marks a significant step towards the energy transition in Brazil, focusing efforts on sectors essential for sustainable development. By prioritizing projects related to renewable fuel technologies and the expansion of clean energy production and transmission, PATEN aligns with global demands for cleaner and more efficient sources. The creation of the Green Fund and the possibility of tax transactions conditional on sustainable investments provide crucial financial tools to drive innovative initiatives. However, the sectoral analysis also highlights the importance of effective regulation and rigorous oversight to ensure that approved projects meet sustainable development criteria and truly promote the transition to a greener energy matrix. PATEN emerges as a legislative framework that, if successfully implemented, can catalyze significant changes in the Brazilian energy landscape, contributing to national and global sustainability goals.
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