Brazil’s Supreme Court Mediates Disputes Over Environmental Incentive Laws
Brasil
The Brazilian Development Bank and the Banco do Brasil Foundation signed agreements totaling more than US$ 767.8 thousand to strengthen agroecology networks in the State of Rio Grande do Sul. The initiative supports family farmers, settlements, and quilombola communities, focusing on sustainable production, technical training and expanding the food supply. The funds will be allocated to two initiatives led by Cooperbio and the Padre Josimo Cultural Institute. (BNDES)
The Ministry of Environment and Climate Change established the National Urban Afforestation Plan, with targets through 2045 to expand green areas in cities. The initiative aims to reduce urban heat islands, improve stormwater management and increase the share of the population with access to at least three trees nearby from 45.5% to 65%. The plan also includes expanding urban vegetation cover by 360,000 hectares. (MMA)
The Government of Brazil launched the Climate Plan, the country’s main national strategy to address climate change through 2035. The plan integrates emission reduction and adaptation measures, while also guiding climate financing, with a target to cut emissions by 59% to 67% by 2035 and achieve climate neutrality by 2050. The initiative includes more than 800 actions and 312 sectoral targets, involving 25 ministries and broad social participation. (MMA)
The Brazilian Institute of Environment and Renewable Natural Resources imposed more than US$ 950 thousand in fines and embargoed 1,600 hectares during Operation Metaverso in the State of Pará, targeting illegal deforestation and fraud in the timber sector. Inspectors identified over 1,000 hectares of deforestation on a single farm, seized timber and equipment and blocked three companies after detecting more than 14,000 fraudulent forest credits. (Ibama)
The Government of the State of Rio Grande do Sul launched ClimaRS, an integrated platform that brings together weather data, river levels and real-time risk alerts. The tool centralizes official information, allows location-based queries and enables alert notifications for the public, strengthening response to extreme climate events. This initiative is especially important considering the floods that hit the region in 2024. (Government of Rio Grande do Sul)
The Federal Public Prosecutor’s Office (MPF) filed lawsuits against carbon credit projects in the State of Amazonas for alleged violations of the rights of Indigenous and traditional communities. Investigations indicate the projects generated more than US$ 19 million without prior consultation with local populations. MPF is seeking the annulment of the credits, compensation and the return of funds to affected communities. (MPF)
The Brazilian Supreme Federal Court referred lawsuits challenging state laws that limit benefits for companies participating in environmental agreements — such as the Soy Moratorium, a voluntary pact signed in 2006 to prevent the purchase of soybeans from Amazon areas deforested after July 2008 — for a consensual resolution. The trial was suspended for up to 90 days to allow the parties to reach an agreement, while the case examines impacts on tax incentives, competition, and environmental protection. (STF)
The Federal Supreme Court declared unconstitutional a law from the State of Acre that allowed public forests to be transferred to private individuals after 10 years of use. The Court ruled that the measure reduced environmental protection, bypassed technical studies and violated federal regulations, contravening the constitutional principle of prohibiting environmental backsliding. (STF)
The Brazilian Development Bank will invest US$ 4.7 million in non-reimbursable funds in the Research and Development Program for Native Species Silviculture, coordinated by Embrapa and UFSCar. The initiative aims to expand sustainable native timber production, establish 14 study sites and six reference hubs, generate jobs and strengthen the bioeconomy, focusing on the Amazon and Atlantic Forest biomes. The program also plans future expansion to other biomes and increased participation from the private sector. (BNDES)
A report by Radar Verde warns that Brazil faces a growing risk of losing market access in the European Union if it does not advance in full traceability of the beef supply chain. Despite a 132.8% increase in exports to the bloc in 2025, none of the analyzed slaughterhouses demonstrated robust control over indirect suppliers, the main deforestation risk. About 80% monitor direct suppliers, but 87% still have low overall supply chain control, potentially failing to meet the new EU regulation requiring complete geolocation of cattle origin by 2027. (Radar Verde)
Researchers from Federal University of Minas Gerais, Center for Life Institute, Trase, and the Territorial Intelligence Center warn that the withdrawal of the Brazilian Association of Vegetable Oil Industries and major trading companies from the voluntary Soy Moratorium exposes over 13 million hectares of native vegetation in the Amazon region. Since 2008, the moratorium has helped limit the conversion of forest into cropland, keeping deforestation below 4% of new soybean areas. The end of the agreement could undermine the sector’s credibility and put international markets, especially China and the European Union, at risk of boycotts. (UFMG)
The executive report of COP30 consolidates 56 international decisions on mitigation, adaptation, financing and technology. Highlights include the goal to mobilize US$ 1.3 trillion by 2035, triple adaptation funding and achieve zero deforestation by 2030. The event also launched the Tropical Forests Forever Fund, supported by 52 countries and the European Union. (Agência Brasil)
The state of Minas Gerais fined the mining company Vale S.A. US$ 16.7 million for providing false information about the safety of the dam that collapsed in the city of Brumadinho in 2019. Authorities concluded that the company reported inaccurate data on the structure’s stability, hindering oversight. (Government of Minas Gerais)
Latin America
Chile’s Ministry of Agriculture announced the appointment of Aída Baldini as the new executive director of the National Forestry Corporation. Her administration will focus on the transition to the future National Forestry Service (Sernafor) and strengthening the protection of forests and communities. Conaf also updated the rules for the use of fire in controlled burns, maintaining restrictions in several regions and requiring prior authorization to help prevent wildfires. (Conaf)
The Ministry of Environment of Colombia announced the approval of 27 projects totaling US$ 146.2 million, aimed at the restoration and conservation of 31,465 hectares of strategic environmental areas. The initiatives prioritize municipalities with less than 10% forest cover. (Ministry of Environment)
The Institute of Hydrology, Meteorology and Environmental Studies and the Ministry of Environment of Colombia have observed signs of warming in the equatorial Pacific Ocean, indicating that the El Niño phenomenon could consolidate between June and August and may persist until the end of the year. Between April and August, a reduction in rainfall is expected in the Caribbean, Andean and Pacific regions, with potential impacts on agriculture, water resources and coastal ecosystems. (Ideam; Ministry of Environment)
The Ministry of Environment of the Dominican Republic and the Korea International Cooperation Agency launched a climate change monitoring project based on information and communication technologies in the Cotubanamá and Valle Nuevo National Parks. The project, running from 2023 to 2028 with a budget of US$ 6 million, focuses on data-driven park management, staff training and promoting community participation. (MMARN; Koica)
The government of Mexico has completed the containment of hydrocarbons in the Gulf of Mexico and is progressing with the cleanup of affected beaches, with approximately 91 tonnes of contaminated waste collected in Veracruz and Tabasco, reaching 85% overall progress. Land, sea and aerial operations are monitoring the coastline and protecting coastal ecosystems, while investigations aim to identify the source of the pollutant. (Semarnat)
The Ministry of Environment and Sustainable Development of Paraguay, in partnership with the Ministry of Economy and Finance, launched the National Water Resources Adaptation Plan. Funded by the Green Climate Fund, the plan aims to prepare the country to face the impacts of climate change by promoting sustainable water management. The initiative involves public agencies, the private sector and civil society, seeking to protect ecosystems, ensure water supply and guide strategic investments. (Ministry of Environment; FAO)
The Ministry of Environment of Peru approved the “Guide for the Management of Socio-Environmental Conflicts in the Environmental Sector”. The regulation establishes common criteria to strengthen the prevention and coordinated management of socio-environmental conflicts and is mandatory for all units, programs and projects of Minam, as well as its affiliated bodies and guides coordination with national, regional and local entities. (Ministry of Environment)
The Government of Peru officially established the Huamantanga and Chorro Blanco Regional Conservation Area in the city of Cajamarca. Covering 14,000 hectares, the area protects strategic ecosystems and water sources for over 116,000 residents, while ensuring water supply for coffee and avocado production. (Ministry of Environment)
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