Brazil Targets 60,000 ha of Restoration and US$ 1.2 Billion in Carbon Credits
Brazil
Brazil assumed the presidency of the Climate Action Platform on Agriculture for Latin America and the Caribbean, a regional mechanism focused on climate cooperation in the agricultural sector. The country’s leadership is expected to strengthen regional integration, expand the exchange of experiences in low-carbon agriculture, and support the mobilization of climate finance for adaptation and sustainability in agriculture. (MAPA)
The National Institute of Meteorology said El Niño conditions are already in place and are expected to persist until the end of the 2026/27 austral summer. According to the agency, the phenomenon may intensify in the coming months, increasing the risk of lower rainfall in the North and Northeast, as well as the risk of soil moisture reduction and impacts on water resources, while the South is more likely to record above-average rainfall, flooding and river overflows. (Inmet)
The Public Prosecutor’s Office of the State of Goiás signed a conduct adjustment agreement with a farmer to restore degraded areas, compensate for environmental damage and regularize rural activities in the city of Cidade Ocidental. The agreement followed investigations into mineral extraction without environmental licensing, irregular suppression of native vegetation, the need to restore degraded areas and adjustments related to pesticide application and storage. The plan includes increase of planting density, invasive species control, compensation for illegal deforestation, submission of periodic technical reports to the Prosecutor’s Office, adaptation of pesticide storage facilities and compliance with minimum legal distances for pesticide application. (MPGO)
The Brazilian Development Bank launched the second phase of ProFloresta+, an ecological restoration program structured around carbon-credit sales. The new phase, announced during the 1st Economic Forum of Brazilian Ecological Transformation, seeks to expand the participation of Brazilian and international companies in the high-integrity carbon credits market. The initiative aims to restore up to 60 thousand hectares of vegetation, capture approximately 19 million tonnes of CO₂, and mobilize up to approximately US$ 1.16 billion in carbon-credit purchases, with priority focus on the Amazon Biome, but coverage across all Brazilian biomes. (BNDES)
The Court of Justice of the State of São Paulo upheld a decision ordering Usina Bazan to refrain from aerial spraying of pesticides within 250 meters of water sources or without observing technical and safety standards, under penalty of a fine of approximately US$ 193.7 thousand. Due to the irregular practice, the company was ordered to pay approximately US$ 464.9 thousand in environmental damages to the Municipal Environment Fund. The improper application of highly toxic pesticides exposed water resources, local biodiversity and public health to contamination risks. It also resulted in the death of a large number of bees. (TJSP)
JBS and Âmbar Energia announced an investment of approximately US$ 12.6 million to expand biomethane production at Friboi units in the State of Mato Grosso do Sul and São Paulo. The initiative has the potential to add more than 14 million m3 of biomethane per year to the company’s energy mix, replacing fossil fuels with renewable energy produced from industrial waste. (JBS)
The Ministry of Education of Brazil launched the Brazil-Africa-Latin America and Caribbean Network, focused on educational policies for sustainability and climate resilience. The initiative, developed as part of Brazil’s COP30 agenda, initially brings together 11 countries and aims to promote cooperation among Global South nations. The network will map public policies and support training, research, monitoring and evaluation actions, with activities planned through 2028. (MEC)
Embratur published released the Sustain
The Round Table on Responsible Soy said updates to the EU Deforestation Regulation continue to pressure Brazilian soybean exporters, despite administrative simplification. According to the organization, traceability, geolocation and physical segregation requirements for grains remain challenging for farmers and companies in Brazil. The regulation takes effect on December 30th, 2026, for large and medium-sized operators, and on June 30th, 2027, for micro and small companies. (RTRS)
The Ellen MacArthur Foundation, the City of Recife, the Ministry of Environment of Brazil and companies such as Mars, Nestlé, PepsiCo and Unilever announced a partnership to structure a circular economy model in Recife, State of Pernambuco. The initiative aims to improve waste collection, recycling and reuse systems, with the potential to unlock up to approximately US$ 58.1 million in multi-year investments and begin implementation in 2027. (Ellen MacArthur Foundation; City of Recife)
The Ministry of Finance said the Ecological Transformation Plan has already raised approximately US$ 27.1 billion through Eco Invest Brasil and expanded Climate Fund resources to approximately US$ 5.3 billion in 2026. The strategy combines financial instruments, international fundraising, climate funds and market mechanisms to attract private capital to decarbonization and sustainability projects. (Ministry of Finance of Brazil)
Bradesco was one of the winning banks in the 4th Eco Invest Brasil auction, focused on the bioeconomy and the Amazon Biome. The institution is expected to direct part of approximately US$ 310 million in planned financing to bioindustrialization, including bioenergy, biochemicals, biomaterials, pharmaceutical bioactives, bioinputs, agribusiness additives, and functional ingredients. (Bradesco)
The State of Espírito Santo, ARSP, ES Gás and Marca Ambiental signed an agreement to implement the State’s first integrated biomethane and CNG fueling point in operational garages. The initial phase provides for approximately US$ 3.3 million in investments in fueling infrastructure and the purchase of heavy vehicles powered by biomethane and compressed natural gas. The initiative aims to reduce emissions, expand energy recovery from waste, and strengthen the circular economy. (Government of Espírito Santo)
Solví highlighted, in its sustainability report, a partnership with Embasa to optimize more than approximately US$ 96.9 million in sanitation investments, in addition to approximately US$ 1.2 million allocated to cultural, sports, social and environmental projects. The company said more than 100 thousand people were impacted by socio-environmental initiatives carried out by Instituto Solví in 2025. (Solví)
Scatec started commercial operations at the 142 MW Rio Urucuia solar power plant in the State of Minas Gerais. The project is the company’s third solar asset in Brazil and increases its installed capacity in the country to 835 MW. The plant had estimated capex of US$ 91 million, including US$ 27 million in financing from Banco do Nordeste and a 10-year power purchase agreement with Statkraft for approximately 75% of expected generation. (Scatec; Banco do Nordeste; Statkraft)
A sector coalition presented proposals to Brazil’s National Environment Council and Brazil’s National Water Resources Council to standardize environmental data used by the financial sector in credit and investment analysis. The initiative seeks to integrate state-level information on licensing, environmental infractions, embargoes and water resources, reducing blind spots in socio-environmental risk assessment. (SIS; Conama; CNRH)
Instituto Sabin opened applications for Jornada TransformAção 2026, a free initiative focused on social and environmental impact businesses. The program offers training, mentoring and cash prizes for selected projects, aiming to strengthen entrepreneurs working with impact solutions. (Instituto Sabin)
The Ministry of Agrarian Development and the National Institute for Colonization and Agrarian Reform issued 1,390 land titles to families in the State of Mato Grosso do Sul and announced a package of approximately US$ 60.6 million for agrarian reform, family farming and productive infrastructure. At the Itamarati Settlement, in Ponta Porã, approximately US$ 3.9 million was announced for the recovery of cooperatives, with actions focused on grain storage, loss reduction, agroindustrialization, commercialization, water infrastructure, and energy transition. The agenda also included contracts under the Food Acquisition Program and resources from Crédito Instalação, an Incra program designed to support settled families with housing, productive infrastructure, and the start of activities on their plots, under the Fomento Mulher, Housing and Initial Support modalities. (MDA; Incra)
The Brazilian Association of Infrastructure and Basic Industries – Abdib said annual investments in sanitation in Brazil more than doubled after the sector’s new legal framework, rising from approximately US$ 3.5 billion to US$ 8.1 billion. The current pace is still unlikely to allow the country to meet the 2033 universalization target, but represents the largest advancement cycle in the history of Brazilian sanitation. Abdib estimates that approximately US$ 9.7 billion/year over ten years would be needed to universalize water and sewage services in the country. (Abdib)
Latin America
Argentina announced the entry of foreign private capital into a new nuclear project estimated at US$ 1.2 billion. The investment would be led by Meitner Energy, a consortium involving Ansari Group and Argentine company Invap, for the construction of a new reactor in the country. The project comes amid the restructuring of the nuclear sector of Argentina and debate over the role of nuclear power in the energy transition. (Ansari Group; Invap)
Argentina selected 20 battery energy storage projects totaling 700.5 MW, with estimated investment of US$ 700 million. The projects will be developed by five companies across seven regions of the country and aim to strengthen the power system, reduce outages, increase grid flexibility, and support the integration of renewable energy sources. (Government of Argentina)
The Federal Emergency Agency and the Ministry of National Security of Argentina announced a strategic contingency plan for damage caused by El Niño in the La Plata Basin. Argentine rural areas are particularly vulnerable to risks associated with the phenomenon, especially Corrientes, Entre Ríos, and Misiones, with impacts also extending to Buenos Aires, Santa Fe, Formosa, and Chaco. The plan proposes a unified mitigation command, with central coordination alongside municipal governments. (AFE)
Itaipu Binacional verified progress at the first experimental green hydrogen production unit of Paraguay, installed at the Itaipu-Paraguay Technology Park. The unit uses water and clean power-generation from the hydroelectric plant to produce, store and use green hydrogen, including for charging an electric vehicle. The initiative aims to support the energy transition, train local specialists, and develop emerging technologies to diversify the country’s energy future. (Itaipu Binacional; PTI-PY)
Opdenergy signed a US$ 227 million financing agreement for a 371 MW operational renewable portfolio in Chile, comprising solar, wind, and battery storage assets. The transaction involves the 104 MWp Sol de Los Andes solar plant, the 90 MW/513 MWh Sol de Los Andes BESS battery system, the 50 MW La Estrella wind farm, and a 17 MW solar portfolio in Valparaíso. The financing was provided by SMBC, BNP Paribas, and Instituto de Crédito Oficial, reinforcing the expansion of renewable energy and storage in the country. (Opdenergy)
The Ministry of Industry and Commerce of Paraguay raised the mandatory biodiesel blend in Type III diesel to between 8% – 10%, effective in July. The measure replaces the previous 5% rule and is expected to increase demand for locally produced biodiesel, in line with the country’s policy to partially replace imported fuels. (Ministry of Industry and Commerce; Lower House of Congress of Paraguay)
The Ministry of Environment of Uruguay reported progress in a project to strengthen sustainable livestock farming, developed under the EUROCLIMA LAC program. A Uruguayan technical delegation visited Ireland and Spain to exchange experiences on livestock sustainability, emissions measurement and management, certification of agricultural products, biodiversity, innovation, and rural development. The initiative involves the Ministry of Agriculture, the Ministry of Environment, the National Meat Institute, and the International and Ibero-American Foundation for Administration and Public Policies. (Ministry of Environment of Uruguay)
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