We are engaged in the sustainable development of Brazil and we believe in the strength of the sugar-energy sector in this agenda. Participating in the process of building regulatory and legal structures that guarantee greater security for consumers and a stable environment for investments is part of our priorities.

We consider ethical, honest and transparent dialogue as a way to disseminate our institutional position on topics relevant to the whole of society.

We are signatories to the UN Global Compact in support of the Sustainable Development Goals that provide for the evolution and progress of various areas of society through our work.

LOW CARBON ECONOMY

PARIS AGREEMENT

WHAT IS IT?
It’s a global treaty that aims to curb global warming. The treaty sets a goal to maintain the global temperature rise in this century well below 2 degrees and to seek efforts to limit the temperature rise to 1.5 degrees Celsius.

WHY DO WE SUPPORT IT?
We believe that it highlights the converging efforts towards a full and sustainable development that strengthens the economy, considering the social and environmental impacts of productive activities. This commitment is essential to obtain concrete results towards the low carbon economy. As one of the largest producers of biofuel and bioenergy in Brazil, the company endorses the proposals and measures adopted in the document and reaffirms its commitment to adopting the best practices to align its business model with the global ambitions for sustainable development.

RENOVABIO

WHAT IS IT?
One of the most important milestones in Brazilian public policy that seeks to establish a joint strategy between public and private agents to generate predictability and enhance the role of all biofuels as instruments for the decarbonization of the transport matrix, in accordance with Brazil's goals in the context of the Paris Agreement.

WHY DO WE SUPPORT IT?
OThe sector proposes an effective and rapid regulation of RenovaBio, according to an actions schedule already pre-established by law, to guarantee the full operationalization of the program from the 2019/2020 harvest, certifying the adequate planning of private investments and the adequacy of the public sector to it, which should be the most important transport decarbonization program in the world.

ROTA 2030

WHAT IS IT?
It’s a program that establishes the reduction of the IPI rate on vehicle sales and provides greater incentives to R&D projects throughout the automotive sector chain. With the implementation of smart and technologically innovative industrial policies such as Rota 2030, vehicles will be able to perform even better with ethanol, making the parity between biofuel and gasoline reach more than 80%.

WHY DO WE SUPPORT IT?
We recognize the potential of biofuels in the electrification process (incentives for hybrid-flex cars). We believe that structured public policies to promote advanced propulsion technologies, such as hybrid vehicles with flex engines and vehicles with ethanol fuel cells, improve the energy efficiency of biofuels and provide environmental and public health benefits to society as a whole.

BIOELECTRICITY

WHAT IS IT?
Bioelectricity is a complementary source of clean energy. Its current capacity installed by the biomass source (from sugarcane), in general, exceeds that installed by the Itaipu plant, occupying the 3rd position in the Brazilian electric matrix, behind only hydroelectric and fossil fuel thermoelectric plants. Adding bioelectricity to the system means contributing to its reliability and mitigating the effects of the expansion of intermittent sources in the Brazilian electrical matrix.

WHY DO WE SUPPORT IT?
We believe in the importance of establishing a stimulating and long-term sectoral policy, with clear and continuous guidelines, seeking to guarantee the efficient use of this renewable energy resource.

COMPETITIVENESS IN AGROINDUSTRY

PRICING OF FOSSIL FUELS AND ETHANOL COMPETITIVENESS

WHAT IS IT?
The pricing of gasoline by Petrobras must be established with clarity and transparency, following the international market. Mistaken measures can generate an imbalance in the current tax structure of the fuel matrix, which currently recognizes the positive externalities of ethanol compared to fossil fuels and, as a consequence, withdraw the competitive advantage of the renewable in relation to the fossil.

WHY DO WE SUPPORT IT?
We understand that any pricing model that may be established must maintain a direct relationship between the values of derivatives practiced in the domestic market and those observed in the international market, converted into Reais using the current exchange rate.

BARRIERS/SUBSIDIES AND OPPORTUNITIES FOR SUGAR
AND CANE ETHANOL IN THE INTERNATIONAL MARKET

WHAT IS IT?
Brazil is responsible for 45% of the global sugar market. However, this is one of the most protected markets by tariff and non-tariff barriers. It’s worth remembering that Brazil has been one of the most affected and penalized by many of these distorted world trade practices.

WHY DO WE SUPPORT IT?
As the world’s largest sugarcane ethanol producer, Brazil must seek opportunities to open up the market for this product. The objective is to promote greater cooperation and trade through programs to encourage the use of biofuels and renewable energy in several international markets.