Brazil: Government issues regulations on SAF, carbon, and hydrogen

In brief

On August 13, 2026, the federal government published three new decrees that, together, regulate three pillars of Brazil’s energy transition policy: (i) the National Sustainable Aviation Fuel Program (ProBioQAV/SAF), (ii) carbon capture, pipeline transport, and geological storage (CCS/CCUS), and (iii) low-carbon hydrogen.

• Decree No. 13,094/2026 (SAF): ProBioQAV and the SAF Market

The decree regulates the National Sustainable Aviation Fuel Program, ProBioQAV, establishing the framework through which air operators must demonstrate compliance with the mandatory emission reduction targets set forth in Law No. 14,993/2024. The main instrument created is the SAF Sustainability Certificate (CS-SAF), a book-entry certificate representing the environmental attribute of SAF, which may circulate and be traded separately from the physical fuel under the Book & Claim model.

All SAF sold in Brazil for domestic or international flights must be linked to a CS-SAF, which will have a regulatory validity of 18 months and must be retired by the airline to demonstrate compliance with its obligation under the ProBioQAV program.

The decree also promotes the integration of the program with other decarbonization policies, such as RenovaBio and the Brazilian Emissions Trading System (SBCE), but seeks to avoid double-counting of environmental benefits. For this reason, it prohibits the issuance of CBIO in relation to SAF production and clarifies that the CS-SAF is not to be confused with carbon credits, CBIO, Brazilian Emission Allowances, or Verified Emission Reduction or Removal Certificates. Alternative sustainability certificates, such as the LCAF, CBIO, foreign SAF certificates under specific conditions, and CRVE from the Brazilian Emissions Trading System, may be used to offset the target up to a maximum of 5% of the mandatory annual target.

The decree assigns to the ANP the regulation of the production, certification, blending, traceability, issuance, and registration of CS-SAFs, while ANAC will be responsible for calculating, verifying, and monitoring operators’ compliance with the targets. The ANP and ANAC are required to issue supplementary regulations by the end of 2026.

• Decree No. 13,095/2026: Carbon Capture, Transport, and Geological Storage

Regulates CO₂ capture, pipeline transport, and geological storage activities, encouraging the formation of multi-user hubs, shared infrastructure, and CO₂ transport corridors, including through the repurposing of existing gas pipelines when technically feasible.

The Ministry of Mines and Energy (MME), with support from EPE, will develop an indicative plan to identify hubs, forecast national storage capacity, promote infrastructure sharing, define interconnection rules, and reduce systemic costs. The plan will be reviewed every two years.

The ANP is expected to regulate shared business models, in accordance with the principles of open access; transparency; non-discrimination; economic efficiency; competition; and infrastructure interoperability and governance.

It imposes on the operator of the storage facilities long-term post-injection monitoring obligations, which will initially have a term of 20 years. This term may be shortened upon presentation of technical evidence of the stability of the stored volume or extended for a new period if the stability of the carbon dioxide volume stored in the reservoir is not demonstrated. Even after the authorization and monitoring obligations have ended, the operator and its successors remain liable for events, risks, or damages related to geological storage, including storage safety, remediation of environmental damage, and compensation for affected third parties.

• Decree No. 13,096/2026 (hydrogen)

Regulates the legal framework for low-carbon hydrogen, governing aspects related to the National Hydrogen Policy, the Brazilian Hydrogen Certification System (SBCH2), the Special Incentive Regime for the Production of Low-Carbon Hydrogen (Rehidro), and the Low-Carbon Hydrogen Development Program (PHBC).

The ANP is responsible for authorizing the production of hydrogen, derivatives, and carriers, subject to applicable exemptions, in principle, for: R&D&I projects; production for own consumption; use as an industrial input; and non-energy uses. Facilities already in operation that do not fall under the exceptions provided for in the decree will have two years to apply for authorization.

The exploration and production of natural hydrogen will be carried out under concession contracts. The ANP may conduct a bidding process, adopt a simplified procedure outside sedimentary basins, include natural hydrogen in oil and gas bidding rounds, or negotiate its inclusion in existing contracts.

The decree also establishes the Brazilian Hydrogen Certification System (SBCH2), defines the tax treatment of Rehidro, and sets forth relevant requirements, such as local content, a minimum investment of 1% in R&D&I, and an additional allocation of 1% of the total investment toward sustainable development and energy transition projects.

PHBC tax credits will be granted between 2030 and 2034 through a competitive bidding process conducted by the Ministry of Finance. Producers and industrial consumers of low-emission hydrogen or derivatives produced in Brazil may participate. Priority is given to self-consumption projects in the fertilizer, steel, cement, chemical, petrochemical, and heavy transportation sectors.