The Ministry of Mines and Energy (MME) released a draft decree that regulates the National Program for the Decarbonization of Natural Gas Producers and Importers and Biomethane Incentives, established by Law 14,993/24 (Fuel of the Future Law). The draft establishes a series of definitions and guidelines for the certification and control of biomethane in Brazil.
Among the terms defined, the "certifying agent of provenance" (ACO), responsible for the certification of biomethane, and the "obliged agent", which must to substantiate, prove the existence of the decrease, reduction of greenhouse gas emissions greenhouse (GHG).
The draft decree also mentions the "volunteer agent", who consumes biomethane or uses the Biomethane Guarantee of Origin Certificate (CGOB) to attest, to vouch for the decrease, reduction in emissions.
The document details the "CGOB retirement", which is the definitive withdrawal of the certificate from the market, and introduces the concept of "environmental attribute", which proves the renewability of biomethane. In addition, it addresses "life cycle assessment" as a methodology for quantifying GHG emissions and energy consumption from products or services.
The main points addressed include the definition of regulatory targets for the acquisition of CGOBs by obliged agents, with the aiming of increasing the share of biomethane in natural gas consumption. The ANP (National Petroleum Agency) is designated to regulate and monitor compliance with these targets, which start at 1% in 2026, based on the availability of biomethane.
To provide for the targets, a regulatory impact analysis (RIA) will be carried out, which will assess the capacity of the infrastructures and the competitiveness of biomethane. Biomethane producers and importers must comply with a number of obligations, including biomethane certification and traceability of certificates issued.
The text also addresses the penalties for non-compliance with the rules. Administrative sanctions include fines ranging from R$ 100 thousand to R$ 50 million, in addition to publication of condemnatory decisions and restrictions on rights.
Among the main topics addressed in the draft are:
Targets and regulations: proof of compliance with the annual regulatory target of GHG decrease, reduction by obliged agents.
Evaluation methodology: sum of life cycle assessment in quantifying GHG emissions and energy consumption.
Biomethane certification: details about the Biomethane Guarantee of Origin Certification (CGOB) and the requirements for its issuance.
Impact and sustainability: how the decree promotes the sustainability and traceability of biomethane in Brazil.
Production and generation of biomethane: processes for collecting, draining and treating raw material for the generation of biomethane.
Natural gas consumption: volume of natural gas consumed in specific processes and its relationship jointly with biomethane production.
GHG emissions: measures of emissions, conversion to carbon dioxide equivalent and relationship jointly with the carbon intensity of the energy source.
Documentation and registration: tax documents required for biomethane operations and traceability by registration entities.
Incentives and regulations: instruments to stimulate the production and consumption of biomethane, including financing and special schemes.
Regulatory goal: definition of the regulatory goal for the participation of biomethane in the consumption of natural gas and suggestion of how agents should comply with it.
Natural gas and biomethane infrastructure: suggestion of infrastructure needs for the production and distribution of biomethane.
Proof of achievement of the targets: methodology to substantiate, prove the existence of the achievement of the targets considering the participation of biomethane.
Regulatory impact analysis (RIA): need to accomplish an RIA before setting goals.
Conversion of targets into volumetry: conversion of emission decrease, reduction targets into annual biomethane volumetric targets.
Impact of decarbonisation: possibility of decrease, reduction of emission targets based on decarbonisation resulting from the use of biogas.
Rights and obligations of biomethane producers: responsibilities of biomethane producers and importers.
Inspection and penalties: the debt security of the National Agency of Petroleum, Natural Gas and Biofuels (ANP) in inspection and the consequences of non-compliance with the rules.
Machado Meyer's Infrastructure team is available to answer any questions on the subject.
