Starting August 1, Brazil will implement a major shift in its fuel policy with the nationwide adoption of a 30% anhydrous ethanol blend in gasoline, replacing the current 27% blend (E27). This move is a historic milestone and marks a bold step forward in the country’s energy transition strategy. The higher ethanol blend not only reinforces Brazil’s energy sovereignty and reduces its reliance on fossil fuels but also underscores the vital role of biofuels in building a more sustainable and resilient energy future.
According to data released by the Brazilian Ministry of Mines and Energy the shift to a 30% ethanol blend (E30) is expected to prevent the emission of approximately 3 million tons of fossil CO₂ into the atmosphere each year. In addition to the environmental benefits, the government anticipates significant positive impacts on the national economy and regional development. The Ministry also projects that the transition to E30 will boost demand for anhydrous ethanol by approximately 1.5 billion liters annually.
This measure is part of Fuel of the Future Program, a public initiative that continues Brazil’s long and successful history of incorporating biofuels into its transportation energy matrix. The country’s journey began in 1931, when the first law mandating a 5% ethanol blend in gasoline was enacted. During World War II, ethanol gained strategic importance, as gasoline imports became increasingly difficult. In some regions, the ethanol blend reached nearly 42%.
Later, the global surge in oil prices prompted the Brazilian government to launch the National Ethanol Program (Proálcool). Initially focused on expanding anhydrous ethanol production, the program aimed to reduce Brazil’s dependence on oil imports. Proálcool played a crucial role in laying the foundation for the country’s ethanol industry—driving investment, expanding infrastructure, and fostering innovation.
In 1979, Brazil saw the launch of its first car powered exclusively by ethanol: the Fiat 147. As a pioneer in its category, the Fiat 147 paved the way for large-scale production of vehicles running entirely on ethanol, helping Brazilian consumers become accustomed to fueling their cars directly with this alternative fuel.
Over time, technological advancements led to another milestone. In 2003, Brazil introduced a groundbreaking innovation: flex-fuel technology, developed entirely within the country. With flex-fuel engines, Brazilians gained the freedom to fill their tanks with any mixture of gasoline and ethanol, giving them greater flexibility and control over their fuel choices. Today, about 90% of vehicles (31.8 million units) and 50% of motorcycles (about 7 million units) in Brazil are flex-fuel. The widespread adoption of this technology has also had a significant environmental impact—helping prevent the release of approximately 720 million tons of CO₂ into the atmosphere.
Following the signing of the Paris Agreement and aiming to implement Brazil’s Nationally Determined Contributions (NDCs), the country launched the RenovaBio policy in 2017, recognizing the strategic role of biofuels in meeting its emission reduction targets. RenovaBio is designed to reduce the carbon intensity of Brazil’s transportation sector by promoting the increased use of biofuels. A central feature of the policy is the creation of a carbon credit market, allowing fuel distributors to offset emissions from fossil fuels by purchasing credits linked to certified biofuel production. The policy has already prevented the emission of 147.6 million tons of CO2.
Other governmental initiative that supports the transition to a low-carbon transportation matrix includes the national program Green Mobility and Innovation (Mover). This initiative aims to enhance the sustainability of Brazil’s automotive fleet, promote the development of innovative technologies in mobility and logistics, and establish new blending targets for ethanol in gasoline and biodiesel in diesel. It reinforces Brazil’s commitment to cleaner, more efficient transport solutions.
All these milestones in Brazil’s trajectory position the country as a global example of how biofuels—when supported by well-designed public policies—can offer a powerful solution not only for energy security, but also for driving economic and social development, and, most importantly, for reducing CO₂ emissions. Through its history and achievements, Brazil offers a proven model for addressing the challenges of the climate crisis. In this sense, the country serves as a living showcase to the world — a demonstration that sustainable, large-scale alternatives to fossil fuels are both possible and effective.
