In 2015, the world witnessed a landmark moment in international climate cooperation. In Paris, during the 21st UNFCCC Conference of the Parties (COP21), 195 countries adopted the historic Paris Agreement. This legally binding international treaty aims to limit global warming to well below 2°C — with aspirations to restrict it to 1.5°C — compared to pre-industrial levels.
To achieve the goals of this agreement, each country submitted voluntary emission reduction targets known as Nationally Determined Contributions (NDCs). An NDC outlines a country’s plan to reduce greenhouse gas emissions and contribute to the global climate target. These commitments must be updated every five years—not only to reflect evolving national circumstances, but also to encourage greater ambition over time.
The first NDCs were submitted in 2015, followed by a second round in 2020/21. A third round is expected this year, ahead of COP30, which will take place in November in Belém.
NDCs are especially important because they translate into national public policies across key sectors such as energy, industry, transport, agriculture, and forest protection. These policies determine each country’s trajectory in reducing emissions and are essential to securing a sustainable future for all.
A strong example of how the Paris Agreement and its NDCs have positively influenced national public policy can be seen in Brazil. At the time of COP21, Brazil committed to reducing its greenhouse gas emissions by 37% by 2025, and 43% by 2030, compared to 2005 levels. The country also set ambitious energy targets: to increase the share of sustainable bioenergy in its energy matrix by approximately 18% by 2030, and to ensure that renewable energy accounts for 45% of the overall energy mix by the same year.
To support these goals, Brazil launched the National Biofuels Policy (RenovaBio) in 2017, recognizing the strategic role of biofuels in achieving its NDC targets. RenovaBio aims to lower the carbon intensity of Brazil’s transportation sector by promoting the expanded use of biofuels. A key feature of the policy is the creation of a carbon credit market, which enables fuel distributors to offset greenhouse gas emissions from fossil fuels by purchasing credits tied to biofuel production.
RenovaBio is structured around three strategic pillars: Decarbonization Targets, Biofuel Certification (with the generation of Decarbonization Credits – CBIOs), and Carbon Credit Market. CBIOs are tradable credits, with each CBIO representing the avoidance of one ton of CO₂ equivalent emissions. The system acknowledges that not all biofuels are equal—those with lower carbon intensity relative to fossil fuels generate more CBIOs per unit of volume.
The policy also sets important sustainability criteria for eligibility. Biofuel producers must ensure that the biomass used in their production does not originate from areas where native vegetation has been cleared. Additionally, they must demonstrate that the biomass was cultivated in compliance with Brazilian environmental legislation, as evidenced by proper registration and compliance within the Rural Environmental Registry (CAR) system.
The results and impact of this public policy are both clear and substantial. Since 2020, more than 147.6 million CBIOs have been retired—that is, removed from circulation and no longer available for trading—representing an equivalent volume of carbon dioxide emissions avoided. To put this into perspective, achieving the same climate impact would require planting and maintaining one billion native trees over the next 20 years.
Beyond its direct role in reducing emissions, RenovaBio has also driven significant improvements in the operational efficiency of biofuel producers. Since the program’s launch, over 280 certified ethanol production units have updated their data, showing an average 4% reduction in carbon intensity between their first and second certifications. This reflects a clear trend: biofuels in Brazil are becoming more sustainable, with fewer emissions per unit of energy produced.
As COP30 approaches and countries prepare to submit their revised Nationally Determined Contributions (NDCs), it is more important than ever to spotlight successful examples like Brazilian ethanol and the RenovaBio policy. These initiatives demonstrate that it is possible to align climate ambition with innovation, economic development, and sustainability. By sharing these success stories with the world, we can inspire other nations to adopt similar approaches—expanding the role of biofuels and renewable energy in their energy mixes. In doing so, we move closer to achieving our global climate goals and ensuring a healthier, more sustainable planet for generations to come.
