Brazil has the potential and capacity to become a world leader in the near-zero carbon products of the future. Brazil’s energy mix is among the cleanest in the world, where renewables are responsible for 85% of electric power generation. The volume of clean power – combined with the country’s potential to produce green hydrogen – will prove critical to decarbonizing Brazil’s heavy industries.
In October 2023, the First Movers Coalition (FMC) of the World Economic Forum held a three-day workshop in Brazil to discuss how to decarbonize the country’s hard-to-abate steel, aluminium and aviation sectors. This white paper ”Decarbonizing Brazil’s Steel, Aluminium and Aviation Sectors” prepared by WEF presents the workshop’s findings and recommendations.
Financial solutions discussed at the workshop focus on the role of Brazil’s federal and state development banks to make concessional finance available, along with the part that multilateral lenders, the private sector and innovative financial products could play in de-risking investment in decarbonizing Brazil’s steel, aluminium and aviation industries. Policy solutions include the role of government strategy, mandates and incentives, as well as the potentially game-changing impact of Brazil’s forthcoming new carbon market.
Access the complete paper here
