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Fuels and biofuels in Brazil: ethanol and biodiesel blends, RenovaBio decarbonization credits, SAF and green diesel

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Last verified: 2026-10-27 · Status: Changing

Brazil mandates blending: regular gasoline carries 32 percent anhydrous ethanol since 1 August 2026 on a temporary basis, and the law sets a rising biodiesel schedule that the CNPE applies between 13 and 25 percent. Fuel distributors must also buy and retire decarbonization credits (CBIOs) issued by certified biofuel producers, and since the 2024 reform missing the target is a crime with fines up to R$500 million and loss of the distribution licence. New programs add sustainable aviation fuel duties for airlines from 2027 and a green diesel share of up to 3 percent.

USD figures use the Banco Central do Brasil PTAX selling rate of R$5.3346 per US dollar for 27 October 2026. Conversions are for orientation only.

Key facts

Mandatory anhydrous ethanol in regular gasoline (temporary)32 %Resolução CNPE nº 9/2026 art. 1, as of 2026-08-01 · in force
Mandatory anhydrous ethanol in premium gasoline25 %Resolução CNPE nº 9/2025 art. 1 II, as of 2025-08-01 · in force
Legal ceiling for the ethanol blend35 %Lei nº 8.723 art. 9 § 1, as of 2026-10-27 · in force
Maximum biodiesel blend the CNPE may set25 %Lei nº 13.033 art. 1 § 1, as of 2026-10-27 · in force
Legal biodiesel blend target from 1 March 203020 %Lei nº 13.033 art. 1 VI, as of 2026-10-27 · in force
Maximum fine for missing a RenovaBio target500000000 BRLLei nº 13.576 art. 9 § 1, as of 2026-10-27 · in force
Domestic aviation emission cut through SAF from 203710 %Lei nº 14.993 art. 10, as of 2026-10-27 · in force
Maximum mandatory green diesel share3 %Lei nº 14.993 art. 13 § 1, as of 2026-10-27 · in force

The rule

1. Anhydrous ethanol must be added to gasoline nationwide at 27 percent by volume, and the Executive may raise the blend up to 35 percent if technically feasible or cut it to 22 percent.Lei nº 8.723, art. 9 as worded by Lei nº 14.993 of 8 October 2024, Lei nº 14.993 art. 32 (Lei nº 8.723 art. 9 caput and § 1), 2024-10-08 official text · verified 2026-10-27 · changed: Lei nº 14.993 of 8 October 2024 widened the ethanol blend band to 22 to 35 percent.
2. The CNPE fixed the ethanol blend at 30 percent in regular gasoline and 25 percent in premium gasoline from 1 August 2025.Resolução CNPE nº 9 of 25 June 2025, Arts. 1 and 3, 2025-06-25 official text · verified 2026-10-27
3. On an exceptional and temporary basis, the CNPE set 32 percent anhydrous ethanol in regular gasoline from 1 August 2026, for 180 days, extendable once for the same period by act of the CNPE President, suspending the 30 percent level meanwhile. The tolerance of 1 percentage point either way is a measurement allowance only and not a compliance band.Resolução CNPE nº 9 of 14 July 2026 (DOU 30 July 2026), Arts. 1 to 4, 2026-07-14 official text · verified 2026-10-27 · changed: E32 replaced E30 in regular gasoline from 1 August 2026 for 180 days, with one possible extension of 180 days.
4. Biodiesel blending in diesel follows a legal schedule of 15 percent from 1 March 2025, 16 percent from 1 March 2026, 17 percent from 1 March 2027, 18 percent from 1 March 2028, 19 percent from 1 March 2029 and 20 percent from 1 March 2030. The CNPE assesses feasibility and fixes the mandatory blend between 13 and 25 percent; a blend above 15 percent requires proven technical feasibility.Lei nº 13.033, art. 1 as worded by Lei nº 14.993, Lei nº 14.993 art. 33 (Lei nº 13.033 art. 1 caput and §§ 1 and 2), 2024-10-08 official text · verified 2026-10-27
5. As a national energy policy guideline, at least 80 percent of the biodiesel sold to meet the blend should come from plants holding the Social Biofuel Seal, and all of it from producers authorized by the ANP.Resolução CNPE nº 5 of 1 April 2026, as amended by Resolução CNPE nº 12 of 14 July 2026, Art. 1 I and IV, 2026-04-01 official text · verified 2026-10-27 · changed: Resolução CNPE nº 12 of 14 July 2026, in force 1 August 2026, added the rule that all blend biodiesel come from ANP authorized plants.
6. RenovaBio sets annual compulsory greenhouse gas reduction targets for fuel sales over at least ten years, split each year into individual targets for every fuel distributor in proportion to its share of fossil fuel sales in the prior year. Distributors prove compliance with the decarbonization credits (CBIOs) they hold; up to 15 percent of a year's target may be met in the next year if the prior year's target was met in full.Lei nº 13.576 (RenovaBio), Arts. 6 and 7 §§ 2 and 4, 2017-12-26 official text · verified 2026-10-27
7. CBIOs are issued in book entry form at the request of certified biofuel producers or importers, in proportion to the volume sold and to the energy and environmental efficiency score in their certificate. The issue must be requested within 60 days of the sale invoice, or the right lapses. CBIOs trade on organized markets, including auctions.Lei nº 13.576, Arts. 13 §§ 1 and 2, and 15, 2017-12-26 official text · verified 2026-10-27
8. Missing the individual target is an environmental crime for the distributor and its managers, plus a fine proportional to the CBIOs not retired, between R$100,000 and R$500,000,000, priced at the highest monthly average CBIO price in the compliance period. Once a defaulting distributor appears on the ANP sanctions list, producers, importers and other suppliers may not sell it any fuel, under fines of R$100,000 to R$500,000,000. Missing the target in full or in part for more than one year leads to revocation of the distribution authorization, and successors must cure the default before a new authorization.
Cost to do it: Fine R$100,000 to R$500,000,000 (about US$18,746 to US$93.73 million).
Example: Maximum fine: R$500,000,000. / About US$93.73 million.Lei nº 13.576, arts. 9, 9-B and 9-C as worded by Lei nº 15.082 of 30 December 2024, Lei nº 15.082 art. 2, 2024-12-30 official text · verified 2026-10-27 · changed: Lei nº 15.082 of 30 December 2024 raised the fine ceiling from R$50 million to R$500 million, made non compliance a crime, created the supply ban (in force 90 days after publication) and licence revocation.
9. Airlines must cut greenhouse gas emissions on domestic flights by using sustainable aviation fuel: 1 percent from 1 January 2027, rising one point a year to 10 percent from 1 January 2037.Lei nº 14.993 (ProBioQAV), Art. 10, 2024-10-08 official text · verified 2026-10-27
10. The CNPE sets each year a minimum mandatory share of green diesel made only from renewable biomass in the diesel sold to final consumers, capped at 3 percent; voluntary use above that is allowed with notice to the ANP.Lei nº 14.993 (green diesel program), Art. 13 caput and § 1, 2024-10-08 official text · verified 2026-10-27
InstrumentWho is obligedLevel
Ethanol in regular gasolineFuel chain, checked at sale32 percent from 1 August 2026 for 180 days (base 30 percent)
Ethanol in premium gasolineFuel chain25 percent
Biodiesel in dieselFuel chainLegal path 15 to 20 percent (2025 to 2030), CNPE band 13 to 25 percent
CBIO targetFuel distributorsIndividual yearly target by market share
SAFAirlines, domestic flights1 percent cut from 2027 to 10 percent from 2037
Green dieselDiesel salesSet yearly by CNPE, up to 3 percent
BiomethaneGas producers and importers0.5 percent in 2026 (see Natural gas)

Blend mandates and decarbonization duties (Lei nº 14.993, Lei nº 13.576, CNPE resolutions).

Worked example

  • Each liter of regular gasoline sold since 1 August 2026 contains 0.32 liter of anhydrous ethanol (Resolução CNPE nº 9/2026). A distributor that misses its CBIO target faces a fine of up to R$500,000,000 (about US$93.73 million), a supply ban once listed by the ANP and, after more than one year, revocation of its licence (Lei nº 13.576 arts. 9 to 9-C).

Step by step

  1. 1. Obtain ANP authorization for the fuel activity (production, import, distribution or resale).
  2. 2. Biofuel producers: certify the plant under RenovaBio to obtain an efficiency score and issue CBIOs within 60 days of each sale invoice.
  3. 3. Distributors: check the yearly individual target published by the regulator and buy and retire CBIOs before the deadline.
  4. 4. Track CNPE resolutions on ethanol, biodiesel, green diesel and biomethane levels; the E32 measure runs 180 days from 1 August 2026, with one possible extension.
  5. 5. Airlines operating domestic routes: plan SAF supply for the 1 percent cut from 2027.

Common traps

  • E32 is temporary; plan logistics for a return to 30 percent or an extension.
  • The 1 point tolerance on ethanol content is not a compliance range (Resolução CNPE nº 9/2026 art. 3).
  • The legal biodiesel schedule is not self executing: the blend in force is the one fixed by the CNPE inside the 13 to 25 percent band.
  • Under Lei nº 15.082 a CBIO shortfall is a crime and also triggers a supply ban, so the cost of default far exceeds the CBIO price.
  • Buying a distributor that lost its licence for CBIO default means inheriting the unmet target before a new authorization.

Sources

Related pages

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