Lula sanctions, with vetoes, law that regulates offshore wind energy production

by Andrea
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The president (PT) sanctioned Bill No. 576/2021, which regulates offshore production, but vetoed provisions considered incompatible with the main objective of the proposal. The decision was published in Official Gazette of the Union this Friday (10), marking a regulatory milestone for the offshore energy sector in Brazil.

Offshore wind energy generation uses turbines installed on fixed or floating platforms on the seabed, taking advantage of the constant and intense force of offshore winds. This, considered more efficient than onshore wind, is a clean and renewable energy source. With the new law, Brazil seeks to consolidate itself as a global reference in energy transition, reducing costs and strengthening energy security.

The legislation defines guidelines for the use of energy potential in areas under the Union’s control, such as the territorial sea and the continental shelf. It also provides incentives for national industry, job creation, and sustainability, including requirements for the decommissioning of facilities and the environmental restoration of explored areas.

During its processing in Congress, the original text of the project was changed with the inclusion of devices known as “jabutis” — amendments unrelated to the initial proposal. Among the vetoed articles are:

  • Compulsory contracting of fossil sources: Devices that forced the contracting of energy from coal and natural gas thermoelectric plants were blocked because they contradicted the energy transition agenda and increased costs for consumers.
  • Change in tariff indices: changes that could increase energy tariffs by up to 9% and generate an additional cost of R$545 billion by 2050 were also vetoed.
  • Subsidies and incentives for nascent technologies: Articles that expanded subsidies or required contracting for sources still under development, such as liquid hydrogen, were considered unfeasible due to cost uncertainty.

According to the government, these devices would represent negative impacts, both economic and environmental, in addition to discouraging investments in renewable energy. Presidential vetoes will still be analyzed by the National Congress, which may maintain or overturn them. Representative Zé Vitor (PL-MG), the project’s rapporteur, indicated that there is coordination to reverse the vetoes, but the government has already signaled its willingness to defend its decision, including possible legal measures.

The regulatory framework establishes a new level for Brazil in the exploration of offshore energy, with the potential to attract investments and promote a cleaner energy matrix. Currently, the country is the sixth largest producer of wind energy in the world and, with regulation, hopes to consolidate its leadership in the global energy transition.

Published by Felipe Dantas

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