Brazilian Program for Biodiesel Production

The Brazilian Program of Biodiesel Production and Use (PNPB) was established by the federal government in 2004 with the aim of promoting a sustainable biodiesel production and use, admittedly a clean and renewable energy source. According to the U.S. Environmental Protection Agency (EPA), biodiesel can reduce by up to 57% of carbon dioxide emissions.

Among the fundamentals of PNPB is the social nature of the program, which seeks to strengthen family agriculture by creating jobs and increasing the income of farmers, besides encouraging the use of regional skills, with stimulus to the cultivation of new oilseeds, particularly on those areas considered unattractive to agriculture.

Today, a large number of families are part of PNPB. The Brazilian Ministry of Agrarian Development expects that, by the end of 2010, more than one hundred thousand families will be a part of PNPB, producing soybeans, castor bean, sunflower, palm oil, canola, cotton and peanuts.

According to MDA, the average household income of family farms participating in the PNPB is around US$ 2,450.00 for each family. In some cases, this means twice the family income prior to PNPB.

Social Fuel Seal – The Social Fuel Seal was created to encourage companies producing biodiesel to promote social inclusion. It identifies producers that contribute to family agriculture, guaranteeing them the right to participate in the larger lots for biofuel sale at auctions promoted by the Brazilian Agency of Petroleum, Natural Gas and Biofuels (ANP). The seal is awarded to producers who buy raw materials directly from family farmers in amounts predetermined by the MDA.

Paradigm shift – In 2005, with the Law No. 11.097 which regulates the market for this biofuel, the obligation of adding a minimum percentage of biodiesel to diesel oil sold at petrol pumps across the country was established. Today, in Brazil, we use the B5 (5% biodiesel and 95% petroleum based diesel), three years before the targets originally set by the program.

Thus, the PNPB represents the consolidation of a comprehensive and efficient program to add biodiesel into the Brazilian energy matrix, a process in which Ubrabio takes part in a serious and competent way from the start.

in a very short time, Brazil, who had not any production of biodiesel, is already among the four largest producers in the world, shifting, in a secure and gradual way, the paradigm of a society that used to depend on oil, which is an exhaustible source of energy and, according to top experts of the sector, has already reached its apex and is now headed toward its decline.

Quality assurance in all stages of production and commercialization of biodiesel is also among the guiding aspects of the program, alongside with the concern for the security of the supply and the economic viability of the product, striving for more and more competitive prices.

União Brasileira do Biodiesel e Bioquerosene - Ubrabio - All rights reserved

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