Download Agência Reguladora e Economia de Baixo Carbono

Governance and Low Carbon Policy
in Brazil
Ronaldo Seroa da Motta
Climate Change: Corporate Responsibility and Market Mechanisms
Wednesday, November 3, 2010. Sao Paulo, Brazil.
Tivoli São Paulo-Mofarrej Hotel
Brazil has made great advancements in climate
change policy
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National, state and municipal inventories
Emission targets at federal, state and municipal levels
Sectoral targets and plans
Proposals for voluntary carbon and REDD markets
Amazon Fund and National Technological Fund
Forums, Networks, Commissions and Committees
National Policy on Climate Change (Law 12187)
And governance of regulatory decisions ?
Governance Issues
• Are the proposed instruments articulated with
targets and plans?
• What is the policy making governance
structure to orient their application?
• What is the governance structure responsible
to enforce, supervise an monitoring them?
Governance in Law 12187
Art. 7o ,
recognizes current policy making institutions: Comitê
Interministerial sobre Mudança do Clima; a Comissão Interministerial de
Mudança Global do Clima; Fórum Brasileiro de Mudança do Clima; a Rede
Brasileira de Pesquisas sobre Mudanças Climáticas Globais - Rede Clima;
Comissão de Coordenação das Atividades de Meteorologia, Climatologia e
Hidrologia.
Law also reckons economic instruments from several official agencies to
support sectoral plans
But it does not indicate regulator activities
Regulatory Agency on Climate Change
• Investments requires stability on regulatory
enforcement
• Instruments application requires monitoring
capability
• Agency would be the executive power in articulating
and enforcing policy instruments
• So regulator must be technically capable and
autonomous:
– to reduce capture from government and regulated agents
– to assure autonomous decisions on instrument application
– to promote accountability
Agency´s Functions
Normative functions
 Matching up economic instruments and sectoral plans
 Enforcement of economic instruments
 Coordination of national inventory and registry
 Standardization of validation practices in MDL, REDD and other
mechanisms
 Promotion and supervision of carbon and REDD markets and alike
Monitoring functions
 Follow up of targets and plans
 Supervision of economic instruments, verification and validation
practices
 Supervision of carbon and REDD market practices
Main Conclusions
 Brazil has already set a great deal of policy initiatives
towards low carbon economy
Funding of low carbon investments needs a credible
and stable regulatory framework
Current PNMC (Law12187) can be improved by:
 Aligning economic and sectoral plans
Differentiating policymaking from regulator power
Creating an autonomous and technically oriented
regulatory executive agency