Overview of Public Incentives for Methane Abatement Practices in Brazilian Agriculture
Summary
This briefing by the Climate Bonds Initiative analyzes the landscape of public incentives for methane abatement in Brazilian agriculture. It evaluates various federal policies, financial instruments, and climate commitments, concluding that while Brazil has established broad sustainable agriculture frameworks, it lacks targeted incentives specifically designed to reduce methane emissions in the livestock sector.
Key insights
- Brazil is a significant global methane emitter, ranking fifth in the world with emissions equivalent to 5.5% of the global total. Methane accounts for approximately 25% of Brazil's total greenhouse gas emissions, with the agricultural sector responsible for 72% of the country's total methane emissions.
- Within the agricultural sector, livestock farming is the primary source of methane, accounting for 92% of emissions, largely due to enteric fermentation in cattle. Animal waste management and irrigated rice cultivation contribute 6% and 2%, respectively.
- Brazil has committed to the Global Methane Pledge to reduce methane emissions by 30% by 2030. To support this, the government launched a zero-methane programme in early 2022 focusing on biogas and biomethane from urban and agricultural waste, though the document notes this programme does not target agricultural methane emissions and lacks reported progress.
- The Brazilian government's 2035 climate target, presented at COP29, aims to reduce net greenhouse gas emissions by 59% to 67% compared to 2005 levels. While the target promotes sustainable agricultural and livestock production models, it does not yet link these to specific methane abatement actions for the sector.
- The Ecological Transformation Plan (ETP) introduces several sustainable finance tools, including the Brazilian sustainable taxonomy and the Eco Invest programme. The taxonomy explicitly mentions biodigesters and feed additives to reduce enteric methane, while the first Eco Invest auction in November 2024 involved nine banks expected to leverage BRL 44.3 billion in sustainable investments, with 12% allocated to bioeconomy and agrifood systems.
- Other public instruments, such as the RenovAgro rural credit manual and the Brazilian framework for sustainable bonds, support general sustainable practices like animal waste management and the recovery of degraded pastures, but they do not directly link resources to specific methane reduction targets in agriculture.
Cite the original document
- APA
- Gava, L., & Waquil, L. (2025). Overview of Public Incentives for Methane Abatement Practices in Brazilian Agriculture. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/Climate-Bonds_Overview-of-Public-Incentives-for-Methane-Abatement-Practices-in-Brazilian-Agriculture_EN_March-2025.pdf
- Chicago
- Gava, Leonardo, and Leandro Waquil. Overview of Public Incentives for Methane Abatement Practices in Brazilian Agriculture. Climate Bonds Initiative, 2025. https://www.climatebonds.net/files/documents/publications/Climate-Bonds_Overview-of-Public-Incentives-for-Methane-Abatement-Practices-in-Brazilian-Agriculture_EN_March-2025.pdf.
- Wikipedia
- {{cite report |last1=Gava |first1=Leonardo |last2=Waquil |first2=Leandro |title=Overview of Public Incentives for Methane Abatement Practices in Brazilian Agriculture |publisher=Climate Bonds Initiative |date=26 March 2025 |url=https://www.climatebonds.net/files/documents/publications/Climate-Bonds_Overview-of-Public-Incentives-for-Methane-Abatement-Practices-in-Brazilian-Agriculture_EN_March-2025.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{gava2025overview, author = {Gava, Leonardo and Waquil, Leandro}, title = {{Overview of Public Incentives for Methane Abatement Practices in Brazilian Agriculture}}, institution = {Climate Bonds Initiative}, year = {2025}, month = mar, url = {https://www.climatebonds.net/files/documents/publications/Climate-Bonds_Overview-of-Public-Incentives-for-Methane-Abatement-Practices-in-Brazilian-Agriculture_EN_March-2025.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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