Adjustments to the New Concessions Law Bill Could Ensure Higher Quality, and More Sustainable Infrastructure

This technical note by the Climate Policy Initiative (CPI) and the Pontifical Catholic University of Rio de Janeiro (PUC-Rio) analyzes the new Concessions Law bill (PL 7,063/2017) from a social and environmental perspective. The authors argue that the bill lacks coordination with other environmental legislation and fails to provide sufficient predictability regarding environmental licensing and feasibility studies. The note recommends specific adjustments to the bill to reduce project risks, ensure higher quality infrastructure, and avoid potential judicial conflicts regarding investor liability.

• The new Concessions Law bill (PL 7,063/2017) does not coordinate with other current legislative efforts aimed at modifying existing environmental laws.
• The current draft of the bill maintains ambiguity regarding whether the government or the concessionaire is responsible for obtaining the Preliminary Environmental License, leaving the government to decide on a case-by-case basis.
• The authors recommend that sector regulations should explicitly define when a preliminary environmental license must be obtained and who is responsible for it to increase legal certainty and predictability in risk allocation.
• The bill proposes limiting the environmental liability of investors to cases where a causal link between their conduct and the damage is proven, which contradicts the current judicial trend of holding investors liable under the theory of full risk.
• The authors suggest removing the provision that limits investor civil responsibility to avoid judicial actions and argue that such discussions belong in the National Environmental Policy Act rather than the Concessions Law Bill.

APA

Cozendey, G., Chiavari, J., & Antonaccio, L. (2020). Adjustments to the New Concessions Law Bill Could Ensure Higher Quality, and More Sustainable Infrastructure. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2020/07/NT-PL-Concessoes-EN-1.pdf

Chicago

Cozendey, Gabriel, Joana Chiavari, and Luiza Antonaccio. Adjustments to the New Concessions Law Bill Could Ensure Higher Quality, and More Sustainable Infrastructure. Climate Policy Initiative, 2020. https://www.climatepolicyinitiative.org/wp-content/uploads/2020/07/NT-PL-Concessoes-EN-1.pdf.

Wikipedia

{{cite report |last1=Cozendey |first1=Gabriel |last2=Chiavari |first2=Joana |last3=Antonaccio |first3=Luiza |title=Adjustments to the New Concessions Law Bill Could Ensure Higher Quality, and More Sustainable Infrastructure |publisher=Climate Policy Initiative |date=June 2020 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2020/07/NT-PL-Concessoes-EN-1.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{cozendey2020adjustments, author = {Cozendey, Gabriel and Chiavari, Joana and Antonaccio, Luiza}, title = {{Adjustments to the New Concessions Law Bill Could Ensure Higher Quality, and More Sustainable Infrastructure}}, institution = {Climate Policy Initiative}, year = {2020}, month = jun, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2020/07/NT-PL-Concessoes-EN-1.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }