How Brazil’s new NDC can drive private sector investment in climate action

Brazil has announced a new NDC targeting a greenhouse gas emissions reduction of 59–67% by 2035 relative to 2005 levels. To achieve this, the government is developing a 2024-2035 Climate Plan consisting of an Adaptation Plan and a Mitigation Plan. The document argues that private sector investment is essential for success and recommends harmonizing sectoral policies, promoting corporate transition plans, and strengthening public-private dialogue. Key focus areas include halting illegal deforestation, decarbonizing agriculture, transitioning energy and industry away from fossil fuels, and implementing a national Emissions Trading System (ETS).

• Brazil's new NDC sets a target to reduce greenhouse gas emissions by 59–67% by 2035 from 2005 levels, which is an increase in ambition from the 2030 target of a 53% reduction from the same baseline.
• The Brazilian government is developing a 2024-2035 Climate Plan to implement the NDC, which will be divided into an Adaptation Plan with 16 groups and a Mitigation Plan covering seven key sectors.
• Reducing illegal deforestation is identified as the most cost-effective strategy for Brazil to reach net zero, as failure to do so would necessitate higher decarbonization costs in other sectors.
• Brazil has approved a national Emissions Trading System (ETS) to establish a carbon tax for the economy, excluding the primary agricultural sector, to incentivize industrial and energy decarbonization.
• The energy sector, where 85% of electricity comes from renewables as of March 2024, faces a conflict between climate goals and potential new offshore drilling in sensitive areas like the Amazon River mouth.
• The industrial sector aims to reduce emissions intensity by 30% through the New Industry Brazil plan, focusing on areas such as the bioeconomy, health, and agro-industry.
• To facilitate climate investment, Brazil introduced three 2024 initiatives: EcoInvest for blended finance, a cap-and-trade carbon market, and the Brazilian Platform for Investments in Climate and Ecological Transformation (BIP).

APA

Leal, J. C. R. B., & Briner, G. (2025). How Brazil’s new NDC can drive private sector investment in climate action. We Mean Business Coalition. https://www.wemeanbusinesscoalition.org/wp-content/uploads/2025/05/CEBDS-WMBC-2025-Brazil-NDC-note_updated_English.pdf

Chicago

Leal, João Claudio Rocha Baeta, and Gregory Briner. How Brazil’s new NDC can drive private sector investment in climate action. We Mean Business Coalition, 2025. https://www.wemeanbusinesscoalition.org/wp-content/uploads/2025/05/CEBDS-WMBC-2025-Brazil-NDC-note_updated_English.pdf.

Wikipedia

{{cite report |last1=Leal |first1=João Claudio Rocha Baeta |last2=Briner |first2=Gregory |title=How Brazil’s new NDC can drive private sector investment in climate action |publisher=We Mean Business Coalition |date=March 2025 |url=https://www.wemeanbusinesscoalition.org/wp-content/uploads/2025/05/CEBDS-WMBC-2025-Brazil-NDC-note_updated_English.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{leal2025how, author = {Leal, João Claudio Rocha Baeta and Briner, Gregory}, title = {{How Brazil’s new NDC can drive private sector investment in climate action}}, institution = {We Mean Business Coalition}, year = {2025}, month = mar, url = {https://www.wemeanbusinesscoalition.org/wp-content/uploads/2025/05/CEBDS-WMBC-2025-Brazil-NDC-note_updated_English.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }