Since March 1st the mandatory share of biodiesel in the composition of diesel oil sold to consumers has been increased to 8% percent, as determined by Resolution 11 of the National Energy Policy Council (CNPE).
According to the approved rules, mandatory percentages will be gradually increased to 9 percent in March 2018 and 10 percent in March 2019.
The new biodiesel blending ratio highlights Brazil’s prominent position in the international market for the product, according to Government’s official sources.
The country is one of the two largest global producers of biodiesel, along with the United States, definitively surpassing traditional European producers (the first to use biofuel on a large scale). Over the last two years, as B7 (i.e. conventional diesel with 7% biodiesel) became the standard, installed capacity reached 7.2 billion litres, sufficient to meet the supply for the B10 mix (i.e. 10% biodiesel), estimated to reach six billion litres when it takes effect in 2019.
With the adoption of the new 8% ratio, Brazil is also making room for reduced diesel oil imports while promoting family farming and agribusiness by encouraging the production of inputs.
The increase in the mandatory blending of biodiesel to diesel oil was unanimously approved by the National Congress and established by Law 13,263/2016. (Source: Agencia Brasil)