Five research projects focused on translating climate data into economic decisions in Brazil have been selected to receive R$ 2.5 million in funding, strengthening the transition to clean energy and sustainable development.
The advancement of climate change demands rapid, well-founded responses from society, governments, and the business sector. In this scenario, funding scientific studies that connect environmental preservation to financial planning becomes essential to mitigate future losses and boost the energy transition market nationwide.
With this in mind, five strategic projects were selected by the Climate and Economy Hub, an initiative of the Climate and Society Institute (iCS). Through the Climate in the Economy call for proposals, the initiative is allocating up to R$ 2.5 million for the production of applied knowledge, combining sustainability and macroeconomics to guide green investments.
The Climate Innovation Funnel
The successful outcome concludes a highly competitive selection process that attracted 403 proposals from all regions of the country. Out of this total, 11 projects reached the final phase, with the five winners now moving on to develop practical tools. The primary focus is to translate science into guidelines that facilitate decision-making for governments, corporations, and investors committed to the decarbonization of the economy.
According to Sarah Irffi, coordinator of the Hub, the core objective is to expand the dissemination of qualified knowledge, making complex information accessible and vital for creating strategies focused on the green economy.
Sarah Irffi stated:
Receiving more than 400 proposals demonstrated not only the growing interest in the topic, but also the diversity of economic issues that need to be addressed in the face of climate change. Now, we want to support research that successfully bridges the gap between scientific knowledge and concrete decisions, producing evidence that can be adopted by public managers, companies, and investors.
From Family Farming to the Amazon
Among the beneficiaries, the Federal University of Pelotas (UFPel) is investigating the microeconomic impacts of hydrological disasters in Rio Grande do Sul. The study analyzes how extreme events affect the labor market and local finances, generating valuable data for drafting public policies focused on climate adaptation and resilience.
In the Midwest, the Goiano Federal Institute (IF Goiano) is focusing on the sustainability of family farming. The institution will create digital tools enabling cooperatives and banks to factor environmental risks directly into rural credit approvals, promoting agricultural practices aligned with renewable energy principles and the efficient use of natural resources.
Macroeconomic Tools and Artificial Intelligence
On the macroeconomic front, the Institute of Science, Technology, Research, Innovation, Education, and Export (ICTEXP) is developing an innovative model to measure the impacts of fiscal policies on GDP, employment, and greenhouse gas emissions. The initiative will provide public simulators to optimize debates on carbon pricing in Brazil.
At the same time, the Federal University of Rio Grande do Norte (UFRN) is leveraging artificial intelligence to create support systems for resilient public investments, while the Federal University of the South and Southeast of Pará (Unifesspa) is expanding an observatory focused on climate planning and adaptation in the Amazon.
The Climate and Economy Hub highlighted:
There is a demand for information that allows us to understand the costs of climate change. The goal is for the research not to end with the publication of a study, but to help shape policies that are already being implemented across the country.
The impact of these initiatives consolidates an essential milestone for the country’s economic future. By transforming scientific projections into market intelligence, Brazil is taking a decisive step toward a more resilient, competitive development model firmly anchored in the global agenda of clean fuels and environmental preservation.
