The biomethane plant in Cerqueira César, São Paulo, has secured Reidi tax incentives to support a 150.4 million reais investment in clean energy production from waste.
The Ministry of Mines and Energy (MME) has officially approved the inclusion of the biomethane plant project in Cerqueira César, in the state of São Paulo, into the Special Incentive Regime for Infrastructure Development (Reidi). The initiative marks a strategic step for the expansion of Brazil’s sustainable energy matrix.
With this tax benefit, the facility gains financial momentum by suspending PIS/Pasep and Cofins contributions on the acquisition of inputs, goods, and services. The measure reflects the government’s commitment to fostering projects that convert agricultural waste into renewable energy sources, aligning the country with its energy transition goals.
Scale and technology in biomethane production
The new facility has a projected capacity to generate 65,000 cubic meters per day (Nm³/day) of biomethane. The technology employed will be anaerobic biodigestion in covered lagoons, utilizing a Canadian model with high-density polyethylene (HDPE) lining.
The operation focuses on treating swine and poultry waste, which are abundant in the region. In addition to producing renewable fuel, the process enables the production of biofertilizers, promoting an efficient circular economy within the agricultural sector.
The implementation of such projects demonstrates the technical and economic viability of biomethane as an essential pillar for the decarbonization of the Brazilian natural gas market in the coming years.
Economic impact and timelines
The total estimated investment for the project is 150.45 million reais, with 136.47 million reais covered by the tax relief provided through Reidi. The cost structure includes 91.15 million reais for goods required for infrastructure assembly and 58.96 million reais allocated for specialized services.
The construction schedule is set to take place between August 2025 and February 2027. It is worth noting that the enterprise had already received approval from the National Agency of Petroleum, Natural Gas and Biofuels (ANP), which granted the official operating authorization earlier this year.
The consolidation of this plant reinforces the role of biomethane as a viable substitute for fossil natural gas. With ambitious government targets to reduce greenhouse gas emissions by 2027, projects like the one in Cerqueira César become essential to ensuring the country’s energy security and environmental sustainability.
