A new study from the Instituto MBCBrasil indicates that the expansion of biomethane in the Brazilian heavy-duty fleet depends on coordinated public policies, such as carbon pricing and parity with diesel.
The energy transition in the Brazilian transport sector faces a structural challenge that goes beyond the mere production of biofuels. For biomethane to gain scale and replace diesel in trucks and buses, the domestic market requires a robust regulatory framework, inspired by international models that have already turned renewable gas into a key piece of the global energy mix.
An unprecedented study, prepared by the Instituto MBCBrasil with academic support from USP, the Federal University of Itajubá, the Agronomic Institute of Campinas, and Instituto Mauá, points out that the sector’s success does not happen in isolation.
The analysis highlights that countries that have consolidated this fuel in their logistics systems have implemented a set of measures, ranging from emission pricing to strategic investment in refueling infrastructure.
International lessons and Brazil’s potential
The mapping reveals that Brazil holds a natural competitive advantage, but needs to evolve in the sophistication of its model. While in Europe, the REPowerEU plan projects massive production of 35 billion cubic meters per year by 2030, the United States and India are advancing with hundreds of Renewable Natural Gas (RNG) projects and millions of adapted vehicles.
We gathered evidence from dozens of international and national sources to demonstrate how biomethane can drive the energy transition in land transport on a global scale. The portrait is consistent: the fuel is a mature, viable solution with systemic benefits for various countries.
Professor Gláucia Souza, from USP and leader of IEA Bioenergy Task 39, reinforces that Brazil has the chance to go beyond simply supplying raw materials.
The opportunity lies in the export of technologies, engineering solutions, and integrated equipment, consolidating the country as a global hub for decarbonization innovation.
The role of pricing and the diesel challenge
The cost disparity compared to diesel, exacerbated by geopolitical volatility and dependence on oil, makes biomethane a vital alternative for national energy security. The Brazilian government has spent billions in subsidies to curb rising fossil fuel prices, a scenario that reinforces the urgency of a policy that values low-carbon sources.
The study points to RenovaBio as a promising foundation, especially if combined with mechanisms like California’s LCFS (Low Carbon Fuel Standard).
By remunerating biomethane based on carbon intensity and the mitigation of methane emissions — especially those derived from agricultural waste and landfills —, the sector gains the financial incentive needed to balance competitiveness with traditional diesel.
The transition to a transport system powered by renewable fuel now depends on translating this evidence into state policies. By integrating waste management, fueling corridors, and efficient carbon pricing, Brazil will not only reduce its environmental footprint but will also ensure greater economic resilience against the price shocks that frequently hit the global fossil-fuel-based system.