Latin America&Caribbean Energy Transition 2025

Energy transition goals: Energy access and reliability. Industrial competitiveness. Energy productivity/efficiency. Problem description: Aviation produces 3.5% of global CO2 emissions, with the sector growing rapidly in Brazil. Despite its biofuel leadership, reliance on fossil-based kerosene left Brazil without a clear pathway to decarbonize or seize sustainable aviation fuel (SAF) opportunities. Solution description: In 2024, the Brazilian government launched the ProBioQAV programme, a national initiative to foster the domestic production and use of SAF. The programme provides policy incentives, regulatory frameworks and research funding to accelerate SAF deployment, while aligning with the Carbon Offsetting and Reduction Scheme for International Aviation from the International Civil Aviation Organization (ICAO’s CORSIA). It integrates the aviation sector with Brazil’s established bioenergy ecosystem, leveraging feedstocks such as sugarcane ethanol, soybean oil and waste residues. ProBioQAV also promotes technological diversification, including second-generation and synthetic fuels. Enablers used: Regulation and political commitment: National programme launch, alignment with ICAO targets, blending mandates under discussion. Education and human capital: Partnerships with universities and research centres to build technical expertise. Innovation: Development of advanced conversion technologies, certification processes for multiple SAF pathways. Financial investments: Public R&D funding, incentives for private-sector projects and airline offtake agreements. Stakeholders involved: –National ministry of mines and energy. –Ministry of Infrastructure and Civil Aviation Authority (ANAC). –Petrobras and private biofuel producers. –Airlines (Gol, Azul, LATAM). –Universities and research institutes ((e.g. Empresa Brasileira de Pesquisa Agropecuária (Embrapa), Universidade de São Paulo (USP)). –International aviation organizations (International Civil Aviation Organization (ICAO), International Air Transport Association (IATA)). Outcomes achieved: –Establishment of a national SAF policy framework in line with global aviation decarbonization plans. –Initial pilot projects producing bio-jet fuel at scale, with certification for commercial flights. –Airline commitments to blend SAF on domestic routes starting in 2025 and strengthened links between Brazil’s biofuel industry and international aviation markets. Exportable lessons: –Policy certainty matters: Long-term signals (blending mandates, incentives) are crucial to attract investment and scale SAF production. –Diverse technologies: Multiple feedstocks and conversion pathways reduce risks and improve resilience. –International alignment: Programmes that align with ICAO and CORSIA frameworks strengthen market competitiveness and export potential.CASE STUDY 9 National aviation biofuel programme in Brazil (2024-ongoing)58 Energy Transition Readiness: Latin America and the Caribbean 30