0 IN THE YEAR OF COP30 BRAZIL, THE COUNTRY PROUDLY CELEBRATES ITS TRADITION AND PLANS ITS FUTURE IN BIOFUELS Biofuelshavebeen crucial in making Brazil’senergymix more renewableand sustainable, establishingthe country as a global benchmark! FUEL ETHANOL PRODUCTION years 50 Ethanol Biodiesel years 20 ThePró-Álcoolwascreatedin1975withthepurposeofreducing theenergeticexternaldependenceanddevelopingthedomestic technology.Itisapioneeringprograminthehistoryofrenewable energyandsustainabilityaroundtheworld.Brazilianethanol representsresilienceandinnovation,contributingtoenergysecurity, renewabilityofthetransportationandstrengtheningofnationalindustry. Fordecades,ithasfacedenergeticchallengeslikeatypicalGenerationX. Createdin2004,thePNPB(BrazilianProgramforthe ProductionandUseofBiodiesel)aimstodiversifyraw materialproduction,encourageregionaldevelopmentandpromote theproductiveinclusionoffamilyfarminginbiodieselproduction, besidesguarantingminimumprices,qualityandsupplysecurity.The Law11,097enactedbyPresidentLulaonJanuary13,2005,helped tocreateamarketforbiodiesel,strengtheningfamilyfarming andsustainability.BiodieselrepresentestheGenerationYof ourenergy:sustainable,collaborative,andfullofpurpose. BIODIESEL PRODUCTION GenerationAlphaemergesonthehorizontojointheveteransofenergy.The RenovaBio,theCombustíveldoFuturoandtheMOVERProgramarekeypillarsof Brazilianenergytransition. TheRenovaBioencouragestheproductionanduseofbiofuelsthroughemission mitigationtargetsandcarboncredits(CBIO),enhancingsustainabilityand predictabilityforthesector.TheCombustíveldoFuturoLawintegratespoliciesto expandtheuseoflow-carboncleanfuelsandfostertechnologiessuchastheflex hybridvehicle.Meanwhile,theMOVERProgramencouragesinvestimentsinnew technologicalroutesandraisesdecarbonizationrequirementsforBrazil’s automotivefleet. Together,thesepoliciespositionBrazilasaglobalbenchmarkinsustainable mobilityandenergyinnovation. 366 plants Approx. 800 thousand peopledirectly employed 59 plants 20 thousand people directly employed 2024 New policies in recentyears Since1975 9 billionofliters US$ 405 billionofdollarsshiftedawayfrom fossilfuelimports Trade Balance 68 279 58 0 50 100 150 200 250 300 350 400 1975-20042005 -2024 Billion of dollars (2025) Ethanol Biodiesel 37 billionof liters 2 nd largest in theworld 3 rd largestin theworld* 18% of global production MOVER 8.5 billiontrees planted 7.2 millionsoccer fields ≈ 1.5 x the Netherlands area ≈ 12 24 9 0 5 10 15 20 25 30 35 40 45 50 1975198019851990199520002005201020152020 Million m³ Anhydrous EthanolHydrous EthanolBiodiesel 761 billionlitersfor roadtransportuse 74 billionlitersof energy consumption
10
20
30
40
50
60
70
80
1975198019851990199520002005201020152020
Million
ton
CO
2
Anhydrous EthanolHydrous EthanolBiodiesel
more than
1.2
billiontons
ofCO
2
mitigated
EquivalenttoBrazil’s
total emissionsin 2011
OR Japan’sin 2023
Source: EPE, Balanço Energético
NacionalCO₂ and Greenhouse Gas
Emissions - Our World in Data
31% of
global
production
1.2 billion
tCO
2
is
equivalentto
- FAME andgreendiesel
0 10 20 30 40 50 60 70 80 90 19721976198019841988199219962000200420082012201620202024 HydrousEhtanol GasolineA Diesel OilA Electricity CNG Biodiesel AnhydrousEthanol Pro-Álcool PNPB RenovaBio 1 st flex-fuel Energy consumptionofroadtransport(milliontoe) Source: EPE, Balanço Energético Nacional Fonte: EPE a partir de (MAPA, 2025) Corn Production Brazilisa major global cornproducer, and ethanolproduction fromthiscereal has grownin recentyears, reaching20.5% in 2024. Brazil’ssharein theglobal marketof major agriculturalandlivestockproducts Source: USDA Para saber mais, acesse os seguintes dados na íntegra: Resenha Mensal do Mercado de Eletricidade (https://bit.ly/3e05DZu) Séries históricas de consumo mensal (https://bit.ly/2LFHxqM) President Thiago Prado Director Heloisa Borges TechnicalCoordination Angela Oliveira da Costa EPE assumes no responsibility for decisionsoractionstaken basedontheinformation containedin thisreport, norfor anymisuseofsuchinformation. Publicpolicieshavethepotentialtoboostseveralsetoresoftheeconomy.Inthe caseofconventionalbiofuels,ethanolandbiodiesel,thesepolicieshavehelped consolidatetheCountryasamajorproducerwithoutcompromisingfood security.Theinclusionofbiofuelsinthenationaltransportationmixcontributes notonlytoenvironmentandthemitigationoffossilCO 2 emission,butalsotojob criationandthestrengtheningofdomesticindustry.Coproductsand residues(DDGS,bagasse,vinasse,etc.)fromthisindustrygenerateenergyandfood andalsocontributetothetrademarket. Key Information Braziliansugarproductionfullymeetsdomesticmarket demand.Brazilisthelargestproducerandtheleading exporterofthiscommodity,accountingfor57%in2024. Encouragingethanolproductionhascontributetoconsolidate thecountry as a major producerofthiscommodity! SoybeanisthemainrawmaterialforBrazilianbiodiesel production.Brazilistheworld’slargestproducerandtheleading exporterofthiscommodity,accountingfor59%in2024. Second-cropcornproductionisgrowingandmeeting thedemandfor ethanolfeedstock. Source: USDA Combustível do Futuro In2024,theshareofrenewablesinBrazilian transportmatrixwas25.7%,well above the global average of 6%, with the possibility of reaching 8.5% by 2030. Source: BEN andIEA Source: EPE Source: EPE Source: USDA theethanolconsumptionin Brazilisequivalenttothe requiredenergytopowera hypotheticalfleetof20 millionelectricvehicles–a numberhigherthanglobal salesinthesameyear(17 million)–alsoassuminga predominantlyrenewable powermixlikeBrazil’s. Brazil’scommitmenttoa justand inclusive energytransition! Emerginglow-carbonemissionfuels: SAF, greendiesel, hydrogen TechnicalTeam Ana Paula Castro Arthur Cortez Pires de Campos Marcelo Cavalcanti Marina Damião BestetiRibeiro Juliana Pereira Targueta Leônidas Bially Luciano Basto Oliveira Rachel Martins Henriques Rafael Barros Araujo Source: IEA 35.3 45.8 44.3 0 5 10 15 20 25 30 35 40 45 50 20142015201620172018201920202021202220232024 Million ton ExportsDomestic use + stock variationProduction 1.96.1 3.4 3.8 5.3 9.9 7.0 11.3 0 2 4 6 8 10 12 2012201320142015201620172018201920202021202220232024 Million ton Use for biodieselOther domestic usesExports Total domestic useProduction ProductProductionExports Sugarcane 45 [Mt]1 st 25%36 [Mt]1 st 57% Soybean 153 [Mt]1 st 39%104 [Mt]1 st 59% Corn 122 [Mt]3 rd 10%46 [Mt]2 nd 23% Domesticsoybeanoilmarket 1.3 7.7 34.7 29.7 36.0 33 30 31 35 37.3 4% 7% 11% 14% 16% 20% 0% 5% 10% 15% 20% 25% 0 5 10 15 20 25 30 35 40 201920202021202220232024 Billion of liters Corn EthanolSugarcane EthanolTotal Ethanol% Corn Ethanol / Total production Inasimplified analysis,in2024, 36.9 66.7 17.3 0 10 20 30 40 50 60 70 80 Net exportsDomestic use (other)Domestic use (Ethanol) Million ton 17/1818/1919/2020/2121/2223/24 November/2025 Global average 1979 5.3% 1990 20% 2002 13.7% 2010 21.1% 2019 26.8% 2024 25.7% 0% 10% 20% 30%