The Brazilian bioenergy agroindustry is aligned with the current global scenario, focused on sustainability and socio-environmental responsibility.

The sector produces in a sustainable way, generating many jobs and income, in addition to having strong governance in relation to risks and regulations. This alignment with the world trend (environmental, social and corporate governance) is considered essential and gains even more solidity every day.

Since its origins, the bioenergy agroindustry has been based on the concept of circular economy, taking advantage of maximum inputs and waste. From sugarcane, food and bioenergy are produced, also taking advantage of by-products to optimize production.

Likewise, the production of ethanol from corn was born with this same concept. This circular approach is in tune with what the world is looking for today: more sustainable ways to produce with a lower carbon footprint.

The Brazilian bioenergy sector plays an essential role in this context. Even occupying only 1% of the country's area, it is responsible for almost 20% of the energy produced in Brazil. Over the years, the sector has developed a scalable production system distributed throughout Brazil, making its products sustainable and accessible to consumers.

The sector's ability to generate energy is remarkable when compared to other renewable sources, which strengthens its position in the Brazilian energy matrix. This integration between the social and the environment is an important differential, allowing a great contribution to a more sustainable world.

To continue progressing, it is essential to improve the efficiency of the production system. Investing in sustainable and efficient technologies to produce the raw material is essential. It is estimated that sugarcane production has the potential to double its productivity. In addition, the creation of public policies that encourage the sector is very important.

A notable example is the Renovabio program, which anticipated a global and sectoral movement towards decarbonizing processes and encouraging conscious production practices.

Renovabio quantified these efforts, and today it is already possible to observe in the agroindustry the adoption of practices with the objective of reducing the carbon footprint in production, such as the replacement of petroleum-derived inputs, the rationalization of the use of machinery and equipment, the replacement of inputs emitting Greenhouse Gases, the use of biological products and carbon capture, all aligned with a decarbonization mentality .

Recently, RenovaBio reached the mark of 100 million decarbonization credits issued in 4 years, that is, the emission of 100 million tons of carbon dioxide into the atmosphere was avoided.

One of the sector's main challenges is to change the public's mindset regarding ethanol consumption. More than just a choice based on price, it is important that people also consider the environmental and social issues involved.

Ethanol is a key element for sustainable mobility. Its use is already present in the conventional fleet and there are prospects for expansion with flex-fuel hybrid vehicles, in which there is an efficient alliance of electrification with conventional motorization. The sector also has potential in the production of sustainable aviation fuel, use in navigation and in the production of biogas and biomethane. A future is also projected in which ethanol will play an important role in the hydrogen production chain.

Another challenge that the sector faces is the risk of regulations that could affect its supply and consumption expectations. However, by demonstrating to society that biofuel is an alternative in line with what everyone is looking for, an option to decarbonize, and not just an economic issue such as a simple switch from gasoline to ethanol, it is possible to engage all interested parties. Thus, with more aware and demanding consumers, government officials will find it more difficult to promote regulatory changes that harm the system.

Therefore, it is necessary to make it possible for all Brazilians to have access to ethanol, which is the first goal. For this, it is necessary to think of systems that guarantee consistent consumption from North to South and from East to West in Brazil.

Tax reform can be a mechanism to make this possible, simplifying tax rates. Currently, there are 17 tax rates on the circulation of goods and services in the country, and with the adoption of a single and differentiated rate for biofuel, ethanol will be more competitive throughout Brazil.

This change, combined with internal investments and more efficient production, will make the product more accessible to all Brazilians, and not just to states that already offer differentiated tax incentives.

With this, the country will be able to boost the delivery of more sustainable products with a lower carbon impact. City halls, state governments and nationally active companies will be able to encourage and strengthen their decarbonization policies through biofuels, as this is already a growing trend.

The immediate and future scenario of the bioenergetic system industry is promising. The Brazilian agroindustry is at the forefront of sustainability, ready to face the environmental challenges that the world presents. We believe in the potential of ethanol as a truly sustainable and socially responsible alternative.

With society's support and joint efforts, the sector will continue to lead the way towards a greener and more prosperous future for all.