The Brazilian Chamber of Deputies has approved a bill that regulates the carbon market in Brazil (PL 2148/15). The project creates the Brazilian Greenhouse Gas Emissions Trading System (SBCE by its acronym in Portuguese), which establishes limits on emissions and a new market for securities trading.

The text sets a limit on greenhouse gas emissions for companies. Those companies that do not meet those targets, will be able to offset their emissions by purchasing certified emission reductions. On the other hand, companies that pollutes below the established limit, will be authorized to sell certified emission reductions for the difference in the market.

The bill will now return to the Senate for final approval, due to the changes introduced in the Chamber of Deputies.