Brazil’s ANP to bar fuel sales to distributors failing RenovaBio targets

Brazil's National Agency of Petroleum, Natural Gas and Biofuels, or ANP, will soon publish a list of fuel distributors that have failed to meet their decarbonization targets under RenovaBio, the country's national biofuels policy.

Once listed, these distributors will be barred from purchasing fuels -- a move aimed at tightening enforcement and leveling the playing field in the sector.

The decision, approved on June 26 by ANP's board, marks a sharp escalation in regulatory pressure. Distributors that remain non-compliant with their carbon credit, or CBIO, obligations will face commercial isolation: all fuel suppliers -- from producers to importers -- will be prohibited from selling to them, under threat of heavy fines.

The list will be published on the ANP's RenovaBio portal. A specific publication date has not yet been announced.

The ban applies across the supply chain, affecting:

• Fuel producers
• Petrochemical centers
• Fossil fuel formulators
• Ethanol and biofuel traders
• Importers
• Cooperatives
• Other distributors

The sanctions are backed by Law No. 15.082/2024 and Decree No. 12.437/2025, which amend existing RenovaBio legislation to allow for stricter enforcement.

Fines up to Real 500 Million

Suppliers that ignore the ban and sell to listed distributors could face fines ranging from Real 100,000 to Real 500 million, depending on the scale of the violation. The amount is tied to the value of penalties already imposed on the non-compliant distributor.

Once a distributor clears its emissions obligations, it may be removed from the list -- but until then, any sales to it will be treated as a regulatory breach.

The move underscores ANP's push to make RenovaBio more effective and credible as a climate tool. By isolating defaulters, the agency aims to reinforce accountability and drive down emissions in Brazil's fuel sector.