image hero of Brazil: The Way Forward to Sustainable Transportation? image hero of Brazil: The Way Forward to Sustainable Transportation?

Brazil: The Way Forward to Sustainable Transportation?

A conversation with Felipe Bittencourt, CEO of WayCarbon, a company dedicated to solutions focused on decarbonization, climate risk management and sustainability
October 3, 2024

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Felipe Bittencourt

Freedom of Mobility Forum (FOMF): In the next 10 years, how will carbon-free mobility evolve in the Brazilian market?

Felipe Bittencourt: The transportation sector in Brazil is set to significantly escalate its decarbonization efforts over the coming years following implementation of the future Brazilian carbon market law. This comprehensive legislation will target both the cargo and passenger transport sectors, harmonizing with the National Climate Change Policy established in 2009. The initiatives, aimed at fostering low-carbon mobility, span a wide range of strategies.

In the short term, decarbonization incentives will focus on enhancing engine efficiency − a pivotal aspect of the overall strategy. Optimization of engine efficiency aligns with the overarching goal of reducing carbon emissions in the transportation sector. There is also a clear emphasis on increasing the proportion of biofuels present in traditional fuels such as gasoline and diesel.

Short-term incentives will be designed to encourage the adoption of hybrid vehicles, which use electricity and ethanol. This hybrid approach is intended as a transitional step to achieving a more sustainable and environmentally-friendly transportation landscape. Electric vehicles are expected to play an increasingly pivotal role, with concerted effort being placed on increasing their production and adoption.

First, there are conventional hybrids, which combine electricity and gasoline. Then, there is a specific emphasis on hybrids powered by electricity and ethanol. This promising alternative represents a crucial step towards more sustainable transportation, aligned with the goals of reducing emissions and fostering environmental responsibility.

Decarbonization initiatives are expected to be modest at the start but then are projected to gain momentum in subsequent years, increasing substantially from 2030 onward. This will mark a pivotal turning point in the trajectory toward a greener transportation paradigm and is likely to be mirrored in the forthcoming revisions of the Nationally Determined Contribution (NDC), which serves as Brazil’s benchmark for decarbonization in collaboration with the United Nations. As the nation strives to align with global sustainability goals, these calculated steps in the transportation sector represent a proactive approach toward mitigating climate change and fostering a more environmentally-responsible future.

FOMF: What innovations are driving mobility forward today and for the future?

Bittencourt: While electric vehicles command the current spotlight, the landscape of innovative transportation solutions is vast with potential on many fronts. Hydrogen fuel cell vehicles, for example, are a compelling alternative. They leverage the power of hydrogen to offer a clean and efficient mode of transportation. Similarly, ethanol fuel cell vehicles are another promising alternative with their efficiency in converting chemical energy into electricity.

There have also been remarkable advances in materials science, particularly for batteries. Pioneering steps in new battery technologies include incorporating sodium as a core component. Naturally, enhancing the efficiency and sustainability of energy storage will contribute to the wider adoption of electric cars and other electrified modes of transport.

The innovation landscape also extends to the aviation and maritime sectors, where biofuels are a notable disruptor. The use of biofuels in these traditionally challenging areas demonstrates the level of effort to address the environmental impact of transportation on a global scale.

In essence, the trajectory of innovation in decarbonizing mobility is dynamic and multifaceted, encompassing diverse technological frontiers that collectively hold the potential to reshape the future of transportation.

FOMF: How do you think the use of biofuels will evolve and will their use potentially threaten the freedom of movement? 

Bittencourt: Biofuels are poised for an unprecedented surge in growth, driven by escalating demand across the board, from the passenger and cargo sectors to air and maritime. Forecasts indicate a more competitive international market as nations with substantial production potential emerge as prominent biofuel exporters. The expected increase in biofuel production, in Latin America and Brazil in particular, is underscored by the substantial absence of any major production risks.

Increased biofuel production is expected to be accompanied by a strategic focus on sustainability and environmental responsibility. The focus in Latin America and Brazil, in particular, is the adoption of a conscientious approach which leverages extensive degraded lands for biofuel cultivation. This deliberate choice mitigates concerns regarding potential pressures on food production and adverse contributions to Amazon deforestation. By contrast, this expansion in biofuel production is poised to foster a harmonious balance between environmental conservation and energy needs.

The increase in biofuel production is also expected to yield positive social dividends, especially for ethanol. The positive ripple effect includes the generation of jobs, higher income levels, and a newfound sense of freedom of movement for less privileged members of society. As such, the strategic emphasis on biofuels is not only an environmental imperative but also a catalyst for positive socio-economic transformation, aligned with broader global sustainability goals.

In essence, the growth of biofuels represents a pivotal juncture in the evolution of sustainable energy solutions. As nations embrace this path, the synergistic interplay between environmental stewardship, economic development, and societal well-being is set to redefine energy production and consumption, charting a course towards a more equitable and environmentally-conscious future.