Panel at the Summit Agenda SP+Verde discussed how advances in regulation, financing, and applied research can consolidate São Paulo as a reference in carbon capture and storage technologies.
With the largest concentration of ethanol plants in Brazil, a strong scientific foundation, and a diversified industrial base, São Paulo holds unique conditions to lead the development of carbon capture and storage (CCS) and bioenergy with carbon capture and storage (BECCS) technologies. The challenge lies in strengthening the regulatory framework, expanding financing mechanisms, and fostering integration among academia, government, and the private sector to bring projects to commercial scale.
That was the assessment of experts gathered at the panel “Technologies for a Low-Carbon Economy: CCS, BECCS, and São Paulo’s Potential,” held on Tuesday (Nov 4) during the Summit Agenda SP+Verde — a pre-COP event promoted by the State Government, the São Paulo City Hall, and the University of São Paulo (USP). The panel was part of the 8th Energy Transition Research & Innovation Conference (ETRI 2025), an international conference organized by the Research Centre for Greenhouse Gas Innovation (RCGI) at USP in partnership with the Offshore Technology Innovation Centre (OTIC). This year, part of the ETRI program took place within the Summit Agenda SP+Verde, broadening the reach of energy transition discussions in the lead-up to COP30.
“One of the main roles of the State is regulation — to establish clear standards that provide security for investors. These are complex, high-value projects that require a suitable environment,” said Liv Nakashima Costa, Director of Corporate Management and Sustainability at CETESB. According to her, the environmental agency is already preparing to handle future feasibility study licensing requests by training teams and refining technical protocols. “Our goal is to ensure environmental and legal security, supported by quality data, to make São Paulo a hub of innovation and a decarbonized state.”
The complexity and cost of these projects were also highlighted by Bruno Laskowsky, partner at YvY Capital, an investment manager focused on infrastructure and energy transition. He noted that CCS and BECCS ventures require intensive capital and long-term maturation. “If there is a place to make these projects viable, it is Brazil — and particularly São Paulo, given its proximity to ethanol plants. But adequate financing structures must be created. The greatest tool to unlock sustainable infrastructure investments is to reduce interest rates,” he said. “We always talk about the ‘Brazil Cost,’ but we now have an opportunity that could be the ‘Brazil Bonus.’”
For Juliana Damasceno, Director of Business Development for Latin America at Worley, the connection between the public and private sectors is one of the key factors for advancing the energy transition. She highlighted that Worley has contributed to this process through around 3,000 projects worldwide, including CO₂ storage and monitoring initiatives. “The great challenge is how to control this — what guarantees that CO₂ will remain stored,” she observed.
As regulation advances, the initial cost of investments and the necessary infrastructure remain critical points but also represent opportunities. “We have the tools and solutions to make it happen. Speed is the key word — we need to move fast for these commitments to be achieved,” she added.
In the scientific field, RCGI-USP has been developing initiatives aimed at creating both technological and market-based solutions. “The RCGI-USP Carbon Registry startup was created to register carbon credits using proprietary methodologies, adapted to Brazil’s context and aligned with international standards,” explained Julio Meneghini, Scientific Director of RCGI. “With the Carbon Market Legal Framework taking effect in January 2027, we have just over a year to prepare the ecosystem and attract key players.”
Meneghini also recalled that USP hosts the world’s first pilot plant for producing low-carbon hydrogen from ethanol — a technology that can achieve negative emissions when combined with BECCS. “Just imagine: using ethanol — already a renewable fuel — in a process that captures and safely stores CO₂. No other renewable source, neither solar nor wind, reaches that carbon footprint. This is a golden opportunity for Brazil — and especially for São Paulo.”
With COP30 approaching, to be held in Belém (PA) in 2025, panelists stressed that Brazil’s leadership extends beyond the conference days. “The responsibility of Brazil — and of São Paulo, as the country’s most industrialized state — is to show the world the possible paths toward decarbonization.”