On June 25, 2025, Brazil's National Energy Policy Council (CNPE) approved an increase in biofuel blends. This move aims to enhance energy security and reduce the country's reliance on imported fossil fuels.
Effective August 1, 2025, the ethanol content in gasoline will rise from 27% to 30%. The biodiesel blend in diesel will increase from 14% to 15%.
The decision follows successful testing and is supported by declining vegetable oil prices, which address concerns about food prices. Brazil's government plans to closely monitor the implementation.
This initiative aligns with Brazil's broader strategy to expand its biofuel industry. Grupo Potencial invested $109 million in October 2024 to expand its biodiesel plant.
The CNPE's approval highlights Brazil's commitment to renewable energy and reducing its carbon footprint. The government continues to explore measures to support the biofuel sector.