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Governo estuda programa para renovar frota de automóveis no Brasil.

Brazil is considering launching a new program to renew its fleet of automobiles. Finance Minister, Fernando Haddad made the announcement on Monday, indicating that the scheme, if implemented, would be financed by the country’s oil companies. The plan was discussed with Vice President and Minister of Development, Industry, Trade, and Services, Geraldo Alckmin.

Haddad revealed that the aim of the program was to invest in the renovation of ageing cars which required compensation. Through the proposed plan, these old vehicles would be scrapped and replaced by newer, environmentally friendly models. However, specifics regarding how the compensation scheme will work have yet to be determined.

The new initiative could prove significant for Brazil, where the current scheme benefits only heavy vehicles such as trucks, buses, and vans. Haddad says the new program would use existing resources and avoid the need to source additional financing. He said, “It’s a resource that already exists, it’s not new”.

The new scheme follows the Brazilian Government’s creation of a program for voluntary removal of vehicles that do not meet the criteria for technical operation or are more than 30 years old. Known as the “vehicle scrapping program,” it was established last year via Executive Order 1.034, which was replaced by the Bill No. 4.490/2021 in May earlier this year; the new bill extended the scope of the program from just cars to all types of vehicles.

According to reports, about 3% of Brazil’s fleet comprises cars that are more than 20 years old, which are concerning due to their lack of modern features, reliability, and high emissions levels. Environmentalists believe that the car scrapping program could be a big win for the environment and would pave the way for a cleaner, more efficient transportation system.

Brazil’s government has received criticism over a lack of focus on electrification and clean energy. The proposed car renovation program could help green the country’s transportation sectors, given that it will enable the replacement of gas-guzzling cars with new, fuel-efficient models. The initiative is also consistent with the country’s commitments under the Paris Climate Agreement, which aims to reduce emissions and slow the pace of global warming.

According to Ben Sovacool, a professor at the University of Sussex and an expert in energy policy, “There is a real opportunity for Brazil right now to leapfrog historical patterns of energy investment and industry exploitation and set an example.” The professor argues that it is imperative for Brazil’s leaders to recognise that the future of the auto industry lies in the production and adoption of cleaner, more efficient modes of transportation.

The proposed program aligns well with the Brazilian auto industry’s long-term vision for the sector. Brazil is one of the largest car manufacturing hubs in the world and has increased its production significantly in recent years. However, automakers have long been calling for programs that incentivize the production of more environmentally friendly cars.

Overall, the Brazilian Government’s proposed car renovation plan appears to be a step in the right direction. If successful, it could help the country meet its environmental and economic goals in the automobile and energy sectors. However, the financing model remains unclear, and it will be interesting to see how the program progresses over the coming months.

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