The proposal seeks to suspend the effects of a Federal Government regulation that nullified the benefit for the photovoltaic sector.
Economic Development Committee. Photo: Vinicius Loures/Chamber of Deputies
The proposal suspends the effects of a regulation from the MDIC (Ministry of Development, Industry, Trade and Services) that nullified this benefit.
According to the author of the proposal, Representative Delegado Caveira (PL-PA), the revocation of the tax incentive promoted by the Executive puts at risk R$ 20 billion in investments and almost 160 jobs in the solar energy sector.
The bill’s rapporteur, Representative Lafayette de Andrada (PL-MG), was in favor of the project, highlighting that the change affects the viability of businesses.
“The unilateral and immediate revocation of the tariff exemptions, without any transition period, produces an effect similar to an abrupt increase in import costs, burdening ongoing projects and making new ventures unfeasible,” stated the rapporteur.
Lafayette cited data from ABSOLAR (Brazilian Photovoltaic Solar Energy Association) indicating that the cut in tax exemption directly affects 5,78 GW of installed capacity in photovoltaic projects.
The report also emphasizes that solar energy plays a central role in the Brazilian electricity matrix and in meeting the goals of the Paris Agreement.
The proposal will still be analyzed by the Finance and Taxation Committee. Following that, it will be considered by the full Chamber of Deputies. To definitively suspend the effects of the rule, the bill needs to be approved by both the Chamber of Deputies and the Senate.
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He worked at Correio Popular and Rádio Trianon. He has experience in podcast production, radio programs, interviews and reporting. Has been following the solar sector since 2020.
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