Article

Brazil's biomethane sector is set for a significant change in 2026 with the introduction of a 0.25% biomethane mandate, translating to 238,500 m³/d, and the establishment of the biomethane certificate of guarantee of origin (CGOB). This mandate has raised uncertainties regarding pricing, with concerns that CGOB values may fall below the R1/m³ (19¢) floor necessary for project viability.

Key regulatory aspects, including certificate rules and delivery models, remain unclear. While producers seek long-term targets to boost investor confidence, buyers view the modest target favorably to avoid price shocks.

Seven new biomethane facilities increased Brazil's production capacity by 439,827 m³/d to 1.1 million m³/d in 2025. Public hearings on CGOB rules are scheduled for January, with final decisions expected later in the year. Petrobras has also initiated a call for biomethane supply, receiving 20 proposals for negotiation in 2026.