- Petrobras and BNDES will restore up to 50,000 hectares in the Amazon, capturing 15 million tons of carbon.
- The initiative, ProFloresta+, will invest over R$450 million and generate 4,500 jobs.
- It establishes Brazil’s first large-scale carbon restoration transaction with transparent pricing and public contracts.
Petrobras and the Brazilian Development Bank (BNDES) have signed a Memorandum of Understanding to launch ProFloresta+, an unprecedented initiative aimed at purchasing carbon credits generated through Amazon reforestation. The project seeks to restore up to 50,000 hectares of degraded land, capturing 15 million tons of carbon—equivalent to emissions from 8.94 million gasoline-powered cars annually.
A Game-Changer for Carbon Credits
ProFloresta+ stands as one of Brazil’s largest carbon credit programs for forest restoration and the first developed in partnership with a financial institution. Its initial phase includes a public notice for purchasing up to 5 million carbon credits, covering 15,000 hectares and mobilizing R$450 million in investments. This will also create 4,500 jobs within the restoration sector.
“This is a very important initiative for Petrobras and for Brazil. It will enable us to meet our climate commitments with high-quality and high-integrity carbon credits and, at the same time, we will foster the development of the restoration sector in the country,” said Petrobras CEO Magda Chambriard.
Long-Term Commitment to Restoration
The program will fund ecological restoration projects using native species, ensuring carbon credit purchases through long-term offtake contracts. BNDES will provide financing to project developers via special credit lines, such as the Climate Fund, offering tailored rates and terms for restoration efforts.
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BNDES President Aloizio Mercadante highlighted the transformative impact of the program:
“The program will contribute substantially to scaling up the restoration of the Amazon rainforest and to the decarbonization strategies of Brazilian companies. With the initiative, we will transform the restoration and maintenance of the forest, making them profitable for companies, local communities and, most importantly, for the environment, by combining the environmental and climate demands of the country.”
Setting a Benchmark for Carbon Markets
This initiative is Brazil’s first large-scale carbon restoration transaction with transparent pricing, technical parameters, and a public contract model. It establishes a new benchmark for the restoration and carbon credit market.
ProFloresta+ was developed with technical support from the Nature Investment Lab (NIL), which facilitated expert consultations. Additionally, the Climate and Society Institute (ICS) contributed expertise in developing rigorous technical and socio-environmental criteria for integrity and co-benefits.
“The expectation is that the establishment of a standard contract for purchasing carbon credits from restoration projects with high integrity and rigorous technical and socio-environmental criteria will serve as a reference to foster the development of the restoration and carbon credit market,” said Petrobras’ Director of Energy Transition and Sustainability, Maurício Tolmasquim.
Expanding Reforestation Efforts
BNDES’ Socio-Environmental Director, Tereza Campello, emphasized that this initiative aligns with broader reforestation efforts, particularly in the Arc of Deforestation, now being transformed into the Arc of Restoration.
“BNDES has sought to diversify the forms of support for the recovery of native vegetation in Brazilian biomes. The climate and social crisis in the Amazon region requires urgent promotion of forest reconstruction, especially in the most degraded regions,” said Campello.
With ProFloresta+, Petrobras and BNDES are setting the stage for scalable, high-integrity carbon credit markets while driving economic and environmental gains in Brazil.
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