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In brief

The environmental agency of the state of São Paulo (CETESB) published technical note no. 01/21 in April 2021, providing the applicable methodologies for the measurement and report of emissions of greenhouse gases (GHG) for the parties that are included in the São Paulo Environment Agreement.


More details

The environmental agreement was released by CETESB in November 2019, with 55 companies seeking combined efforts and engagement of the private and public sectors to adopt measures of control involving global climate change. 

Between the actions established by the agreement is the annual report to CETESB regarding the emissions of GHG and the adoption of emission reduction targets during the period of 2020 and 2030. 

In this scenario, CETESB prepared the technical note presenting methodologies to calculate the emissions and issuance of an inventory, both providing technical consistency and methodological unification to the parts, leading to better development of the Environmental Agreement. 

The technical note consists of four sections. The first addresses the main normative and regulatory references at the federal and state levels while the second deals with climate change and market references, which includes green bonds, the environmental, social and governance (ESG) indices, the corporate sustainability index of the capital market (ISE B3) and sectoral accreditations.

Section three includes the presentation of the calculation of GHG emissions and publication of inventories, tools and methodologies, which contains the guidelines of the intergovernmental panel on climate change (IPCC), ISO-14064-1, GHG Protocol, Global Protocol for Community – Scale GHG Emissions (GPC), as well as methodologies and main references that will include organizational and operational limits, selection of calculation methodologies and data collection of GHG activities and emission factors, baseline year, calculation of emissions, appropriate inventory practices and reporting of emissions. Finally, the last section comprises the final considerations, with a summary of the technical note.

Our Environment and Sustainability team is on hand to provide further clarification on the topic.

Disclaimer:
“Trench Rossi Watanabe and Baker McKenzie have executed a strategic cooperation agreement for consulting on foreign law.”

Author

Renata Campetti Amaral joined the firm in 2002 and became a partner in 2013. She is the head of the firm’s Climate Change, Environmental Law and Sustainability group in Brazil, and the leader of Ablfs McKfnzif’s global climate change group in Latin America. Is also the coordinator of the sustainability initiatives conducted by the office’s B-Green Committee. Renata assists the major players in the Brazilian market in Nature-bases Solution (NbS) projects, transaction of carbon credits, implementation of decarbonization strategies and carbon-related advocacy and regulatory matters. Renata leads several of the largest environmental and regularization cases in the country. She has extensive experience in sustainability matters, as well as in managing crises and negotiating with stakeholders. Advises on negotiating with authorities; judicial and administrative litigation; reviewing environmental aspects of institutions and financial operations; drafting environmental provisions in contracts and other commercial operations. Renata has extensive experience in dealing with environmental management, legal auditing and other organizational practices; regulatory and institutional analysis and environmental control; negotiation and implementation of environmental remediation plans; environmental licensing; legal aspects of biodiversity protection; environmental crisis management; development of preventive policies and strategies for companies; negotiation and drafting of contracts for the purchase and sale of carbon credits and acting in transactions related to various aspects of the energy transition.
*Trench Rossi Watanabe and Baker McKenzie have executed a strategic cooperation agreement for consulting on foreign law.

Author

Giovani Bruno Tomasoni joined the Firm in 2008 and became partner of the Environment, Consumer and Sustainability practice group in 2020. He practices with focus on Environment, Public Law, Energy, Forestry, and helps clients in the internalization of concepts such as sustainability, ESG, circular economy, environmental compliance, among others.
*Trench Rossi Watanabe and Baker McKenzie have executed a strategic cooperation agreement for consulting on foreign law.

Author

Alexandre Salomão Jabra joined the firm in 2010. He integrates the environmental, consumer and sustainability practice group, with focus on consultancies, administrative procedures lawsuits and negotiations. In the environmental area, Alexandre has a wide breadth of experience in cases involving contamination, environmental and urbanistic licensing procedures, environmental liability, management of solid wastes and take-back requirements, effluents, electromagnet pollution, air emissions, forestry matters, protected areas and minorities, biodiversity, controlled chemicals products, socio and environmental liability of financial institutions, climate change, carbon markets and urbanistic regularization. In the consumer area, Alexandre has experience with consultations, administrative and judicial procedures related to Consumer Law issues with federal, state and municipal agencies, such as DPDC, PROCONs, Public Prosecutors and Municipalities involving recall, offers, data protection, misleading and abusive advertising, privacy, e-commerce, abusive clauses, commercial practices, terms and conditions and violations to the Brazilian Consumer Defense Code. Alexandre represents several clients in the oil&gas, automotive, chemicals, technology, food, communications, mining, finance and services sectors.
*Trench Rossi Watanabe and Baker McKenzie have executed a strategic cooperation agreement for consulting on foreign law.

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