Proposition of incentive criteria for renewable energy and energy efficiency for the Ecological ICMS laws in Brazil

The objective of this study was to formulate a criterion to encourage renewable energy and energy efficiency to compose the Ecological ICMS laws in Brazil. The proposition was carried out observing the energy potential existing in the country and the methods of calculating the distribution of resources used in the current Ecological ICMS laws. An energy criteria composed of ten sub-criteria was formulated: small hydroelectric plants; photovoltaic solar energy; wind energy; biomass thermoelectric plants; ethanol fuel; solar thermal energy; qualified cogeneration; energy efficiency certification of buildings; building codes with energy efficiency guidelines; and municipal energy conservation policy. Among the potential economic and socio-environmental impacts of this initiative, it can be mentioned: increased independence and diversification of the national energy matrix; creation of jobs and income from the distributed generation segment; and reduction of greenhouse gas emissions from the Brazilian energy sector.