Law No. 15.042 creating the Brazilian Greenhouse Gas Emissions Trading System (SBCE).

This Law creates the Brazilian Greenhouse Gas Emissions Trading System (SBCE), regulated environment subject to the regime of limiting GHG emissions and trading assets representing GHG emissions, emission reductions or removals in the country. The SBCE will be responsible for complying with the PNMC (National Climate Change Plan) and the commitments made under the United Nations Framework Convention on Climate Change, through the definition of environmental commitments and financial discipline for asset trading. The SBCE has the following principles: Harmonization and coordination among available instruments to achieve the PNMC's objectives and targets, including sectoral carbon pricing mechanisms; Compatibility and coordination between the SBCE and the United Nations Framework Convention on Climate Change and its instruments, with particular attention to Brazil's commitments under multilateral climate change regimes; Participation and cooperation among the Union, States, Municipalities, the Federal District, regulated sectors, other private sectors, and civil society; Transparency, predictability, and legal certainty; Promoting the competitiveness of the Brazilian economy; Reducing emissions and removing GHG emissions in a fair and cost-effective manner, with a view to promoting sustainable development and climate equity; Promoting the conservation and restoration of native vegetation and aquatic ecosystems as a means of strengthening natural carbon sinks; Respecting and guaranteeing the rights and autonomy of Indigenous peoples and traditional peoples and communities; Respecting the rights to private property and usufruct of Indigenous peoples and traditional peoples and communities.