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Ibama Ends Licensing for Brazil’s Last Proposed Coal Plant as COP30 Opens

Attention now turns to a power‑sector measure that could prolong coal subsidies through 2040.

Overview

  • The environmental agency definitively archived the UTE Ouro Negro licensing in Pedras Altas, closing the final coal‑plant proposal still under federal review.
  • Ibama cited unresolved deficiencies in risk and emergency planning, firefighting systems and wildlife protection after the company failed to submit required fixes since an August 2023 notice.
  • The shelved project envisioned a 600 MW plant in a region flagged as water‑scarce by ANA, which had already rejected the project’s water‑withdrawal request in 2016 due to environmental risks.
  • Instituto Arayara, which formally sought archiving in July, hailed the move and urged a coal phase‑out with just‑transition measures for affected workers and communities.
  • Existing coal plants such as UTE Candiota, Jorge Lacerda and Pampa Sul remain authorized to operate to 2040, and a pending measure (MP 1.304) could extend coal subsidies through 2040, with consumer costs estimated by Arayara at R$76–R$107 billion if approved.