Overview

• On August 8, President Lula approved the reform but struck down 63 of its 398 provisions that critics said would have dismantled environmental oversight.
• Among the vetoed measures was a clause allowing self-licensing for medium-impact projects without prior studies or regulatory review.
• A preserved provision mandates expedited approval for strategic or priority projects—including potential Amazon River mouth oil exploration—under a one-year deadline.
• Congress retains the authority to override the vetoes, prompting environmental NGOs to ready legal challenges and civil society campaigns.
• Lula’s administration will propose a “Special Environmental License” bill under constitutional urgency to fill regulatory gaps left by the struck provisions.