Brazil Creates Fund to Collect Fines for Eco Damages

Brazil’s National Environmental Compensation Fund was launched Thursday, March 16, by the Brazilian Minister of the Environment, Marina Silva, in an agreement between the Ministry, the IBAMA (Brazilian Institute of Environment and Renewable Natural Resources) and Caixa Econômica Federal (Federal Savings Bank).

Companies that cause harm to the environment in the course of executing their projects can make recompense by depositing money in a fund in the Caixa Econômica Federal. The fund will be used for the creation, maintenance and implementation of parks, reserves, and ecological stations.

The Minister said that the agreement will give transparency, efficiency, and agility to fulfilling this type of legal obligation.

Up to now the companies themselves have been administering the application of these resources in Conservation Units, based on amounts fixed by the IBAMA in accordance with the extent of damage caused and never less than 0.5% of the total investment in the project.

Silva explained that payment of the compensation is mandatory, although adhesion to the fund is voluntary. The IBAMA received US$ 142.4 million (300 million reais) last year in compensation commitments by companies and is currently in the process of trying to collect another 40% of this value.

According to the Minister, some of the funds will also be used to expedite processes of land regularization. She recalled that one of the obstacles to the creation of Conservation Units is the matter of indemnifying individuals who possess property in these areas.

The fund, she went to say, is destined for units chosen in accordance with the IBAMA’s criteria: Properties with all their legal documents in order will receive priority, and those with pending legal questions will not be included in this process.

The Minister also pointed out that the companies that adhere to the National Environmental Compensation Fund will be benefited, because, "when the law is respected, and these resources are destined for environmental protection, the company is associating its image with the preserved areas."

ABr

Tags:

You May Also Like

Lack of Capital for Rural Producers Cuts Jobs in Brazil

The Brazilian Confederation of Agriculture (CNA) called attention last week to the decline in ...

Brazil Experts Betting Key Interest Rate Will Fall 0.75% to 15.75%

Brazil’s annualized benchmark interest rate (SELIC), which currently stands at 16.50%, is expected to ...

Brazil in the Opec, Just an Electoral Trick

Whoever imagines Brazilian President Lula following his own advice, in other words, waiting to ...

Brazil’s Opposition Presidential Candidate Chooses Young Lawyer for Running Mate

Brazilian Congressman Indio da Costa of the opposition Democrat’s party was named Brazilian presidential ...

Varig Employees Urge Brazilian President to Keep Bankrupt Airline Flying

A group representing Brazilian Varig Airline employees, accompanied by ten members of Congress, delivered ...

Brazil Press Opposes Social Control Lula Wishes to Impose on Media

Luiz Inácio Lula da Silva, Brazil’s most popular president in recent history, seems to ...

Brazil's Ribeira Valley in the state of São Paulo

A Few Proposals to Bring Sustainable Development to Brazil’s Ribeira Valley

The Ribeira de Iguape River, one of the most important rivers in the Brazilian ...

Despite Crisis Brazil’s Retail Grew Almost 6% Last Year

In 2009 the turnover of Brazilian retail trade grew 5.8%. It was the lowest ...

US President George W. Bush

Bush Going to Brazil in March. Chí¡vez Seen as a Reason

American President, George W. Bush, is going to visit Brazil early next month, according ...

US and EU’s Medieval Privileges Are Unacceptable, Says Brazil

Brazil’s Minister of Foreign Relations, Celso Amorim, delivered a clear and objective message to ...