Brazil sets aside R$ 2 billion for projects in sustainability innovation

06/19/2012 - 15h31

The federal government will devote R$2 billion to finance sustainable innovation projects in companies through a publicity campaign that was launched on Monday by the minister of Science, Technology and Innovation Marco Antonio Raupp at Rio+20, the U.N. conference on sustainable development that will go until June 22.

The program, called "Sustainable Brazil," will be under the domain of Finep (Financing for Study and Projects). The amount that will be directed towards "green" innovation is the equivalent of a third of the institution's budget that was planned for this year (R$6 billion).

The idea of the new campaign is to encourage the development of products that, for example, consume less energy or do not damage the environment.

Just like other Finep programs, the companies should submit their projects when the bidding process is open. Finep still has not released the date for the first round of submissions.

Folha found that the amount set aside for Sustainable Brazil will be given out to companies by redeemable credits and by economic subsidies (which cannot be financially reimbursed).

The proposal to encourage green innovation in the private sector is not new, and was first announced by former Minister of Science Aloizio Mercadante in July of 2011. But it was never finalized on paper.

When asked by Folha if there were also plans to encourage research on stability in the universities through some kind of specific financial incentive, the Minister of Science, Antonio Raupp evaded the question.

'We're waiting for the launch of this Finep program first," Raupp said.

Translated by ANNA EDGERTON