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

Opposition in Brazil Wants Head of Finance Minister

Brazilian opposition party PSDB (Party of the Brazilian Social Democracy) filed a motion in ...

Brazil Allows Farmers to Use Non-Certified GM Soybean Seeds

Brazil’s federal government extended permission to use non-certified soybean seeds for the next growing ...

First Brazilian Astronaut Star of Moscow Press Conference

In a press conference Wednesday, February 8, in Moscow, the three astronauts who will ...

Brazil Breaks Territory into ‘Little Countries’ to Avoid Spread of Chicken Disease

Beginning in 2006, poultry production in Brazil is expected to adopt the model used ...

Despite Loss in Venezuela, Brazil’s Petrobras Has Record Profit

Brazilian state-controlled oil company Petrobras ended 2006 with a net profit of 25.9 billion ...

Fable

—I never make a mistake. —Then it was the hooded ones’ mistake. —Not possible. ...

Brazil’s Havaianas Maker Buys Argentina Firm and Dreams of Going Global

Brazil-based São Paulo Alpargatas, the country's largest textile and Footwear Company announced Friday the ...

LETTERS

If Lula is not elected, then chances of profound reform will be postponed yet ...

Ten Brazilian Entrepreneurs Get Knowledge Medal

Brazil’s 2005 Knowledge Medal (Medalha do Conhecimento), was awarded to ten businessmen by Brazilian ...

Brazilian Inflation Rises 3.59% This Year. Food Prices Down.

Brazil’s rate of inflation in August, as measured by the Broad Consumer Price Index ...

WordPress database error: [Table './brazzil3_live/wp_wfHits' is marked as crashed and last (automatic?) repair failed]
SHOW FULL COLUMNS FROM `wp_wfHits`