ENGIE Brasil Energia has partnered with the Brazilian startup Descarbonize, which streamlines the decarbonisation process for companies and events. This collaboration will allow carbon credits generated in Brazil to be traded with the European market.
Descarbonize, which began operating in Brazil in August 2023, has been involved in carbon credit negotiations for energy generation using 100% renewable sources and has not expanded to international markets.
“Today, companies in Europe that enter into a partnership with Descarbonize will also be able to buy carbon credits issued by ENGIE in Brazil, representing a significant enlargement of our market”, said Energy Commercialization Officer at ENGIE Brasil, Gabriel Mann.
“We are satisfied with this investment, not only because of the rapid growth of Descarbonize, but also in the context of our aim to accelerate an energy transition which is fair to all, supporting and simplifying the way ahead for customers and companies in their decarbonization journeys”, said ENGIE Brasil Energia’s CEO, Eduardo Sattamini. ENGIE Brasil has the right to acquire 10% of Descarbonize shares if it exercises its conversion option.
Descarbonize has developed a software solution that measures the carbon footprint of companies or events by analysing data streams such as electricity consumption, fuel use in combustion engines, and waste production. The platform also offers carbon credits generated by ENGIE’s renewable power plants for companies seeking to offset their emissions.
The software provides visibility to companies into supply chain emissions, which are often the largest source of carbon output (Scope 3). It aims to accelerate supply chain decarbonisation in a straightforward and reliable manner, aligning with internationally recognised standards like the GHG Protocol.
The platform will help companies comply with new mechanisms like the Carbon Border Adjustment Mechanism (CBAM), which will impose a surcharge on the carbon footprint of imported products starting in 2026.
“In the international market, the startup will continue to focus on meeting the needs of companies to manage their supply chain emissions as well as events with the goal of facilitating their decarbonisation,” said founding partner of Descarbonize, Antônio Clark Portinho.