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Decarbonization: importance and positive impacts

7/25/25

More and more countries are recognizing the importance of investing in decarbonization. It's not just about reducing carbon emissions or combating climate change, it's an initiative that also boosts innovation, strengthens the economy and promotes an improved quality of life.

See below how it can be implemented by different sectors and what its real impacts are.

What is decarbonization?

Decarbonization is a set of actions aimed at reducing or eliminating emissions of carbon dioxide (CO₂) and other greenhouse gases. This involves replacing fossil fuels with renewable sources such as solar and wind power, as well as investing in more efficient and sustainable technologies.

But it's not just about energy generation: decarbonization also involves changes in industry, transport, city infrastructure and consumer habits.

How can decarbonization be achieved?

Decarbonization is a process that must be implemented in various sectors of the economy, as each plays an important role in reducing greenhouse gas emissions. Some of the main initiatives include:
Energy transition
Replacing fossil fuels (such as coal, oil and natural gas) with renewable energy sources such as solar, wind, hydroelectric and biomass is the basis of decarbonization. Innovations such as green hydrogen and energy storage also help to ensure a cleaner and more efficient energy matrix.

Electrification of transport
The transport sector is one of the biggest emitters of CO₂. To reduce its impact, the electrification of vehicles (such as electric cars, buses and trucks), the encouragement of sustainable public transport and the use of biofuels are alternatives that contribute to decarbonization.

More efficient industry
The modernization of industry includes the adoption of more efficient production processes, the use of recyclable materials and technologies that capture and store carbon. Sectors such as steel and cement are increasingly looking for ways to reduce their emissions through technological innovation.

Sustainable buildings and cities
Decarbonization also involves transforming urban infrastructure, with more energy-efficient buildings, the use of sustainable materials and the expansion of green areas in cities.

Changing consumption habits
Reducing waste, encouraging the circular economy (reuse and recycling of materials) and adopting conscious consumption practices are ways of reducing emissions on a daily basis and having a routine more in line with decarbonization.

The role of governments and global agreements

Decarbonization is not just the responsibility of companies and society - governments around the world are the main agents of this transformation. They are the ones who create public policies, regulations and incentives capable of reducing carbon emissions and driving a more sustainable economy.

Brazil has been a great example of progress in this regard. In addition to increasingly encouraging the expansion of the use of renewable energy sources, the country has committed to reducing greenhouse gas emissions by 59% to 67% by 2035. The target was announced during the United Nations Framework Convention on Climate Change (UNFCC) at the 2024 United Nations Climate Change Conference (COP 29).

International meetings such as the COP help to keep countries aware of global scenarios and the challenges they need to face to reduce the effects of climate change. They act as a platform for countries to share progress, discuss innovative solutions and, above all, establish more ambitious commitments regarding the reduction of greenhouse gas emissions.

At COP 30, which will be held in Belém, Pará, between November 10 and 21, 2025, the Brazilian government will have the opportunity to share more initiatives for decarbonization and strengthen its leadership in global climate discussions.

What are the positive impacts of decarbonization?

As well as helping to limit global warming to 1.5 °C, decarbonization generates benefits for different aspects of society. According to the International Renewable Energy Agency (IRENA), it is directly linked to advances such as:

Job creation and greater inclusion in the labor market
The growth of renewable energy expands job opportunities. In 2023 alone, the sector created 2.5 million new jobs around the world, according to IRENA. Decarbonization also promotes more diverse participation, especially among women, compared to the hydrocarbon sector.

Encouraging and developing local communities
The transition to renewable energy sources also strengthens local communities. In many regions, the installation of solar power plants or wind farms generates an increase in energy autonomy and provides a stable source of income for populations, with the development of sustainable projects and the implementation of new technologies.

Improved health and quality of life
According to estimates by the United Nations (UN), air pollution kills around 8.1 million people a year - and much of this is generated by burning fossil fuels. By reducing dependence on fossil fuels, decarbonization contributes to improving air quality and reducing negative impacts on human health.

Energy access and cost reduction
Decarbonization can also increase access to energy, especially in remote or disadvantaged areas. Technologies such as solar photovoltaics and energy microgrids offer a more affordable solution for communities that do not yet have adequate energy infrastructure.

Energy security and climate resilience
Renewable energies represent a more stable and resilient option due to their wide availability, reducing supply outages. By diversifying energy sources, global economies can strengthen their energy security and take more initiatives in the face of climate change.


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