Aydos, Elena; Oliari, Rafaela Cristina; Leonetti, Carlos Araujo --- "Renewable energy, smart grids and hybrid vehicles: a Brazilian case study" [2019] ELECD 1919; in Villar Ezcurra, Marta; Milne, E. Janet; Ashiabor, Hope; Skou Andersen, Mikael (eds), "Environmental Fiscal Challenges for Cities and Transport" (Edward Elgar Publishing, 2019) 181

Book Title: Environmental Fiscal Challenges for Cities and Transport

Editor(s): Villar Ezcurra, Marta; Milne, E. Janet; Ashiabor, Hope; Skou Andersen, Mikael

Publisher: Edward Elgar Publishing

Section: Chapter 13

Section Title: Renewable energy, smart grids and hybrid vehicles: a Brazilian case study

Author(s): Aydos, Elena; Oliari, Rafaela Cristina; Leonetti, Carlos Araújo

Number of pages: 14

Abstract/Description:

This chapter analyses a Brazilian public programme called Inova Energia, aimed at incentivizing innovative projects in the renewable energy, electricity network and transport sectors. The chapter starts with a doctrinal analysis of the programme in light of the provisions of the World Trade Organization Agreement on Subsidies and Countervailing Measures. The chapter then explores the source of revenue for the programme and the controversies involving the use of innovation subsidies. The analysis reveals a number of inconsistencies and concerns, including: (1) the non-refundable payments made under the programme constituted subsidies; (2) the programme adopted a de facto local content condition; (3) there is a lack of evidence that the programme effectively fostered innovation; and (4) the programme lacked transparency.