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Politics & Regulation

Senate approves IPTU reduction for consumers with solar energy

Insertion of the rule into the text of the Constitution seeks to encourage initiatives in Brazilian municipalities

Senate authorizes IPTU reduction for consumers with solar energy

Document goes to vote in the Chamber of Deputies. Photo: Waldemir Barreto/Agência Senado

 

O Senate approved, this Tuesday (13), a project that reduces the value of IPTU (Urban Property and Land Tax) for taxpayers who adhere to environmentally sustainable actions in their properties.

The PEC (Proposed Amendment to the Constitution) 13/2019, authored by senator Plínio Valério (PSDB-AM), aims to reduce the value of the tax to encourage preservation of the environment and sustainability.

Differentiated rates will be offered for both installations with painéis solares as well as for consumers who use the use of rainwater, wastewater reuse, aquifer recharge and the like. 

Currently, the initiative approved by the Senate has already been applied in some municipalities in the country, despite not yet being included in the Federal Constitution. Among them: Salvador (BA), Vila Velha (ES), São Carlos (SP), Araraquara (SP), Belo Horizonte (MG) and Curitiba (PR).

According to Valério, the inclusion of the rule in the text of the Constitution will serve to draw attention to the issue and encourage all municipalities to provide a discount on IPTU within their financial possibilities. In other words, each city hall will be able to decide whether or not it wants to adopt the so-called “Green IPTU”. 

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The PEC was approved with 70 favorable votes in the first round vote and 65 favorable votes in the second round vote. There were no votes against and the The document now goes to the Chamber of Deputies for a vote.

According to Valério, the PEC will only come into force 180 days after the date of its publication. “I think we have a great opportunity to collaborate with the future. The cost-benefit is clear: we make a profit, nature makes a profit, the new generations make a profit”, he said. 

Henrique Hein
About the Author
Henrique Hein

He worked at Correio Popular and Rádio Trianon. He has experience in podcast production, radio programs, interviews and reporting. Has been following the solar sector since 2020.

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