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Instituto Verdeluz and others v. Portocem Geração de Energia S.A. and SEMACE - petition

Litigation

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On May 31, 2023, the NGO Instituto Verdeluz, the Indigenous Council of the Anacé People of Japiman, and the Indigenous Association of the Anacé People of the Planalto Cauipe Village filed a Public Civil Action (environmental class-action) against the company Portocem Geração de Energia S.A. and the Secretary of the Environment of the State of Ceará (Secretaria do Meio Ambiente do Estado do Ceará – SEMACE). The plaintiffs seek the suspension and subsequent annulment of the environmental licensing process of the Portocem Thermoelectric Plant (UTE), powered by natural gas, which is to be installed in the Pecém Industrial and Port Complex (CIPP). They claim there is non-compliance with legal norms and several omissions in the Environmental Impact Study (EIA), including (i) the concealment of indigenous communities in the vicinity of the project, (ii) the disregard of impacts related to water resources, (iii) the disregard of potential socioeconomic impacts, (iv) the underestimation of damage to health, and (v) the disregard of climate impacts. They also believe that there was no adequate analysis of synergistic and cumulative impacts with other enterprises in the region, considering their insertion in an Industrial Complex. In relation to climate impacts, the plaintiffs argue that the EIA failed to list important consequences for climate stability. They mention the reports of the Intergovernmental Panel on Climate Change (IPCC) and how the use of fossil fuels is incompatible with the guiding principles of the national energy policy. They argue that Brazil and the state of Ceará have made a legal commitment to reduce greenhouse gas (GHG) emissions, which goes against the implementation of a new gas-fired thermoelectric plant. The plaintiffs also point out that the Northeast is one of the regions in Brazil most vulnerable to climate change and stress the importance of the risk analysis of the project to the water security of the region, considering that the water resources of the Northeast are under pressure from climate change. On top of the problems in the impact assessment, the plaintiffs also state flaws in the licensing process due to the lack of effective public participation. In this sense, they question the lack of prior, free, and informed consultation with the indigenous Anacé people. They believe that there was a violation of national and international norms of indigenous peoples' rights, especially Convention 169 of the International Labor Organization (ILO). 

In light of these various irregularities, the plaintiffs request, in an injunction, the suspension of the installation license granted by SEMACE as well as the determination that Portocem Energia S.A. refrain from starting the implementation work. On these merits, they request that the licensing process be declared null and void and that a new environmental licensing process be conducted with the presentation of a new EIA that corrects the flaws pointed out and includes prior, free, informed and good faith consultation with the affected indigenous peoples.

A preliminary decision was handed down dismissing the injunction for lack of urgency and probability of the right. However, a decision on the merits is still pending.

In July 2023, the defendants filed their defenses. They argued that environmental licensing was regularly held. 

A final decision on the merits is still pending.

Instituto Verdeluz and others v. Portocem Geração de Energia S.A. and SEMACE

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An aim to achieve a quantifiable outcome within a given time-frame, set by an institution such as a national government.

Policy instruments are techniques or tools used by governing authorities to promote certain policies in order to achieve predetermined goals. Put simply, instruments are how a government tries to achieve its goals, with this taxonomy being focused on national policy instruments.

Risk is the potential for adverse consequences resulting from the dynamic interplay between (climate-related) hazards, exposure, and vulnerability of affected human or ecological systems.

Groups  of people who are adversely affected by climate change or the response to it

A set of principles, processes, and practices that build economic and political power to shift from an extractive economy to a regenerative economy.

Renewable energy means all forms of energy produced from renewable sources in a sustainable manner.

Fossil fuel is a generic term for non-renewable energy sources such as coal, fossil gas, and oil (including crude oil, and petroleum products), that can be used for electricity and heat generation. Fossil fuels are hydrocarbons formed from pressurised and heated organic material buried over millions of years.

Molecules in the atmosphere that play a key role in the greenhouse effect by trapping heat radiating from Earth’s surface.

Area of the economy in which actors engage in identical or related activities.

In human systems, the process of adjustment to actual or expected climate change and its effects, in order to moderate harm, increase resilience or exploit beneficial opportunities. In natural systems, the process of adjustment to actual climate change and its effects; human intervention may facilitate adjustment to expected climate change and its effects.

The management and allocation of funds, assets and investments to meet various objectives

Terrestrial means "of the earth" and relates to the risks to ecological system that includes all living organisms and their interactions within land-based environments, such as forests, grasslands, and deserts.

Households employing domestic workers, for activities like cooking, cleaning and subsistence farming, for their own use.

Any compulsory, unrequited payment to the government levied on corporations or individuals. This can be for environmental reasons, such as introducing a Carbon tax to set a price that emitters must pay for the greenhouse gases they emit.

Actions or measures to adapt terrestrial systems to climate change.

This sector includes firms and individuals offering specialised expertise in fields such as law, accounting, consulting, science and engineering.

Activities involving the catching, processing, and selling of fish for food, recreation, and industry.

Financial actors and resources that are primarily directed towards climate change mitigation, adaptation and compensation.

This sector provides medical services, manufactures medical equipment, and develops pharmaceuticals to maintain and improve health.

Actions to adapt human health, healthcare systems and well-being to climate change.

Air pollution involves harmful contaminants in the air, affecting both indoor and outdoor environments. It can lead to health issues like respiratory diseases and heart problems, and climate impacts such as global warming. Pollutants can damage plants, trees, habitats, and water bodies like rivers and lakes.

A commitment to balance GHG emissions with removal by a certain point in time, effectively reducing the net emissions to zero

Activities of industries that extract natural resources, such as mining, oil, and gas, for commercial use.

Oil is a combustible liquid fossil fuel composed mainly of hydrocarbons, occurring as crude oil and refined into petroleum products such as petrol, diesel and kerosene.

Actions and measures to adapt and increase resilience of societies and the economy to climate change.

Actions or measures to adapt freshwater systems to climate change.

This sector involves managing waste treatment, sanitation, pollution control and environmental cleanup.

Electrical energy generated from mechanical devices driven by flowing fresh water.

Production of electricity and heat from solar irradiation.

Activities that involve planning, designing and building infrastructure, residential, and commercial structures.

This sector involves the distribution, treatment, and conservation of water resources.

Climate change impacts our society by disrupting the natural, economic and social systems we depend on. Physical hazards and underlying vulnerabilities can lead to increased resource competition for food and water, which can heighten the risk of conflict.

Dedicated pool of financial resources for climate-related projects.

People whose health, both mental and physical, makes them more vulnerable to the effects of climate change

Codes and standards are regulatory instruments that specify minimum standards to protect health and safety. This ranges from performance standards, which prescribe outcomes while allowing flexibility to achieve compliance, to the more prescriptive approach of technology-specific standards.

This sector involves activities to move goods and people, alongside the storage of products.

Fossil gas, commonly known as natural gas, is a fossil fuel consisting chiefly of methane with smaller amounts of other hydrocarbons and trace gases, found in underground deposits.

This sector involves the wholesale and retail selling of goods.

A long-lived, colourless gas, chiefly emitted from fossil fuel combustion, deforestation and cement production.

A subsidy is a direct or indirect payment to individuals or businesses, typically provided as a government cash payment or a specific tax reduction.

Social and cultural groups that share collective ancestral ties to the lands and natural resources where they live, occupy or from which they have been displaced

People with different national or cultural traditions from the dominant population

Using laws and the legal system more broadly to protect vulnerable entities

The activities of industries involved in the production, distribution, and sale of energy, including electricity, gas, and renewables.

This sector creates and distributes information and entertainment through television, radio, print, and digital platforms.

The release of heat-trapping gases, primarily from human activities such as burning fossil fuels, agriculture and industry.

Slow onset events evolve gradually from incremental changes over many years or from increased frequency or intensity of recurring events. As defined in the Cancun Adaptation Framework (2010), slow onset events include risks and impacts from rising temperatures, desertification, biodiversity loss, land and forest degradation, glacial retreat, ocean acidification, sea level rise, and salinization.

A target to reduce the prevalence of a greenhouse gas over a specific time frame

Activities that involve the cultivation of crops and raising of livestock for food, fibre, and other products essential for human life and industry.

Coal is a combustible sedimentary rock formed from carbonised plant matter, rich in carbon and hydrocarbons, and occurring in several main types including hard coal and brown coal.

Either money or something of monetary value is transferred between two or more organisations, people or countries.

Actions or measures to adapt freshwater, coastal and marine systems to climate change.

A potent, short-lived greehouse gas, largely released from livestock, fossil fuel extraction and waste management.

Activities of government agencies and institutions that provide public services, enforce laws and manage public resources.

Social inclusion is the process of improving the terms on which individuals and groups take part in society—improving the ability, opportunity, and dignity of those disadvantaged on the basis of their identity.

The processes through which enterprises can identify, prevent, mitigate and account for how they address their actual and potential adverse impacts. Due diligence is the idea that reasonable precautions should be taken to avoid causing harm to people, the environment, or society. It also involves identifying and mitigating risks before they occur.

This sector involves activities that impart knowledge and skills to individuals, including formal schooling, vocational training and educational support.

Extreme weather refers to events where a weather variable exceeds (or falls below) a threshold. Meaning it is significantly different from the average or usual weather pattern.

Instituto Verdeluz and others v. Portocem Geração de Energia S.A. and SEMACE - petition

Target

Policy instrument

Risk

Impacted group

Just transition

Renewable energy

Fossil fuel

Greenhouse gas

Economic sector

Adaptation/resilience

Finance