Brazilian Biofuels Programmes from the WEL Nexus Perspective

Brazil’s biofuel programmes viewed from the WEL-nexus perspective3 Implementation and leverage mechanisms ofProalcool and PNPBProalcool and PNPB used a series of leverage mechanisms and other components that were thebasis of success. In order to facilitate the analysis of these components and to understand howthey interacted in specific contexts to produce results, we separate them this paper using theProgramme Theory approach.Programme Theory consists of two interlinked models. The first, the change model, includesgoals and outcomes, leverage mechanisms and the intervention. The change model reflects aprogramme’s planning momentum. The second, the action model, is a systematic plan forarranging institutions, resources, legal frameworks, and support mechanisms to reach a targetpopulation and deliver services (Linnér et al., 2010).This theory is used here as a tool for identifying the combination of ‘push and pull’ componentsof the two programmes, facilitating a comparison between them as well as the analysis of theinstitutional demands (network of implementing agencies) necessary for their implementation.3.1 Change modelGoalsProalcool was created in 1975 and its explicit goals were to (CNPq, 1980): Increase the net supply of foreign exchange through reducing the demand forimported fuel Reduce income disparities among regions Reduce income disparities Increase national income through the deployment of underused resources Increase the growth of the domestic capital goods sectorIn addition, there were at least two hidden goals (Hira and Oliveira, 2009; Goldemberg andMoreira, 2009). The first was that the military government perceived energy dependence as anational security concern, which Proalcool could help to address. The second was to avoid awidespread bankruptcy crisis in the sugar industry, which was at that time one of the mainnational economic activities.In the case of PNPB, all the evidence and recent studies (Pousa et al., 2007; Hall et al., 2009)lead to the conclusion that the goals were indeed those stated by the government, includingthe potential improvement in the country’s balance of trade since Brazil is a net importer ofdiesel (Rathmann et al., 2011). There is no evidence that the government intended to favour aspecific industry or had other hidden goals, at least in the initial phase. In the context of ademocracy led by the Workers’ Party (PT), PNPB was to implement in a technically andeconomically sustainable way the production and use of bio-diesel, with an emphasis on socialinclusion and regional development via generation of income and jobs. The main objectives ofPNPB were to: Implement a sustainable programme, promoting social inclusion Guarantee competitive prices, quality and supply Produce bio-diesel from different oleaginous plants in diverse regionsPNPB aimed to address these issues simultaneously, and at a global level (Rathmann et al.,2011).12