Brazil seeks to cancel US$180mn carbon credit agreement with LEAF Coalition
Prosecutors argue that the deal was closed without the previous, free and informed consent of local Indigenous communities.
Brazil’s federal prosecutors seek to cancel a US$180 million carbon credit deal between a corporate coalition and the Amazonian state of Pará, for allegedly violating the country’s carbon market rules and failing to gain prior informed consent from Indigenous communities.
In a lawsuit filed this week, the Federal Prosecution Office (MPF) says the agreement – signed last September between the LEAF Coalition (which includes Amazon, H&M and Walmart) and the State of Pará for the purchase of up to 12 million tonnes of forest carbon credits – allows for the anticipated sale of credits, which is prohibited by Brazil’s carbon market law.
