Brazil - Develop a Vehicle Emissions Inspection Programme [BR-23-004]

Overview

This project responds to the request of the Ministry of Environment and Climate Change of Brazil to develop a vehicle emissions inspection programme to monitor and reduce short-lived climate pollutants from vehicles (black carbon, PM 2.5 and sources of tropospheric ozone), and to prepare a project funding proposal for the implementation and evaluation of a vehicle inspection pilot project in one state.

The main source of pollution in Brazil’s metropolitan area is from emissions from road vehicles, including cars, buses, trucks and motorcycles. Short-lived climate pollutants from the transport sector are mainly black carbon (as small particulate matter 2.5) and tropospheric ozone (as result of emission of precursor pollutants such as methane, NOx, etc). Special attention will be given to heavy-duty diesel vehicles due to their significant contribution to air pollution. This includes monitoring compliance with exhaust smoke limits, as well as inspecting diesel particulate filters (DPFs) and ensuring proper maintenance of emissions control systems.

This project responds to the challenges that come with Brazil’s growing vehicular fleet in the metropolitan region. The State of São Paulo faces a particularly worrying situation because it holds about 40% of the country's automotive fleet. To monitor and reduce SLCPs from the transport sector it is necessary to regulate the emission standard of registered vehicles and to guarantee that the vehicles operate in good maintenance conditions. Brazil adopted PROCONVE 8 (P-8) standards, based on Euro VI, in 2018. P-8 standards entered into effect for new vehicle type approvals on January 2022, and for all new sales and registrations on January 2023; manufacturers are authorized to comply earlier with these standards. Therefore, a vehicle inspection programme is needed at the operational level to guarantee that the vehicle fleet operates in good condition, and to control and reduce black carbon emissions.

The results of this project are expected to include short-lived climate pollutants in Brazil’s vehicle inspection programme, and a project funding proposal for the implementation and evaluation of a vehicle inspection pilot project in one state. It will also include the formulation and adoption of a new regulation to control and monitor SLCP in the vehicle sector in line with the vehicle inspection programme.

More information on Brazil involvement in the CCAC is available on their Partner Page.

Who to involve

The Ministry of Environment and Climate Change is responsible for proposing, supporting, and implementing policies, plans and strategies related to air quality, climate change and waste management. Successful delivery of this project will require close coordination and engagement primarily with relevant ministries from across the government, including those with mandates in environment and climate change (including Environmental Protection Agency Ibama), transport, health, industry, metrology, regulation Agency, cities, infrastructure, finance, national planning, energy and the 26 State governments.

Expected results

Applicants are encouraged to propose additional outputs as needed to ensure the expected project outcomes are achieved. Applicants can determine the scope of outputs if not specified. 

The project is expected to deliver at a minimum:

1. The Government of Brazil includes short-lived climate pollutants (black carbon, PM 2.5 and sources of tropospheric ozone) in its vehicle inspection programme at project completion or soon after.

Indicator: Number of laws, regulations, or other policy mechanisms with SLCP targets or mitigation measures formally adopted, endorsed, and/or implemented.

Output 1.1: Develop a vehicle inspection programme to monitor and reduce short-lived climate pollutants from vehicles. The programme will regulate the emission standard of registered vehicles and will guarantee that the vehicles operate in good maintenance conditions. It will include:

• Emissions standards, definition of applicable vehicles, testing procedures, a system for compliance and enforcement as well as for monitoring and evaluation.
• Institutional arrangements for implementation.

Output 1.2: Develop a short-lived climate pollutant mitigation assessment for the transport that should include: 

• An assessment of mitigation scenarios to estimate the impact in terms of emission reductions from the vehicle inspection programme based on remote sensing techniques.
• Gap assessment of the current laws, policies, and regulations regarding vehicle inspection.
• Revision and benchmarking of national and international relevant and successful vehicle inspection programs and of their methodologies is conducted
• Recommendations for improving the vehicle inspection process and overcoming barriers
• Recommendation of incentives of compliance for vehicles that meet or exceed emission standards (eg. exemptions or reductions in registration fees, tax incentives, or access to preferential lanes)
• Analysis of advanced technologies and methodologies to enhance the vehicle inspection process, including remote sensing techniques.
• Technical and financial feasibility of implementing vehicle inspection using remote sensing techniques is carried out.
• A plan with specific objectives, activities, and timelines for implementing vehicle inspection at the state level is developed

Output 1.3: Research and data collection to determine SLCPs emission factors. This data collection should be carried out with the vehicle moving on the roadway (real scenario) and not in a controlled environment or static situation. This output should include:

• Improve the vehicle source inventory methodology.
• Develop a national vehicle emissions inventory for mobile sources based on primary and secondary data.
• Develop a specific system for the automatic calculations and dissemination of inventories of vehicle emissions.
• Transfer knowledge and conduct trainings about the preparation of inventories of vehicle emissions, seeking to qualify public servers of the national and local level.
• Establish emission standards that vehicles must meet to pass the inspection. These standards may be based on pollutant levels such as nitrogen oxides (NOx), carbon monoxide (CO), particulate matter (PM), or other relevant pollutants.

2. The Government of Brazil submits a project funding proposal to potential donors for the implementation and evaluation of a vehicle inspection pilot project in one State by the end of the project or soon after.

Indicator: Amount of external funding (“catalysed funding”) for SLCP actions.

Output 2.1: Prepare a project-funding proposal for the implementation and testing of a vehicle inspection pilot project in one state that builds on the analysis that will be conducted and on existing supporting policies, plans and strategies, and includes public awareness and education. 

3. The Government of Brazil has increased capacity to reduce SLCPs from heavy-duty vehicles and engines. 

Output 3.1: A national consultant for Brazil is recruited to support the project and related activities in cooperation with relevant government stakeholders.

Application process

Eligibility requirements

To be eligible for consideration, project proposals must meet the following requirements:

• Complete and submitted before the deadline
• Submitted by a non-governmental organization (NGO), intergovernmental organization (IGO), or other not-for-profit entity. Governments are not eligible to apply directly for funding in this call.
• Requested funding is within the estimated budget amount, or includes a clear justification for additional expenses 
• Project duration is less than 24 months
• Budget criteria are met and spending caps on expenses are respected. 

Please note that entities will be required to provide the last three (3) audited financial statements to be eligible for CCAC funding. These statements may be provided along with the application for funding or at the request of the CCAC Secretariat during the evaluation process.

For-profit entities may only participate in the project as stakeholders, co-funders, or end users. Applicants are encouraged to include for-profit entities in the development of the project proposal and/or during project implementation if their ownership of the proposed solution is key to the project’s success.  

How to apply

Eligible applicants are invited to apply using the Application Form and Excel Budget Form. Specific instructions on completing these forms are available in both documents. 

Applicants may choose to follow the cost range proposed above OR propose a different budget supported by a clear justification. However, applicants should note that cost efficiency will play a significant role in the selection process.

The completed Application Form and Excel Budget Form should be submitted to secretariat [at] ccacoalition.org (secretariat[at]ccacoalition[dot]org).

Evaluation criteria

Proposals will be evaluated against the following criteria:

• Presents a clear plan to achieve the required outcomes during the lifetime of the project or soon after
• Includes a plan or activities to enable the scaling up of, replication of, or sustained use of project results over time
• Sets out a clear approach for enabling or contributing to SLCP emissions reductions and resulting co-benefits
• Involves relevant stakeholders 
• Approach is grounded in a strong understanding of relevant risks
• Complements other relevant initiatives, funding mechanisms, and existing policy processes
• Applicant demonstrates necessary capacity and experience to perform the work
• A realistic, cost-effective, and clearly justified budget and approach is proposed
• Project meets the minimum requirements for the OECD DAC gender equality marker Score 1

Selection process

• A preliminary review of proposals submitted by the deadline will be conducted by members of the CCAC Secretariat, Funding Task Team, and Board, in consultation with relevant CCAC Partners.  
• Shortlisted applicants will be invited to present their proposals in further detail and to respond to follow-up questions about their application.
• Successful applicants will be invited to develop a Project Implementation Plan and Detailed Budget in consultation with the CCAC Secretariat and relevant CCAC Partners.

The selection process may take up to 6 months after the closing date of the call for proposals. Due to the high volume of requests, the CCAC will not respond to requests for updates or feedback during this time.

Note: Due diligence 

In addition to eligibility criteria outlined above, qualified UNEP/CCAC implementers* must meet the following criteria: 

• Have adequate financial resources to perform the contract and meet all existing commitments (financial health)
• Be able to provide proof of registration, proof of not-for-profit status and audited financial statements for the last three completed fiscal years 
• Have a record of satisfactory performance with UNEP/CCAC, when applicable; and  - Not have been suspended or debarred by UNEP/CCAC or another UN agency. UNEP/CCAC also considers entities included in the Security Council Resolution Lists to be ineligible for UNEP/CCAC agreements.

* (inter)governmental entities/ United Nations are exempt from this requirement

Procurement

As a general rule, Implementation Agreements allow for incidental procurement only, and as such, total costs in the following categories must fall below a certain threshold*:

• Contractual Services
• Equipment, Vehicles and Furniture
• Operating and other Direct costs
• Supplies, Commodities and Materials

*Agreements of $200,000 and below: up to $20,000 or 15% of total budget, whichever is lower.

*Agreements of above $200,000: up to $40,000 or 15%. * United Nations agencies are exempt from this requirement.