President Luiz Inácio Lula da Silva sanctioned this Tuesday (15) the bill that establishes the incentive plan for the data center sector in Brazil. The text was approved by the Chamber of Deputies in February and by the Senate earlier this month, after a period of impasse. The project was unblocked after a meeting between Lula and the president of the Senate, Davi Alcolumbre (União Brasil-AP), at the end of August.
The project, called the Data Center Sector Incentive Program, establishes that companies in the sector must contract all of their electricity demand through supply contracts or self-production from renewable or low-emission sources. Senators included the term "low emission" in the text to allow data centers to also contract natural gas energy.
Through the REDATA program, companies in the sector may have suspension and subsequent reduction to zero rate of taxes such as IPI, PIS/Pasep, Cofins and Import Tax on the acquisition and import of information and communication technology equipment. The program's objective is to attract investments to the technology sector in the country.




