What Changes with Bill 2159/2021? Understand the New General Environmental Licensing Law

Even before the 1988 Constitution, the National Environmental Policy (Law No. 6,938/1981) already provided for licensing as a fundamental tool for environmental protection. The Constitution reinforced this guideline, requiring an Environmental Impact Study (EIS) and an Environmental Impact Report (EIR) for potentially degrading activities.

However, no federal law has ever been passed to fully regulate item IV of Article 225, leading licensing processes to be based mainly on:

• CONAMA Resolutions
• Complementary Law No. 140/2011
• Technical regulations of the National Environmental System (SISNAMA) agencies
• State and municipal legislation

The new bill seeks to unify and systematize these references in a single legal text.

Currently, the three federally recognized types of licenses are:

• Preliminary License (LP): granted in the preliminary phase of planning the project or activity, approving its location and design, certifying its environmental feasibility, and establishing the basic requirements and conditions to be met in the next phases of its implementation
• Installation License (LI): authorizes the installation of the project or activity in accordance with the specifications contained in the approved plans, programs, and projects, including environmental control measures and other conditions, which constitute a determining factor;
• Operating License (LO): authorizes the operation of the activity or project, after verification of effective compliance with the provisions of the previous licenses, with the environmental control measures and conditions determined for the operation.

Bill 2159/2021 proposes the inclusion of three new modalities:

Suitable for low-impact projects that do not cause significant environmental degradation and whose risks and control measures have been previously mapped. LAC requires that there be no removal of native vegetation and that the entrepreneur comply with certain conditions.

Example: In MG, this model already exists under the name Simplified Environmental License by Registration (Las Cadastro).

Consolidates the LP, LI, and LO phases into a single procedure. It is already applied in states such as Goiás under the same name, LAU, and in Minas Gerais as Concurrent Environmental License (LAC 1).

Intended for projects considered strategic. It is issued through a special procedure, must be given priority review, and may be issued in a single phase.

One of the points raised is the possibility of automatic renewal of licenses for activities with low or medium pollution potential and small or medium size.

Renewal may be done by electronic declaration, provided that:

• The activity has not undergone significant changes
• Environmental constraints have been met
• Applicable environmental legislation has not changed

The bill provides for priority and simplification of licensing for basic sanitation works, with the aim of expanding the population's access to treated water and sewage services.

However, the text notes that nothing prevents the requirement for an EIA/RIMA if there is technical justification, such as:

• Sensitive location of the project
• Risk of significant environmental impact

Currently, the involvement of agencies such as ICMBio, FUNAI, and IPHAN can cause significant delays in licensing. The bill seeks to resolve this with the following measures:

• 30-day deadline for responding agencies to respond
• Silence as agreement: if there is no response, the process continues

In addition, the bill updates the participation criteria, including minimum distances to consider the impact on traditional communities, and includes new projects for analysis, such as wind farms, which are becoming increasingly common given the race for energy transition.

The bill establishes maximum deadlines for reviewing licenses, which could drastically reduce the length of the process:

The bill also proposes to repeal legal provisions for environmental protection:

• §2 of Article 6 of Law No. 7,661/1988
  Required EIA/RIMA for interventions that alter the natural characteristics of Coastal Zones
• §§ 1 and 2 of art. 14 of Law No. 11,428/2006
  Reinforced the need for express authorization for the removal of native vegetation in the Atlantic Forest biome

The removal of these requirements is viewed with concern by environmentalists.

With the approval of Bill 2159/2021 by the National Congress, the text now goes to the president for approval. The President of the Republic may:

• Fully approve the bill, turning it into law;
• Veto it in whole or in part, for legal (unconstitutionality) or political reasons;
• Veto specific articles, keeping the rest of the text.

If there are vetoes, Congress may still review them and overturn them in a new vote, with an absolute majority of votes (41 senators and 257 deputies).

Once sanctioned and published in the Federal Official Gazette, the new General Environmental Licensing Law will take effect throughout the national territory and may:

• Require complementary regulations from ministries or environmental agencies;
• Be progressively incorporated by states and municipalities, according to their powers defined by Complementary Law 140/2011;
• Require adjustments by licensing agencies, entrepreneurs, and environmental consultants.

Experts warn that the way in which this implementation will take place—and the speed with which it will be done—will directly influence the expected results: greater legal certainty and efficiency, without compromising environmental protection.