The Ministry of the Environment has announced the extension of the term for all rural properties to be enrolled in the Rural Environmental Registry (CAR). The initial term, ending on May 6, has been extended for one more year, as authorized by the New Forest Code (Federal Law No. 12,651/2012). Properties must be enrolled with the competent state or municipal agency.

The electronic registration should include information on the status of Permanent Preservation Areas, Legal Reserve, forest and remaining native vegetation areas, Restricted Use Areas and consolidated areas of rural properties and possessions across the country.

In practice, environmental agencies, such as Companhia Ambiental do Estado de São Paulo (CETESB), have already started to demand the registration, where the owner has environmental regulation processes in progress or has applied for an authorization to remove vegetation in his property.

The Brazilian Federation of Banks (FEBRABAN) has also incorporated the CAR into the day-to-day activities of financial institutions. Normative Ruling No. 14/14 of the Banking Self-Regulation System provides that in the case of rural properties offered as guarantee, the signatories shall check the registration of the Legal Reserve in the real property registration, its CAR registration information or any document signed with the competent agency, in compliance with the applicable laws.

Upon registration in the CAR, the environmental agency will analyze all entered data in search of any pending issues or inconsistencies. In this phase, the person responsible for the registration may be notified to provide additional information or to correct and adjust the information provided.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.