President Luiz Inácio Lula da Silva sanctioned, with vetoes, the law that establishes the Legal Framework for Collective Public Transport. The objective of the text is to modernize the policy of this type of transport in the country, with the diversification of financing and the improvement of the regulation and operation of urban public transport. One of the structural advances of the new framework is the break with the predominant model in Brazil, in which the financing of public transport falls almost exclusively on the fare paid by the user. Law No. 15,432/2026 was published, this Sunday (14), in an extra edition of the Official Gazette of the Union (DOU). Related news: Lula at the G7 generates expectations for a US tariff and a veto on meat by the EU. Zero tariffs can guarantee more access to health services, says study. BNDES opens financing for cargo and passenger transport. The measure paves the way for the discussion of zero tariffs and authorizes the use of new funding sources to subsidize tariffs, such as advertising, commercial exploitation of spaces and resources from the Contribution for Intervention in the Economic Domain (Cide Combustíveis). Cide is a federal tax charged on the import and sale of oil, natural gas, fuel alcohol and its derivatives. Created by a 2001 law, its resources are allocated to transport infrastructure, environmental projects and fuel price subsidies. The text was approved in May by the National Congress and also deals with strengthening the physical and tariff integration of transport systems, increasing transparency in public management, the transition to renewable energy sources and the creation of national mechanisms for sharing data and monitoring the quality of services. Another highlight is the definition of minimum quality parameters for public transport systems, including criteria such as regularity, punctuality, accessibility, safety, comfort and passenger satisfaction. The text also provides that operators' remuneration may be linked to the performance and quality of the service provided. Vetoes In a statement, the Presidency of the Republic informed that the presidential vetoes on the Legal Framework for Collective Public Transport aimed to preserve fiscal sustainability and avoid impacts on existing free policies. Excerpts that obligated states and municipalities to fully pay for free fees and tariff discounts with resources from the public budget were removed, in addition to provisions that linked public subsidies to operators' remuneration. “The assessment was that these requirements could generate expenses without anticipated resources and put at risk benefits already granted to the population”, says the statement, adding that the vetoes do not prevent the granting of subsidies to finance free fares and tariff discounts. “What was removed was the mandatory nature of this funding and the deadline for adaptation, measures that could make the model currently adopted by several federative entities unfeasible and generate instability in the system”, reinforced the Presidency. Devices related to the powers of federal entities were also vetoed, such as the mandatory exemption from tolls for buses on state and municipal highways and the provision of federal subsidies for local transport fares. The justification was to preserve the autonomy of states and municipalities, avoid new mandatory expenses for the Union and guarantee legal certainty in the management of transport systems. Other vetoes apply to the creation of new administrative structures, compensation rules for concessionaires and the mandatory allocation of 60% of Cide Combustíveis' resources to urban areas. According to the government, the measures seek to avoid an increase in permanent spending, reduce fiscal risks for public authorities and preserve budget flexibility to meet the country's different needs and priorities.