Communications Minister Frederico de Siqueira Filho said the government is working to complete the regulations for Redata, the new tax regime designed to encourage investment in data centers, by the end of 2026.

Siqueira Filho spoke to reporters during Futurecom 2026 in São Paulo after the state’s lieutenant governor estimated that the process could take about six months. The minister said the most difficult stage — passage of the bill by Congress — had already been completed, leaving only regulatory issues to be resolved.

“The regulatory process now involves fine-tuning,” he said. According to Siqueira Filho, “as far as digital infrastructure is concerned, the matter has been resolved,” while the energy issue remains under discussion. “The expectation is that we will be able to resolve it by the end of the year.”

Shortly before, São Paulo’s lieutenant governor had said the regulations could take about six months and linked completion of the process to progress in the state’s discussions on ICMS (Tax on the Circulation of Goods and Services).