Government allocates €2.1 billion to boost energy transition
According to the State Budget draft for 2023, the Portuguese government will provide €2.1 billion to boost the energy transition in 2023.
The government will provide €2.1 billion to boost the energy transition next year, according to the State Budget draft for 2023, which also includes incentives for self-consumption and the sale of surplus energy to the grid.
The measures are part of the commitment to reach carbon neutrality by 2050, “which will require an ambitious reduction of greenhouse gas emissions (85% concerning 2005 emissions) and a carbon sequestration capacity of 13 million tons.”
The Portuguese government intends to invest €2100 million in the energy transition next year. Among the investment sectors, the document shows the renewal of “car fleets, the execution of building remodelling works and installation of photovoltaic panels and the acquisition of new, more efficient equipment”.
In the State Budget, a sum of €5 million will be used to encourage renewable energy in a self-consumption regime or by small production units (up to 1 megawatt of installed power).
Another €5 million is destined to reduce taxes on plug-in hybrid cars and light passenger vehicles powered by vehicular natural gas (CNG). These will now be taxed at 2.5%, 7.5% and 15% rates depending on the acquisition value of the vehicle in question. In parallel, vehicles powered exclusively by electricity with an acquisition value of €62,500 or more will now be taxed autonomously at a rate of 10%
