LUSA 06/30/2026

Lusa - Business News - Portugal: Law to boost renewables, bolster consumer rights in force in 60 days

Lisbon, June 29, 2026 (Lusa) - The legislation amending the framework for the Portuguese National Electricity System, creating acceleration zones for renewables and strengthening the rights of electricity consumers, comes into force in 60 days’ time, following its publication on Monday in the official government gazette.

In the legislation, the Government emphasises that it is necessary to “ensure the regulatory stability and predictability required to foster investment in the energy sector”.

“The fulfilment of Portugal’s international commitments regarding the energy transition and decarbonisation requires an effective and competitive pathway, notably by increasing the proportion of energy from renewable sources in gross final energy consumption,” it stated.

The decree-law comes into force in 60 days, as stated in the document.

The country's president gave the green light to the decree-law on 5 June; this amends Decree-Law No. 15/2022, transposing Directive (EU) 2024/1711 and, in part, Directives (EU) 2023/2413 and 2023/1791.

The decree-law had been approved by the Cabinet on 19 March, as part of a package of three pieces of legislation in the energy sector, and aims to consolidate the transposition of European directives on renewables and consumer protection.

Among the measures envisaged is the creation of Renewable Energy Deployment Acceleration Zones (ZAER), where projects benefit from shorter and simplified licensing procedures.

It is also envisaged that self-consumption of up to 800 watts will be exempt from prior authorisation and that suppliers with more than 200,000 customers will be required to offer fixed-price contracts with a minimum duration of one year.

A protection scheme is also being introduced for domestic consumers and small and medium-sized enterprises in the event of an electricity price crisis.

According to the statement issued following the Cabinet meeting, “this mechanism will enable specific impact-mitigation measures to be implemented, notably the setting of electricity prices below cost by suppliers, acting as a safety net during periods of sharp price rises, such as those seen in recent years”.

The legislation also provides for limiting supply cuts to economically vulnerable consumers during critical periods, particularly at peak consumption times in summer and winter.

Finally, the document “makes payment plans mandatory in cases of arrears exceeding 60 days, suspends limitation periods upon acceptance of such plans, and requires them to be tailored to the financial circumstances of the most vulnerable consumers”.

 

ALN/AYLS // AYLS

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