New Portuguese Decree-Law simplifies licensing and promotes renewable energies in low-density areas
The Portuguese Decree-Law No. 99/2024, published on December 3, 2024, introduces changes to the regulatory framework for renewable energy in Portugal, aiming to simplify procedures and promote decarbonization.
This Decree-Law came into force on December 18, 2024, and partially transposes the RED III Directive into Portuguese legislation. It introduces measures to accelerate and simplify the licensing of renewable energy projects, facilitate the connection of installations to the electricity grid and strengthen the guarantees of origin for renewable electricity.
The new regulation increases the permissible distances for energy sharing among members of renewable energy communities in low-density areas. This flexibility facilitates collective self-consumption, allowing renewable production facilities to supply energy to consumers at a greater distance than previously permitted. The goal is to encourage participation in these decentralized models, promoting sustainable electrification in less populated areas.
It modifies the concept of proximity between UPAC (self-consumption production units) and electrical utilization installations (IU), establishing maximum distances between UPAC and IU as follows:
(i) 4 km for medium-voltage connections;
(ii) 10 km for high-voltage connections;
(iii) 20 km for very high-voltage connections, when they are not connected to the same substation. If connected to the same substation there is no maximum distance limitation.
If the UPAC and IU are located in low-density territories (as identified by a government ordinance), these distances are doubled.
This change will help foster the creation of renewable energy communities in low-density areas, ensuring that more people and rural communities are not left behind in the energy transition.
