LUSA 05/06/2026

Lusa - Business News - Portugal: Government to present plan to cut fossil fuel dependency 'very soon'

Lisbon, May 5, 2026 (Lusa) – Portugal’s environment and energy minister, Maria da Graca Carvalho, has announced that the government would present a plan to "substantially" reduce fossil fuel dependency "very soon."

"We are working to present a plan very soon to substantially reduce our dependence on fossil fuels," the minister said.

She was speaking on Monday at the presentation of the Sector Programme for Renewable Energy Acceleration Zones (PSZAER), a strategic government initiative designed to fast-track solar and wind project approvals. She said that Portugal remains heavily dependent on fossil fuels for total energy consumption, especially in transport and industry.

The minister linked the need to reduce this dependency within the current context of geopolitical instability with conflict in the Middle East pressuring energy markets and reinforcing the importance of energy autonomy.

"In electricity we cannot go much further, but we can go a little further," she said, identifying renewable acceleration zones, grid connection, storage, and the electrification of industry and other sectors as priorities.

The minister also mentioned incentives for renewable fuels, both liquid and gas, for sectors that are difficult to electrify, such as heavy goods transport, shipping, and aviation.

Carvalho said the goal is to make Portugal "more independent of geopolitical fluctuations and less dependent on prices that we do not control from the point of view of fossil fuels."

“This, besides sustainability, because we are talking about climate protection and air quality, is also energy autonomy and autonomy from the point of view of security and supply,” she added.

She stated that energy autonomy is also "a factor of competitiveness" for industry and the economy.

"Continuing this commitment to renewable energy is a moral imperative in the fight against climate change," she said. "It is also a national imperative economically, for our energy security and resilience, and for our economy's competitiveness."

Carvalho stressed that Portugal is "a success case" in renewable electricity generation, noting that in January the country reached 80.7% of electricity generated from renewable sources.

"This is not only a figure we take pride in, it is also a record that protects us. That has become very clear in the current situation of conflict and energy crisis," she said, adding that a high share of renewables reduces the impact of external shocks on electricity prices.

Conflict in the Middle East, which began in late February involving the US, Israel, and Iran, has increased tension in energy markets. Disruptions in the Strait of Hormuz, a primary global oil and gas route, and its partial blockade have contributed to rising energy prices and market volatility. 

 

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