The European Commission today announced the approval of an allocation of €1 billion for green energy in Portugal.

The goal is for the country to produce the equipment needed for the energy transition, in line with the Green Deal industrial plan.

The direct support system is approved under the TCTF Temporary State Aid Rules.

Companies that produce related equipment such as batteries, solar panels, wind turbines, heat pumps, electrolyzers and carbon capture and storage equipment, as well as components of this equipment or critical minerals needed to produce it, will be able to apply for this support.

The aid will be allocated until the end of 2025 to encourage the production of this equipment related to the energy transition.

The aid to Portugal is “necessary, appropriate and proportionate to accelerate the green transition and facilitate the development of certain economic activities, which are important for the implementation of the Green Deal industrial plan.”

“The $1 billion support measures support investment in strategic equipment to accelerate the transition to a zero-carbon economy. This includes batteries, solar panels, heat pumps, wind turbines, electrolyzers, and carbon capture and storage,” the European Commission Vice-President said in a statement. It is aligned with the Green Deal Industrial Agenda and the EU's carbon neutrality target, ensuring distortions to competition remain limited.Argrethe Vestager.