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Portugal launches renewable gas auction with 14 million euros annual funding

The Minister of Environment and Energy in Portugal, Maria da Graça Carvalho, announced the launch of an auction for the centralized procurement of renewable gases, specifically targeting the production of green hydrogen and biomethane.

Technologies to reduce greenhouse gas emissions

This auction, which allocates up to €14 million annually (€140 million over 10 years), aims to foster projects in green hydrogen and biomethane, technologies that could significantly reduce greenhouse gas emissions and support the circular economy.

Transgás, S.A., acting as the Wholesale Supplier of Last Resort (CURg), will serve as the contracting authority, while the Directorate-General for Energy and Geology (DGEG) will oversee the procedure and appoint the jury. According to Ordinance 15/2023, the maximum annual contracting quantities are set at 150 GWh for biomethane and 120 GWh for hydrogen.

The base price offered by the SRB is €62/MWh for biomethane and €127/MWh for hydrogen. Applications must be submitted via the Procedure Platform within 60 days of the publication of the opening notice.

Promote innovation in the renewable energy sector

This funding, provided through the Environmental Fund, aims to give investors greater confidence in the development and deployment of these cutting-edge technologies by protecting them from potential price volatility.

This initiative is part of the Government's broader strategy to promote innovation in the renewable energy sector, encouraging the development of new projects that can advance these technologies for economic and societal benefit.

Minister Maria da Graça Carvalho highlighted the Government's commitment to an energy transition based on technological neutrality during her speech at the Lisbon Energy Summit. She emphasized that the auction's goal is to support various technologies to achieve the objective of decarbonizing the economy.


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