Editorial
Energy & Climate Change Insight
The year 2025 will most likely be remembered as yet another particularly demanding chapter in the geopolitics of energy. Against an international backdrop still marked by persistent tensions, the reconfiguration of supply chains, and the increasing instrumentalization of energy as a strategic asset, the sector continued to operate in an environment of high uncertainty, both from a regulatory and an economic standpoint.
The beginning of 2026 has not brought a reversal of this scenario. On the contrary, the same level of complexity and unpredictability has persisted. At the national level, extreme weather events, such as Storm “Kristin”, placed additional pressure on infrastructure and supply chains. At the same time, internationally, the escalation of tensions in the Middle East once again impacted energy markets, with direct consequences for prices and the stability of supply.
The Portuguese market has not been immune to these developments and has once again been compelled to adapt rapidly and respond in a coordinated manner, whether through the adoption of exceptional measures to mitigate the effects of extreme events or through adjustments to the prices of petroleum and energy products.
Even so, despite this adverse context, there have been some responses from national authorities aimed not only at mitigating the immediate impacts of these events but also at creating conditions to sustain investment and the development of the energy sector in the medium to long term.
The establishment of the new Agency for Geology and Energy (AGE), together with the consequent extinction of, among other entities, the Directorate-General for Energy and Geology (DGEG), constitutes a clear sign of this trend towards transformation and reorganisation of the sector.
One of the most visible expressions of this dynamic was also the launch of the public consultation regarding the exceptional procedure for allocating grid connection capacity in High Demand Zones. In a context where network capacity availability has become one of the main constraints on the development of new projects, this procedure seeks to address the growing pressure on existing infrastructure by adjusting criteria in a particularly sensitive area for energy-intensive consumers.
Also noteworthy is the launch of another call for tenders for the installation of battery-based energy storage systems (BESS), promoted by the Environmental Fund (Fundo Ambiental) under the Recovery and Resilience Plan (PRR). At a time when the Public Service Electricity Network (RESP) faces increasing challenges in terms of resilience and responsiveness, this initiative represents an important reinforcement of the autonomy, security, and robustness of the National Electricity System (SEN).
Finally, the meeting of the Council of Ministers on 19 March 2026 is also expected to introduce developments of particular relevance to the sector, which we have highlight in this edition.
With this framework in mind, this newsletter presents a detailed analysis of the main legislative and regulatory developments of the 1st quarter, as well as the most relevant sector updates and emerging issues in the field of energy and climate change.
We wish you an excellent read.
