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Newsletter 27 Nov 2025 · Portugal

Tender procedure for the allocation of capacity reserve certificates for injection into the public electricity grid for new forest biomass power plants – Ordinance No. 425/2025/1

Meet The Law - Energy & Climate Change

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Ordinance No. 425/2025/1, of 27 November, regulating the terms of the tender procedure for the allocation of injection capacity reserve titles (“TRC”) in the Public Service Electricity Network (“RESP”) for new forest biomass power plants to be installed and operated under Decree-Law Law No. 64/2017, of 12 June (“DL 64/2017”), was published.

DL 64/2017 stipulates that applications for production and operating licences for biomass power plants must be submitted to the DGEG as part of a tender procedure for obtaining the respective TRCs.

This ordinance therefore regulates this tender procedure, with the key points being as follows:

  • Type of tender procedure: The tender procedure takes the form of an electronic auction and is governed by the provisions of Decree-Law 15/2022 and the respective documents.
     
  • Deadlines for the competitive procedure: The DGEG must submit the tender specifications to the member of the Government responsible for the energy sector for approval within 15 days of the date of entry into force of this order and, after approval, publish the competitive procedure announcement within 10 days.
     
  • Content of the tender specifications: The tenders specifications shall define the areas eligible for the installation of biomass power plants, in accordance with the provisions of DL 64/2017, which in turn include (i) connection points to the RESP and (ii) the megavolt-ampere (MVA) injection capacity at each of the connection points, made available from a set of connection substations with a maximum injection power into the RESP defined in DL 64/2017.
     
  • TRC exemption for self-consumption and re-equipment: Biomass power plants for self-consumption without injection of surplus electricity into the RESP or, when there is injection of such surpluses, these are equal to or less than 1 MVA, and new biomass recovery plants resulting from re-equipment are exempt from TRC.

The Ordinance comes into force on the day following its publication and can be consulted here.

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