
Government allocates €15 million to support energy efficiency and renewable energy in the agricultural sector
The Portuguese Government has launched a new financial support instrument aimed at boosting the energy modernisation of agricultural holdings, with a total allocation of €15 million, funded by the Environmental Fund and implemented by the Institute for Financing Agriculture and Fisheries (IFAP).

Government allocates €15 million to support energy efficiency and renewable energy in the agricultural sector
The Portuguese Government has launched a new financial support instrument aimed at boosting the energy modernisation of agricultural holdings, with a total allocation of €15 million, funded by the Environmental Fund and implemented by the Institute for Financing Agriculture and Fisheries (IFAP).
What this support means for the agricultural sector
This support scheme is aimed at agricultural and livestock producers, cooperatives, associations, producer organisations, and irrigation associations wishing to invest in energy efficiency equipment and infrastructure, as well as in the production and storage of renewable energy.
The objectives are clear:
- Reduce energy consumption in agricultural holdings;
- Decrease greenhouse gas emissions;
- Increase the use of renewable energy sources;
- Improve the competitiveness and sustainability of agricultural businesses.
Non-repayable funding of up to 100%
One of the key features of this measure is that the support is granted as non-repayable funding, through reimbursement of eligible investments, and may cover up to 100% of the project’s eligible costs.This approach removes significant financial barriers for companies wishing to implement energy transition projects, directly reducing both the risk and the cost associated with adopting efficient and sustainable technological solutions.
Types of eligible investments
Although the official call for applications has not yet been published on the IFAP portal, it is already known that eligible projects may include:
- Installation of energy efficiency systems (e.g. more efficient motors and pumps, LED lighting systems, energy control and monitoring technologies);
- Implementation of renewable energy sources (such as photovoltaic solar panels, small-scale biogas or biomass production units);
- Energy storage solutions that optimise self-consumption management;
- Incentives for integrating technologies that improve the overall energy performance of the agricultural holding.
Relevance for competitiveness and sustainability
For the Government, this initiative is a key component of the energy transition strategy for the agricultural sector, reinforcing energy efficiency as a driver of competitiveness and environmental sustainability.
By reducing energy costs — often one of the largest operational expenses — producers are able to improve their economic performance while responding to growing market demands for more sustainable practices.
An opportunity for consultancy and application preparation
For companies and consultants, this support scheme represents a strategic opportunity to:
- Carry out preliminary energy audits and identify high-impact measures;
- Prepare robust investment plans and funding applications, aligned with the eligibility criteria to be defined in the official call;
- Integrate mature technological solutions that accelerate the energy transition of agricultural holdings;
- Combine this instrument with other funding lines (e.g. Alentejo 2030 / Portugal 2030 programmes, regional incentive schemes, or specific programmes focused on bioeconomy and agricultural innovation).
The new €15 million support scheme for energy efficiency and renewable energy in the agricultural sector is a clear example of how public instruments can catalyse sustainable investments with a direct impact on the competitiveness of agricultural holdings. For companies looking to innovate and reduce energy costs, this is the right moment to plan projects, prepare applications, and take advantage of funding that may cover up to 100% of eligible investments.
Andreia Arenga
21.01.2026
All rights reserved. This article is protected by copyright and may not be reproduced, distributed, transmitted or used, in whole or in part, without the prior written permission of Equações Exaustivas Lda. All trademarks, company names, logos and products mentioned are the property of their respective owners.
What this support means for the agricultural sector
This support scheme is aimed at agricultural and livestock producers, cooperatives, associations, producer organisations, and irrigation associations wishing to invest in energy efficiency equipment and infrastructure, as well as in the production and storage of renewable energy.
The objectives are clear:
- Reduce energy consumption in agricultural holdings;
- Decrease greenhouse gas emissions;
- Increase the use of renewable energy sources;
- Improve the competitiveness and sustainability of agricultural businesses.
Non-repayable funding of up to 100%
One of the key features of this measure is that the support is granted as non-repayable funding, through reimbursement of eligible investments, and may cover up to 100% of the project’s eligible costs.This approach removes significant financial barriers for companies wishing to implement energy transition projects, directly reducing both the risk and the cost associated with adopting efficient and sustainable technological solutions.
Types of eligible investments
Although the official call for applications has not yet been published on the IFAP portal, it is already known that eligible projects may include:
- Installation of energy efficiency systems (e.g. more efficient motors and pumps, LED lighting systems, energy control and monitoring technologies);
- Implementation of renewable energy sources (such as photovoltaic solar panels, small-scale biogas or biomass production units);
- Energy storage solutions that optimise self-consumption management;
- Incentives for integrating technologies that improve the overall energy performance of the agricultural holding.
Relevance for competitiveness and sustainability
For the Government, this initiative is a key component of the energy transition strategy for the agricultural sector, reinforcing energy efficiency as a driver of competitiveness and environmental sustainability.
By reducing energy costs — often one of the largest operational expenses — producers are able to improve their economic performance while responding to growing market demands for more sustainable practices.
An opportunity for consultancy and application preparation
For companies and consultants, this support scheme represents a strategic opportunity to:
- Carry out preliminary energy audits and identify high-impact measures;
- Prepare robust investment plans and funding applications, aligned with the eligibility criteria to be defined in the official call;
- Integrate mature technological solutions that accelerate the energy transition of agricultural holdings;
- Combine this instrument with other funding lines (e.g. Alentejo 2030 / Portugal 2030 programmes, regional incentive schemes, or specific programmes focused on bioeconomy and agricultural innovation).
The new €15 million support scheme for energy efficiency and renewable energy in the agricultural sector is a clear example of how public instruments can catalyse sustainable investments with a direct impact on the competitiveness of agricultural holdings. For companies looking to innovate and reduce energy costs, this is the right moment to plan projects, prepare applications, and take advantage of funding that may cover up to 100% of eligible investments.
Andreia Arenga
21.01.2026
All rights reserved. This article is protected by copyright and may not be reproduced, distributed, transmitted or used, in whole or in part, without the prior written permission of Equações Exaustivas Lda. All trademarks, company names, logos and products mentioned are the property of their respective owners.




