SITCE - Circular Economy (NUTS II Region - Algarve)

Investment Typologies

Water circularity in companies: promotion of the best available techniques and implementation of good practices for the efficient reuse of water in their production processes, such as through the reuse of wastewater for washing, sanitation, optimisation of irrigation systems for green and common spaces, among others.

Eligible Expenses

Innovation Activities:

• Acquisition of machinery and equipment, including necessary software;
• Acquisition of patent rights, licences, technical know-how not protected by patent, and standard software;
• Expenses with CC and ROC, engineering services; studies, diagnostics, audits; DNSH studies or reports, marketing plans; architectural and engineering projects and services;
• In duly justified cases: construction of buildings, refurbishment works, and other constructions.

R&D Activities:

• Human Resources;
• Raw materials and consumables, components for pilot, experimental, or demonstration facilities;
• Acquisition of services from third parties;
• Acquisition of instruments, technical-scientific equipment, and software;
• IP applications and acquisition of patents from external or licensed sources;
• Promotion and dissemination of operation results;
• Travel and stays directly attributable and necessary for the project;
• NP4457:2021 certification process;
• Expenses with CC or ROC in the validation of expenditure.

Investment Rates and Limits

Budgetary Allocation: 5M€

Innovation Activities:

For innovation activities, the beneficiary may choose one of the following European State Aid frameworks:

1. Investment Aid for Environmental Purposes

Base rate: 20% of eligible expenses

Top-ups (Bonuses):

• +20 p.p. for small enterprises; +10 p.p. for medium-sized enterprises;
• +5 p.p. for location in eligible regions according to the 2022–2027 aid map;
• +10 p.p. for projects with regional environmental objectives, namely the incorporation of Water for Reuse (ApR).

2. Regional Investment Aid

Applicable to operations located in territories provided for in the 2022–2027 regional aid map.
Rates: 35% for micro and small enterprises; 25% for medium-sized enterprises.

3. Regional Aid for Other Locations

Applicable to operations not located in priority territories of the 2022–2027 aid map.
Rates: 30% for micro and small enterprises; 20% for medium-sized enterprises

R&D Activities

Base rate: 20% of eligible expenses
Top-ups (Bonuses):

• +20 p.p. for small enterprises; +10 p.p. for medium-sized enterprises;
• Effective Collaboration and/or Wide Dissemination of Results: 15 p.p.

For ENESIIs: In the case of operations presented in co-promotion for R&D activities, ENESIIs (Non-business entities of the R&I system) may benefit from a rate of 60%.

Application Date

From 30 April 2026 until 15 January 2027:

• Phase 1 Closing – 30/07/2026 (6 pm)
• Phase 2 Closing – 30/10/2026 (6 pm)
• Phase 3 Closing – 15/01/2027 (6 pm)

Access Requirements

• Operation Duration: 24 months;
• Submit, by the approval date, an architectural project approved by the competent entities, whenever a licensing procedure is legally required;
• Costs associated with the irrigation of golf courses are not eligible;
• Compliance with the DNSH Principle (Do No Significant Harm).