Incentive Systems for Sustainable Energy Transition - World Earth Day

Today, Earth Day, we highlight everyone's commitment to preserving the planet and promoting a sustainable future. This date serves as a timely and relevant reminder of the importance of protecting the environment and adopting a set of actions that ensure the well-being and prosperity of the planet for future generations.

Embracing Sustainability: how PT2030 Incentive Systems can help SMEs chart a greener future!

In this context, the European Union and its Member States have led the way towards the much-needed and urgent climate transition. This response, for example, foresees that all Member States draft and submit their integrated energy and climate plans to the European Commission. In Portugal, this need gave rise to the National Energy and Climate Plan 2030 (PNEC 2030), which translates into the main instrument of energy and climate policy for the 2021-2030 decade, towards a carbon-neutral future.

From the RRP to Portugal 2030: How can Financial Incentives help in a more Sustainable Energy Transition?

In this plan, incentives for companies assume special importance. These are seen as instruments that drive change and, framed within the theme of sustainability, offer financial stimuli to companies to adopt behaviours and dedicated technology that is cleaner, more accessible, and more attractive, thus accelerating the energy transition towards a greener future, reducing the influence - and dependence - on fossil fuels.

The RRP (Recovery and Resilience Plan) already had a pillar dedicated to climate transition, which materialized, among others, in incentive systems to support the decarbonisation of industry, improve the energy efficiency of company buildings, promote the adoption of equipment for renewable energy production, and support the production of renewable hydrogen and other renewable gases.

Given the ambitious goals defined in PNEC 2030, Portugal 2030 also contains a set of measures, distributed across several of its programmes, which aim to meet these ambitious targets.

Which Incentive System is most relevant for Companies?

For companies, the Incentive System for Climate and Energy Transition stands out, aiming to:

• Accelerate the transition to a carbon-neutral economy and strengthen business competitiveness by stimulating the decarbonisation of economic activities, energy efficiency, and the reduction of greenhouse gas emissions, promoting environmental and economic sustainability;
• Support the diversification of renewable energy production from sources and technologies not sufficiently disseminated in the market;
• Promote the circular economy and regenerative production processes, with a view to increasing economic productivity resulting from the increased reintroduction of recovered materials into production processes and water circularity, taking into account the regional dimension. Some of these incentive systems can reach incentive rates of up to 100% non-repayable grant, given the importance and urgency of charting this path.

However, we highlight that sustainability is a pillar transversal to other Incentive systems, as is the case with the Productive Innovation IS.

On this Earth Day, the commitment to protecting the planet is renewed, and Yunit recognises the primordial role that incentive systems increasingly play in promoting sustainability, especially in its environmental aspect.

 As we face increasingly emerging environmental challenges, it is crucial to harness the power of incentives to drive change towards a greener and more sustainable future for all. Together, it is possible to create a world where prosperity is compatible with the health and integrity of the planet.