Zero – Associação Sistema Terrestre Sustentável (Association for a Sustainable Terrestrial System), Deco – Associação Portuguesa para a Defesa do Consumidor (Portuguese Association for Consumer Protection), and Apirac – Associação Portuguesa das Empresas dos Setores Térmico, Energético, Eletrônico e do Ambiente (Portuguese Association of Companies in the Thermal, Energy, Electronic and Environmental Sectors) are asking the Government and Members of Parliament to reinstate the reduced VAT rate on the acquisition and installation of renewable energy and high energy efficiency equipment during the discussion and voting on the 2026 State Budget.

This replacement is a socially just, environmentally sound, and fiscally responsible measure, as well as a sign of support for the energy transition and the efficiency of families and businesses, the associations argue in a statement.

Highlighting the contradiction of, on the one hand, the Government encouraging the replacement of equipment that uses fossil fuels through programs such as E-Lar, and, on the other hand, maintaining a tax that makes clean and efficient solutions more expensive, the associations argue that it is essential to make efficient energy solutions more accessible and to support the energy transition.

The tax rate for renewable energies rose, on July 1st of this year, from 6% to 23% after the application of the reduced rate, which was introduced in 2022 as an incentive for the energy transition, was not extended.