European Foundation
for the Improvement of
Living and Working Conditions

The tripartite EU agency providing knowledge to assist
in the development of better social, employment and
work-related policies

EU PolicyWatch

Database of national-level policy measures

Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure PT-2023-1/3060 – measures in Portugal

Support for electricity and gas costs borne by companies

Apoio a encargos suportados com eletricidade e gás por empresas

Country Portugal , applies nationwide
Time period Temporary, 01 January 2023 – 31 December 2023
Context War in Ukraine
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery into a green future
– Support for energy bills
Author Heloísa Perista (CESIS)
Measure added 16 February 2023 (updated 25 April 2024)

Background information

The current geopolitical and economic context requires policies that respond to economic disruption and the effects of rising energy costs and mitigate the effects of inflation.

Thus the State Budget for 2023 (Law 24-D/2022 of 30 December) establishes an extraordinary support regime for expenses incurred with electricity and gas by companies.

Content of measure

Article 231 of Law 24-D/2022 of 30 December (State Budget for 2023) defines an extraordinary support regime for expenses incurred with electricity and gas.

According to this regime, the costs and losses borne regarding electricity and natural gas consumption by resident Corporate Income Tax (IRC) taxpayers who are principally engaged in a commercial, industrial or agricultural activity, non-resident IRC taxpayers with a permanent establishment and Personal Income Tax (IRS) taxpayers may be increased by 20%.

This increase shall apply to the tax period beginning on or after 1 January 2022.

Taxpayers who carry out economic activities that generate at least 50% of the turnover in the field of: Production, transmission, distribution and trading of electricity or gas; or Manufacture of petroleum products, refined or from waste, and of agglomerated fuels, are excluded from this extraordinary support regime.

Use of measure

No information is available on the use of measure.

Target groups

Workers Businesses Citizens
Does not apply to workers Applies to all businesses Does not apply to citizens

Actors and funding

Actors Funding
National government
No special funding required

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Consulted Consulted
Form Consultation through tripartite or bipartite social dialogue bodies Consultation through tripartite or bipartite social dialogue bodies

Social partners' role in the implementation, monitoring and assessment phase:

  • Social partners jointly
  • Main level of involvement: Peak or cross-sectoral level


The employer and trade union confederations were involved in the discussion and the drafting of the Opinion of the Economic and Social Council on the Draft State Budget for 2023.

Views and reactions

According to the Opinion of the Economic and Social Council (Conselho Económico e Social – CES) on the Draft State Budget for 2023, the government has adopted a cautious stance. The CES points out, however, that excessive budgetary prudence will have obvious repercussions in terms of the availability of internal support for the different economic agents to deal with the most serious consequences of the crisis and also in terms of greater investment in stimulating the transformations that the country needs.

The CES notes that the State Budget proposal incorporates the commitments made in the recent Medium-Term Agreement for Improving Income, Wages and Competitiveness , signed by the four employer confederations and the UGT, with effects in areas such as taxation, and which have a direct or indirect impact on the income enhancement objectives, of mitigating price increases or the reduction of context costs and the creation of a more favourable environment for competitiveness, which may contribute to greater efficiency in government action and in mitigating the impact of the deterioration of the economic situation on families and companies.

The measures foreseen in the framework of the energy and climate transition are part of the government's commitment to achieve carbon neutrality by 2050. It is important to rethink the entire strategy in this area, in line with the European guidelines.

In general terms, the proposed State Budget for 2023 is, according to the CES, timid in its support measures for the ongoing and expected economic and social effects of the war in Ukraine; it is cautious with regard to European developments in response to the crisis, starting with monetary policy; but it has room for manoeuvre to deal with the domestic repercussions of any worsening of the international situation. The CES considers that the government should adopt a flexible and dynamic stance in budgetary execution, responding promptly to the most unforeseen situations, particularly in terms of increased support for families and businesses. Explanations of Vote:

In the opinion of the Confederation of Trade and Services Portugal, the opinion of the CES should take a clearer and more incisive stance, for which reason, even though it agreed with a large part of the content of the opinion, this Confederation voted to abstain in the final overall vote.

According to the CGTP-IN, the Opinion of the CES comprises a value judgement of the Medium-Term Agreement for Improving Income, Wages and Competitiveness , the contents of which will, in the opinion of the CGTP-IN, be profoundly negative. The CES Opinion, also in the area of taxation, does not criticise the measures envisaged in the State Budget in relation to corporate income tax, namely those measures which aim to deepen the Tax Benefits regime. The CGTP-IN voted against the Opinion of the CES on the State Budget for 2023.



Eurofound (2023), Support for electricity and gas costs borne by companies, measure PT-2023-1/3060 (measures in Portugal), EU PolicyWatch, Dublin,


Eurofound publications based on EU PolicyWatch

30 January 2023


Measures to lessen the impact of the inflation and energy crisis on citizens

Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.


12 September 2022


First responses to cushion the impact of inflation on citizens

Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.


12 September 2022


Policies to support EU companies affected by the war in Ukraine

This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.


5 July 2022


Policies to support refugees from Ukraine

This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.


Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.