Portugal grants $51.3-mil in incentives to 244.45MW wind projects

London (Platts)--20May2004

The Portuguese economy ministry granted Eur43-mil ($51.3-mil) in "incentives"
for 20 wind park projects with a total capacity of 244.45MW Tuesday, as part
of a government drive to reduce dependence on oil-fired generation, the
economy ministry said. The 129 wind turbines, to be erected in farms across
the country, would cost Eur273-mil in total, the ministry said. "The
development of renewable energy is essential for the economy, as it reduces
dependence on oil," the ministry said, adding that it also helped Portugal
meet its environmental obligations. Along with Spain, Portugal's Kyoto targets
are among the most distant from its current reality. The incentives awarded
Tuesday are part of a wider effort to increase renewable energy capacity by
4.80GW to 9.62GW by 2010. With the country benefiting from strong winds along
most of its Atlantic coastline, wind farm capacity is projected grow to 3.75GW
by 2010, supplying some 7.50GWh/year. The government hopes total "green" power
generation will meet 25.25GWh/year, equivalent to 44% of total power use in
the country, by 2010.

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