Energizing 2024: Portugal's Remarkable breakthroughs in Wind Power Generation

The Portuguese energy market has garnered significant attention recently due to the country's commitment to the energy transition, with a strong focus on green hydrogen and wind development. Portugal, located on the Iberian Peninsula's western coast, has a special geographic advantage when it comes to utilizing wind energy from the Atlantic Ocean. It is a great place for offshore wind farms because of its 1,200 kilometers of coastline and favorable wind patterns. 

Notably, some of the strongest and most reliable winds occur in many coastal and mountainous areas, including the northern coast, the Serra da Estrela region, and the Algarve. Significant benefits come with offshore wind farms, such as the capacity to produce twice as much energy as onshore farms and minimal visual and acoustic effects, all while reducing millions of tons of CO2 for the facility's lifetime. An important factor in Portugal's economic growth has been its historical ties to the water. The nation is currently at a turning point in its history, with almost 2,500 kilometers of coastline available for the development of offshore wind energy. Portugal wants to generate 10 gigawatts of offshore wind energy by 2030. This is an ambitious ambition, given that the nation only has one offshore wind farm, Windfloat Atlantic, situated off the coast of Viana do Castelo. With a 25-megawatt installed capacity, this cutting-edge project is the first floating semi-submersible wind farm in the world (MW).

Portugal's Renewable Energy Success: A Bold Shift from Coal to Wind Power

As global leaders in wind energy like China and Germany continue to rely on coal, Portugal stands out with its decisive move away from coal dependency. After closing its last coal plant in 2021, Portugal has rapidly expanded its wind energy capacity, making wind power the country's second-largest energy source by 2024. With ambitious offshore wind targets and record renewable energy achievements, Portugal sets a powerful example in balancing environmental preservation with renewable energy growth.

Portugal's Wind Energy Surge: A Strategic Shift Toward Renewable Energy in Portugal 2024

Portugal has strategically positioned wind power as its second-largest energy source, marking a significant shift away from coal. Wind parks now account for 28% of the country’s energy, driven by ambitious projects aimed at achieving 10 GW of offshore wind capacity by 2030. With renewable energy meeting 82% of Portugal’s power needs in early 2024, the country exemplifies how reducing coal reliance and expanding renewable resources can lead to environmental and economic success.

Madeira Island, Portugal. Photo: iStock

In 2023, Portugal operated 2,872 wind turbines, marking an increase of about 700 since 2010. While the country currently has only one small offshore wind farm—the 25 MW WindFloat Atlantic pilot project—it is eager to harness its Atlantic wind resources. Portugal launched its first offshore wind auction in November 2023, aiming to boost its renewable energy portfolio with goals of 10.4 GW for onshore wind and 2 GW for offshore wind by 2030. Wind energy employs nearly 20,000 people, with renewables supporting 45,000 jobs overall.

Most of Portugal's wind farms are onshore, with a target to increase onshore capacity from 6 GW to 10.4 GW by 2030. Repowering older wind farms, and replacing aging turbines with more efficient ones, will be key to achieving this. Repowering can nearly triple electricity output while reducing turbine numbers by a quarter on the same sites, especially as older wind farms occupy prime locations. However, speeding up the slow and complex permitting process is crucial. New EU rules and the European Commission's Wind Power Package, which includes provisions to digitalize permitting, should help accelerate progress.

Key Developments in Portugal's Offshore Wind Energy 2024

The revised plan outlines several crucial initiatives and advancements in Portugal's offshore wind energy sector:

• WindFloat Atlantic Project: The WindFloat Atlantic project has installed 25 MW of offshore wind capacity off Viana do Castelo. This area is set to become a national offshore technological free zone, fostering further growth in offshore wind energy.

• Offshore Renewable Energy Allocation Plan (PAER): In 2023, the government conducted public consultations for the PAER, aimed at developing maritime areas for offshore wind projects. The plan highlights the need for compatible port infrastructure and smooth integration with the National Electricity Transmission Network.

• Capacity Allocation Auctions: The government is preparing for its first auction to allocate offshore wind project capacity into the electricity grid, scheduled for 2024. This auction aims to allocate and install an additional 2 GW, with the possibility of expanding up to 10 GW based on project development and procedural progress.

Portugal's updated National Energy and Climate Plan (NECP) underscores the strategic importance of offshore wind energy for environmental sustainability, economic growth, and industrial advancement. By harnessing its extensive coastal and oceanic resources, Portugal aims to become a leading force in renewable energy in Europe, with an ambitious target of 10 GW of offshore wind capacity by 2030. This goal will be supported by comprehensive strategies, including infrastructure development and capacity allocation auctions.