Portugal has set an ambitious goal of 20.4 GW of installed solar capacity by 2030, representing a significant increase from its current capacity.

Currently, Portugal has approximately 3,876 MW of installed solar capacity, according to the latest 2023 data. Throughout 2024, this capacity is expected to grow significantly, with projections of an additional 1,632 MW by the end of the year.

Although the pace of new solar capacity installation has been somewhat slower in the first half of the year, more projects are anticipated to be connected before the end of 2024.

However, this growth faces a number of logistical, bureaucratic, and infrastructure challenges, which threaten to slow down the development of new solar projects, as highlighted by Hipólito Ferreira, Commercial Delegate of Trilhos Energéticos.

“The most challenging part is the licensing of the parks and all the bureaucracy that comes with it,” he explains in an interview with Energía Estratégica España, referring to the complex processes renewable energy companies must go through to get approval for new projects.

This challenge is worsened by the lack of staff at the Directorate-General for Energy and Geology (DGEG), which regulates solar expansion in the country, as repeatedly mentioned by renewable energy sector experts.

The growing number of applications for new projects has led to significant delays, and in some cases, to strategies that skirt regulations, such as dividing large-scale projects into smaller installations to speed up permits.

In parallel, Ferreira emphasizes the need to modernize Portugal’s electricity grid, which is “about 20 years behind,” preventing the adequate transport of energy generated by the new solar parks.

“We are always limited by grid restrictions,” he comments, adding that these difficulties have forced the company to prioritize not only large projects but also industrial self-consumption installations, where companies can consume the energy produced and inject the surplus into the grid.

Thus, to achieve this goal, Ferreira underscores the need to accelerate licensing processes and modernize the grid to handle the growing generation capacity.

Another significant challenge is the shortage of skilled labor, which Trilhos Energéticos has addressed by providing internal training for its employees. This strategy not only allows them to maintain high-quality standards in the construction and maintenance of solar parks but also optimizes costs, a crucial aspect to remain competitive in the market.

Ferreira concludes that the key to ensuring success in Portugal’s solar expansion will be balancing project quality with the ability to optimize costs.