Energy suppliers propose public revenue to fund Portugal's electricity social tariff

ACEMEL, the association of electricity suppliers in Portugal's liberalised market, has tabled three amendments to the 2027 State Budget to change how the social tariff is paid for. The tariff is forecast to cost €136.8 million in 2026, with suppliers bearing about 65%. The group wants part of the tax already levied on fossil fuels used in power generation, earmarked for the national electricity system, to cover it, with the Fund for the Environment as a supplement. It argues the current model can push costs onto consumers and weighs on independent suppliers. If the amendments fail, it wants a revised funding model presented to parliament within 120 days, moving towards public funding from 2028.