Study says mixing electricity and renewable gas could save €10bn

A study by EY Parthenon and industry group APIEE, presented in Lisbon, argues that combining electricity with renewable gases such as biomethane would be more cost-effective than pursuing full electrification, potentially saving up to €10 billion by avoiding extra grid reinforcement and building retrofit costs. It warns that policies like Decree-Law 11/2023 and the E-Lar programme, which push electrification, risk shrinking the gas customer base, raising tariffs for remaining users and hindering future renewable gas integration. The authors say Portugal's gas network remains reliable and relevant until at least 2040, and call for a long-term, technology-neutral energy transition rather than short-term choices favouring one energy source.