Over and above the threat of expropriation laws, there is another one. Changes to land laws, sees the removal of building rights from land and farms, with the result that many landowners may see their land being devalued significantly. Many smallholding (quintas) owners may be affected. Read on to find out more ...
Under the Economic and Social Stabilization Program (PEES - Programa de Estabilização Económica e Social), the Portuguese government has issued a new real estate expropriation law using the current economic crisis and the pandemic as the reason. This law went into effect on 23 February 2021, and will be in force until December 2022, although it could be subject to further extensions.
Before we look at the challenges ahead, we have to be fully cognisant that development of mining and oil & gas exploration is as an objective of the Portuguese Government. In 2012 the Portuguese government launched a national strategy for geological and mineral resources aimed at better identification, exploitation and protection of resources.
On 21 December 2018, the Portuguese parliament voted on proposals submitted by three political parties – The Bloco de Esquerda (Left Block), PAN and the Greens. It is interesting to note that only the proposal by the Greens (PEV) was approved, with the other two rejected. Let’s now look at what was proposed in more detail.