The survey conducted by AIP regarding Licensing Issues in Portugal concluded that over 1.3 billion euros of investment is currently blocked, awaiting approvals or unable to proceed due to environmental process obstacles.
“From this amount, 730 million euros are still awaiting approvals, while 490 million euros have not materialized due to bureaucratic environmental blockages,” the association stated in a press release.
Nearly half (44%) of investment projects have been waiting for a decision from the involved entities for more than two years, and 14% for over five years.
The survey, conducted from September 19 to 30, identifies the main causes of this situation as “complex and lengthy procedures for changes to Municipal Master Plans (PDM), the approval timings of Detail Plans (PP) and Urban Plans (PU), and the processes of deregulation of the National Ecological Reserve (REN) and National Agricultural Reserve (RAN).”
“Among the types of investment projects affected, 43% pertain to new facilities construction, 33% to the expansion of existing ones, and 21% relate to the installation of new equipment,” details the AIP.
Regarding suggestions to overcome these blockages, the companies surveyed advocate for the limitation of maximum deadlines in the various stages of the process and the “need to reverse legislative changes made to DL [decree-law] 46/2001 that granted licensing powers to the management companies of business location areas.”
Additionally, 76% of the companies responding to the survey argue that the Ministry of Economy should have exclusive control over environmental licensing.
The Inquiry into Licensing Issues in Portugal, based on environmental concerns, surveyed commercial companies, with 238 validated responses.
