Our rating is based on a combination of project pipeline, political and policy support, investor confidence and structural readiness of the country in terms of grid infrastructure, permitting process and local supply chain.
Estimate of installed and operating wind power capacity based on the latest statisitics and measured against the Windpower Intelligence database.
Portugal's 5.3GW of online wind power capacity has largely enjoyed political support and effective grid planning. But now the grid is largely saturated.
Wind and hydro combined met more than 100% of electricity demand for five consecutive days in December 2019. Wind was also the single largest generator of electricity throughout the year.
For further expansion, the Portuguese wind sector relies on negotiations to extend its weak interconnections with the rest of Europe through Spain and across the Pyrenees, in order to export surplus production.
While interconnections are under scrutiny, mergers and acquisitions continue consolidating the local wind market.
Another significant development is the repowering of old wind farms, with some estimates expecting around 450MW of new turbines replacing old ones by 2025.