Showing posts with label Portugal opposition. Show all posts
Showing posts with label Portugal opposition. Show all posts

Tuesday, October 19, 2010

Portugal to open electric vehicle network in 2011

Imported fossil fuel dependent Portugal plans to replace 10 percent of all vehicles with electric cars by 2020, to cut imports and help manage variable supply from a rapidly growing wind power industry.

"In the first half of 2011 in Portugal we will have a national network to charge these vehicles, it will be possible to go through the whole country without problems of charging electric vehicles," he told Reuters on the sidelines of the European Future Energy Forum in London.

The MOBI.E charging network -- 51 controlled by Energias de Portugal -- will include 1,300 normal and 50 fast charging stations at shopping centers, car parks, petrol stations and hotels in 25 towns and cities around Portugal.

The open system of charging points will be compatible with all electric vehicle brands, including electric motorbikes and heavy goods vehicles when they become available.

Portugal is hoping wide use of electric cars can slash imports of fuels and help absorb some of the extra green electricity that will be generated over the next few decades.

With plans to increase its wind power capacity from around 5 gigawatts by the end of 2010 to 8.50 GW by 2020, Portugal's isolation from the rest of continental Europe because of a lack of grid connections between Spain and France is a big problem.

Construction of power lines across the Pyrenees to France has been delayed for years, trapping vast amounts of renewable energy output in the Iberian Peninsula. nLDE68R11Q

"This is perhaps the main fragility of Europe now to be competitive in the world," Zorrinho said. "The energy networks are not developed and it's not possible to have an internal energy market ... there are physical barriers."

Lisbon is offering 5,000 euros ($6,951) to buyers of the first 5,000 EVs sold in Portugal, with further tax breaks and old combustion engine trade in values adding another 2,300 euros.

The high price of electric vehicles compared to petrol and diesel fueled cars is a major obstacle to EV sales in other European countries.

But very high taxes on conventional cars in Portugal means subsidized EVs are only slightly more expensive than their carbon-emitting competitors, making EVs an attractive option for consumers.

SOLAR SUPPORT

Portugal has one of the largest solar power sectors in the world, supported by big government incentives, but unlike Spain and Germany which are looking to trim support for solar projects, Lisbon has no plans to slash subsidies.

"We have no plans to cut ... It is crucial to develop this sector," Zorrinho said. "We will maintain all the commitments that we have with the industry."

He said financial support for existing projects was assured, but that as technology costs fall less support should be needed to make solar power competitive in future.

Portugal opposition figures back deal on budget

Portugal-LISBON, Oct 19 - Two influential figures in Portugal's opposition Social Democrats (PSD) urged their party on Tuesday to allow passage of the government's 2011 budget bill, in a sign a deal to avert a fiscal crisis could be near.

The largest opposition party in parliament, the PSD has refused to say whether it will back an austerity budget that financial markets and Portugal's euro zone partners view as crucial to restoring confidence in the country's finances.

If the PSD votes against the budget bill, which foresees public sector wage cuts and a hike in value-added tax (VAT), it will not get through parliament, plunging Portugal into paralysis and likely sending its financing costs spiralling higher.

The PSD has said it will decide its stance at a late-night meeting on Tuesday, but ahead of that, an influential former finance minister in the party, Miguel Cadilhe, wrote in daily newspaper Publico that he would support passage of the bill if the government adjusted its VAT and spending plans.

Specifically, he called for making the government's planned two-point hike in VAT temporary -- for 2011 alone. He also said it should commit to additional spending cuts next year which were at least equal to the effect of the VAT hike.

"I would accept, albeit reluctantly, allowing the passage of the budget proposal" if these conditions were met, Cadilhe wrote.

Paulo Rangel, another senior PSD figure who sits on the party's top council, also called for the bill's passage "on patriotic grounds" to save Portugal from a more serious crisis, according to the Lusa news agency.