PTRR: Storm damage absorbed over 3,000 million

A recovery of storm damage early this year has already absorbed EUR 3,030 million in the framework of the PTRR, between lost funds and state credit lines, the Minister of Territorial Cohesion said today.

During a parliamentary hearing in the context of the special discussion of the proposal of the State Budget Government for 2027 (OE2027), Minister Manuel Castro Almeida also stressed that it is foreseen in the Portugal Transformation, Recovery and Resilience (PTRR) programme, next year, an investment of EUR 970 million (ME).

Part of this amount, 266 ME, is entered in the OE with the designation of PTRR, to which are added 502 ME from the Environmental Fund and 200 ME from Portugal 2030.

In the areas affected by the storms of the beginning of the year “supports are already paid for families who applied to renew their homes and, if we take out a municipality that is particularly late, the degree of processes solved is now 99.4%,” he said.

Castro Almeida highlighted that the government is now in the phase of recovering the infrastructure and equipment of the municipalities.

“ Many roads, many municipal equipment have been damaged and there is a period for municipalities to submit their applications, so that we can share these applications and we think we do it 100% ", he said.

The Minister recalled that 60% of the funds to recover these municipal infrastructure will be lost to the bottom through the Municipal Emergency Fund and the remaining 40% will be covered by a credit line to which the municipalities can use.

Regarding local power, Castro Almeida pointed out that in the next OE transfers to the municipalities will grow 6%, from the 4.410 ME to 4,676 ME, following a trend “of the last three years”, the responsibility of this government, in which “transfers to the municipalities grew 21%”.

“ The accumulated inflation rate of these three years was 7%. This means that there is 14% real growth in transfers from the state budget to the municipalities in three years. It also means here that it is as if we had created a 15th and a 16th month for municipalities ", said.

“ I'm not saying that the municipalities are getting too much money. I am recognizing or stressing that the State has transferred to the municipalities a share of value substantially above the value of inflation. And I have no doubt that the municipalities will make good use of this money,” he added.

In the case of parishes, the growth of State transfers in the next OE2027, if the government proposal is accepted, will be 8.2%, from 406 ME to 440 ME.

The government has also created a working group that is reviewing, until February 2027, the map of low density municipalities, in which it intends to create “a positive differentiation” for municipalities in the interior, distinguishing between low density and very low density, considering that there are municipalities that are losing population.

The OE2027 proposal, adopted in general on Thursday, foresees an economic growth of 2.3% this year and 2.1% in 2027 and balanced accounts this year and a surplus of 0.1% in 2027.

The overall final vote is scheduled for November 24, after the discussion process in the specialty.