Regulatory Atlas of the Electricity Sector 2025: innovation and sustainability in the energy transition

Atlas Regulatório do Setor Elétrico 2025: Inovação e sustentabilidade na transição energética

The Regulatory Atlas of the Electricity Sector 2025 is a publication by the Energy Services Regulatory Authority (ERSE) that provides a comprehensive analysis of the Portuguese electricity sector over the past five years, placing it within an international context. This document outlines the regulatory activities carried out by ERSE, the challenges faced during this period, and the trends and perspectives for the upcoming regulatory cycle.

The Atlas 2025 was presented at the Seminar on Electricity Sector Analysis and Prospects for the New Regulatory Period 2026-2029, held on February 12, 2025, at Instituto Superior Técnico in Lisbon. The event brought together industry experts, academics, representatives from the energy sector, and policymakers to discuss key developments, including energy transition, digitalization, innovation, and sustainability—core themes of the Atlas that highlight the role of regulation in adapting to new market dynamics.

Innovation and sustainability

The Regulatory Atlas highlights several areas of innovation and sustainability that have shaped the Portuguese electricity sector:

  1. Decarbonization and Energy Transition: Portugal has made significant progress in transitioning to renewable energy sources. In 2024, 71% of national electricity consumption came from renewable sources such as hydropower, wind, solar, and biomass. This progress led to a substantial reduction in CO₂ emissions from electricity generation, reaching the lowest levels since 1990.
  2. Integration of Innovative Technologies: ERSE has promoted the adoption of emerging technologies, including smart grids and energy storage systems, to enhance the efficiency and resilience of the electricity system. These initiatives aim to optimize grid management and facilitate the integration of intermittent renewable energy sources.
  3. Active Consumer Participation: The regulator has encouraged models that allow consumers to produce their own energy, through self-consumption systems and participation in renewable energy communities. This approach promotes decentralized energy production and empowers consumers in the energy transition.
  4. Energy Efficiency and Sustainability: ERSE has implemented programs to promote energy efficiency, reducing consumption and associated emissions. These initiatives include incentives for adopting more efficient equipment and awareness campaigns on the rational use of energy.

The Regulatory Atlas reaffirms ERSE’s commitment to adapting regulation to the evolving electricity sector, fostering innovation and sustainability as key pillars for Portugal’s energy future.

You can access the full document here.