Viana do Castelo TFZ requirements

Ordinance 298/2023 of October 4 delimited the technological free zone (“TFZ”) for ocean-based renewable energy off the coast of Viana do Castelo, aimed at establishing innovation and development projects for producing electricity from ocean-based renewable energy over an area of 7.63 km2 next to the Windfloat Atlantic project, Europe's first floating wind farm. See more

Council of Ministers Resolution 19/2025 of February 7 approved the Allocation Plan for Offshore Renewable Energy (See more), which also established an eligible area of 229 km2 off the Viana do Castelo coast, covering the area of the Viana do Castelo TFZ. Considering the approval of these requirements, the government’s intention seems to be to continue to use the TFZ for testing innovative technologies, as in practice it is outside the possible bidding zone for commercial exploitation projects.

On March 12, Ordinance 96/2025/1—establishing the requirements for the TFZ off the coast of Viana do Castelo, as well as its functioning—was published in the regulation attached to this ordinance.

As mentioned above, the Viana do Castelo TFZ applies to innovation and development projects associated with producing electricity from ocean-based renewable energy and transporting and using electricity in an ocean environment for the production and storage of other energy carriers. These projects consist of research, demonstration and testing activities, in a real environment, for technologies, products, services, processes, innovative models, concepts, business models and specific regulatory frameworks, as well as testing activities for new concepts of public policy, forms of governance, financing systems, and social innovations enabling the introduction of new products and services to the market to be accelerated.

The Ordinance mentions the later approval of a TFZ Manual by the Directorate General of Energy and Geology (“DGEG”) to regulate the use of the Viana do Castelo TFZ in greater depth.

As to the functioning of the Viana do Castelo TFZ, we highlight the following aspects of the respective regulation:

• The general aim of the TFZ is to support Portugal in the development of ocean-based renewable energy technologies, as well as in the production of expertise about their interaction with the environment, biodiversity, and co-located economic activities.
• The TFZ offers access to infrastructure, technical support and specialized services, with the electricity grid available in line with the National Electricity Transmission Network Development and Investment Plan. The detailed characteristics of the resources and services to be made available by the TFZ will be presented in the TFZ Manual.
• The DGEG will be the managing body of the TFZ and have the power to select, authorize, support, monitor, and supervise tests in the TFZ, without prejudice to other management, operating and maintenance competences and obligations.
• The DGEG should liaise with other relevant competent bodies, such as the Testing Authority, regulatory bodies (e.g., ERSE, DGRM, APA), among others, whose intervention proves to be necessary.
• To access the TFZ, test promoters must have an activity related to the respective intervention area and technical, economic and financial capacity; obtain the certificates, licenses and approvals needed to perform the tests; and have adequate civil liability insurance, among other requirements. The tests must be innovative and safe and the technology, service, or process in question must demonstrate the potential for technical, economic or commercial viability, or interest in pursuing general interest objectives or enriching technical or scientific knowledge.
• Tests are performed following the submission of an application to the management entity using the application form contained in the TFZ Manual.
• The financial conditions for access to the TFZ include the kW-per-day payment stipulated by ERSE.

Ordinance 96/2025/1 of March 12 aims to boost innovation in the field of offshore electricity   production in Portugal, attract international projects and capture investment and talent. It also aims to contribute to the objectives of PNEC 2030, ENM 2021-2030 and EI-ERRO, bolstering the government’s commitment to technological innovation and sustainable development in renewable ocean energy.

Contact us for more information about the TFZ off the coast of Viana do Castelo.