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Portuguese environmentalists call for incentives for energy efficiency in state budget 2017

Xinhua, October 22, 2016 Adjust font size:

Portuguese environmentalists have called for the government to contemplate incentives for energy efficiency in its state budget for 2017, local media reported Saturday.

Environmentalists are asking for a higher rate of hydric resources in some sectors, the promotion of an increased life cycle for products, and a greater tax on sweet products and agricultural chemicals, Portuguese Lusa News Agency reported.

President of the country's Sustainable System Association Francisco Ferreira said he was surprised that there had been a reduction of 400,000 euros (about 436,000 U.S. dollars) in revenue in a rise of tax for hydric resources in some sectors.

Promoting an increased life cycle for products would be possible through a reduction in VAT for the repair of electric or electronic equipment and vehicles, as well as fiscal benefits for investments in the areas of renewable energies and energy efficiency, he told Lusa.

Joao Branco, from environment organisation Quercus, said the government should have "gone further" with a tax on sweet products, by covering other processed products and agricultural chemicals and pesticides.

Branco praised the government for two aspects in the budget for 2017, which include deducting expenses with public transport and introducing a new tax on sugary drinks.

However he said he was not happy with the government's plan to make a 10.5 percent cuts worth in the ministry of environment.

The ministry of environment has a total spending budget of 1,518.8 million euros next year, less than 10.5 percent than this year.

Portugal's Socialist Party took office in November and vowed to roll back austerity, reversing salary cuts and raising pensions, while increasing indirect taxes in order to cut the deficit target.

Portuguese Finance Minister Mario Centeno revealed last Friday the country's state budget for 2017 which forecasts a deficit of 1.6 percent of GDP next year and growth of 1.5 percent. (1 euro = 1.09 U.S. dollars) Endit