Decarbonization of Industry 2022-2023

LEFE | Blog


SMEs, Large Companies
The entire national territory
Provides for Exports
Type of Financing
lost fund
Non-Refundable Financing
Between 30% and 80%
Eligible Expenses
Eligible expenses are those related to the acquisition of Tangible and Intangible Assets and related services, which directly contribute to the reduction of GHG emissions by reducing the consumption of electricity and/or fuel, namely:


  1. Low carbon processes and technologies:
    1. Replacement of equipment that uses natural gas and/or other fossil fuels for electrical equipment;
    2. Adaptation or acquisition of equipment for the incorporation of alternative or renewable raw materials in the production process, aiming at reducing consumption and/or emissions (by-products, recycled materials, biomaterials);
    3. Betting on digital solutions through intelligent solutions to support measurement, monitoring, data processing for the management and optimization of processes, consumption and reduction of GHG and pollutant emissions, increasing the efficiency of use of resources (raw materials, water, energy) and promoting its circularity.
  2. Energy efficiency measures:
    1. Optimization of engines, turbines, pumping systems and ventilation systems (for example, installation of variable speed drives and replacement of equipment with high energy performance equipment);
    2. Optimization of compressed air systems (e.g. replacement of the air compressor, pressure and temperature reduction, speed variators);
    3. Replacement and/or alteration of ovens, boilers and injectors;
    4. Recovery from heat or cold;
    5. Use of waste heat from nearby industries (in industrial symbiosis);
    6. Optimization of industrial cold production (eg chiller or heat pump replacement);
    7. Replacement of lighting systems with more energy efficient systems or solutions.
  3. Incorporation of energy from renewable sources and energy storage:
    1. Installation of electrical energy production systems from renewable energy sources for self-consumption;
    2. Installation of equipment for the production of heat and/or cold from renewable sources (including heat pumps);
    3. Adaptation of equipment for the use of renewable fuels (including those from waste and renewable gases such as green hydrogen);
    4. Installation of high-efficiency cogeneration systems based exclusively on renewable energy sources;
    5. Renewable energy storage systems.


Promoting the energy transition through renewable energies, introducing new technologies or more sustainable and efficient production processes, including circularity options, in order to decarbonise them.

Geographical area
the entire national territory.

Companies, of any size or legal form, in the Industry sector (CAE 05-33);

Intervention Domains

  1. “024ter - Energy efficiency and demonstration projects in SMEs or large companies and support measures that meet the energy efficiency criteria”,
  2. “022 - Research and innovation processes, technology transfer and cooperation between companies, focusing on the low carbon economy, resilience and adaptation to climate change”;
  3. “029 - Renewable energy: solar”;
  4. “032 – Other renewable energy (including geothermal energy)” and
  5. “033 – Smart energy systems (including smart grids and ICT systems) and their storage”.


Project Typology
The typologies of projects that can be applied for are:

  • Low carbon processes and technologies;
  • Energy efficiency measures;
  • Incorporation of energy from renewable sources and energy storage.

Application modalities
Applications are processed in two ways:

  • Simplified Projects;
  • Unsimplified Projects.

Each company may submit 1 application in each modality, and each application must cover sets of different establishments in order to allow the autonomy of impacts in terms of GHG reduction and verification of compliance with the condition of average reduction of at least 30% of emissions direct and indirect GHG in industrial facilities supported for projects that fall within the Intervention Domain a) “024ter - Energy efficiency and demonstration projects in SMEs or large companies and support measures that meet the energy efficiency criteria”.

Operations access conditions

  • The companies are incorporated on 01/01/2021;
  • Have the proper licenses and authorizations prior to the execution of investments, when applicable.

Form, Level and Limits of Support

  • The support to be granted is of a non-refundable nature;
  • Eligible costs and support amounts vary depending on the Modality:
    • Mode A:
      • Base Rate: 55%;
      • Majors:
        • 10 pp for Medium or 20 pp for small companies;
        • 10 pp for establishments located in the North, Center Alentejo, Azores and Madeira regions.
      • Support Limit: €200,000 per company and per project.
    • Mode B:
      • The financing rate for each of the expenses depends on their type, the location of the investment and the size of the company, and can vary between 30% and 80%.
      • Support Limit: €15 million per company and per project.


  • Projects with a maximum duration of 24 months;
  • Work has to start only after the application has been submitted. The purchase of land and preparatory work, such as obtaining permits and carrying out studies, are not considered to be the start of work;