• Incentives are multiannual and can be granted until 31 December 2029

• Assistance is given during an extended period from 15 to 20 years

• Assistance boosts commitment to Portuguese forests’ sustainability

The European Commission authorised today the assistance scheme to compensate loss of income and ensure the maintenance of forest investments in Portugal following a notification presented in March 2025.

This decision enables granting assistance for an extended period between 15 and 20 years as set in the Common Agricultural Policy Strategic Plan for Portugal. This is a relevant step to ensure the stability and continuity of investments in the forest sector.

The scheme covers interventions relating to the afforestation of agricultural and non-agricultural lands, as well as reestablishing the forest potential in the wake of natural disasters. The assistance is to compensate owners for loss of income due to the changes in soil use, ensuring at the same time the maintenance of the investments undertaken.

The incentives are multiannual and can be granted until 31 December 2029. They are granted based on duly documented costs and lost income, respecting the principles of proportionality and avoiding situations of overcompensation, in line with the common agricultural policy’s environmental and climate goals.

The overall amount set for these measures is 250 million euros, covering the interventions associated with afforestation, the reestablishment of the forest potential, and compensation for lost income and investment maintenance.

This assistance boosts the commitment to the Portuguese forests’ sustainability, fostering resilience and contributing to the European climate and environmental goals.