Sunrise in Ribatejo: Portugal Activates Record-Breaking Solar Park

Portugal’s Sun-Fueled Ambitions Reach a New Milestone

A Giant Array Lights Up the Ribatejo Region

The rolling agricultural land north of Lisbon now hosts a sea of photovoltaic panels after French renewables developer Neoen flipped the switch this week on what has become Portugal’s single-largest solar complex. Straddling the municipalities of Azambuja and Rio Maior, the project combines two adjacent plants—Rio Maior Solar Park and Torre Bela Solar Park—delivering a total of 272 megawatts-peak. For travellers heading up the A1 motorway, the facility sits roughly an hour’s drive from the capital, linking to the national grid through a new 400-kilovolt overhead line that feeds directly into REN’s substation at Rio Maior.

Why the Site Matters

Neoen’s installation is not only the company’s fourth-largest operational asset worldwide, it is also symbolic of Portugal’s strategy to turn plentiful sunshine into energy security. The Ribatejo plains offer a trifecta cherished by solar developers: flat terrain, high irradiation levels and proximity to existing high-voltage infrastructure. Local officials say the project created about 800 temporary construction jobs and 30 permanent technical posts, while the company has set up a community fund to support environmental education in nearby villages.

Portugal’s Renewable Scorecard Keeps Climbing

The inauguration comes on the heels of another headline: on 27 January the national power system reached a record 10 845 megawatts of renewable generation at the evening peak, briefly exporting nearly 2 900 megawatts to Spain. So far in 2025, renewables have covered roughly 72 percent of mainland electricity demand, mirroring last year’s average. Wind remains the biggest slice at 34 percent, hydropower follows at 28 percent, while solar has inched up to 5 percent—a figure expected to rise sharply as fresh capacity like Neoen’s connects to the grid. Natural gas accounted for 14 percent of consumption over the same period, with imports filling the remaining gap.

What Foreign Residents Should Know About Their Bills

For newcomers used to volatile utility prices elsewhere, Portugal’s surge in low-cost renewable output can feel like welcome news. Wholesale electricity prices have cooled markedly since 2022’s spike, helped by solar projects that push daytime prices down in the Iberian market. Residential tariffs are still influenced by network fees and taxes, but analysts at the energy regulator ERSE expect average household bills to edge lower during summer hours, when solar output typically overshoots demand. Homeowners with rooftop panels can also tap into Portugal’s simplified self-consumption rules introduced last year, which allow surplus power to be sold back to the grid at market rates with minimal paperwork.

Looking Ahead: Auctions, Storage and Interconnection

Lisbon’s National Energy and Climate Plan targets 80 percent renewables in electricity production by 2026 and full decarbonisation of the grid by 2040. The government intends to auction at least one gigawatt of additional solar and battery capacity before the end of this year, with rules that favour projects able to pair panels with storage or green hydrogen units. Meanwhile, upgrades to the Spanish interconnector and a proposed subsea cable to Morocco could open new export corridors for surplus solar power generated on hot summer afternoons.

Bottom Line

From the vantage point of foreign residents weighing long-term living costs, Portugal’s solar surge is more than a headline—it is becoming a tangible factor in stabilising energy prices, fostering local jobs and reinforcing the country’s reputation as one of Europe’s green-energy frontrunners.