The government has approved a 33% windfall tax on the excess profits of oil companies, becoming the first of five European nations to implement such a measure after contacting Brussels. The Temporary Solidarity Contribution on the Oil Sector (Contribuição de Solidariedade Temporária sobre o Setor Petrolífero or CSTSP) will be calculated based on the average results from 2024 and 2025. This move targets extraordinary profits linked to recent global energy price increases.
Portugal approves 33% windfall tax on oil companies
Thursday, 30 July 2026AI summary
Context & Explainers
The CSTSP (Contribuição sobre o Setor das Telecomunicações e Setor Energético) is a tax contribution applied to companies operating in the energy and telecommunications sectors. It was introduced to capture extraordinary profits during periods of market volatility, such as those caused by global energy price fluctuations.
4 sources
- Energy. Of the five countries that wrote to Brussels, Portugal will be the first to launch a tax on 'extra' profitseco.sapo.pt ·
- Government creates contribution on oil company profitsobservador.pt ·
- Portugal approves 33% windfall tax on oil companies' excess profitsReuters ·
- Windfall tax on oil companies applied to the average of 2024 and 2025 resultsrtp.pt ·
