Government Prepares New PRR Reprogramming Amidst Criticism Over Project Delays
The Portuguese Government is preparing a new adjustment to its Recovery and Resilience Plan (PRR), Minister of Economy and Territorial Cohesion, Manuel Castro Almeida, revealed during a parliamentary hearing on Tuesday. The minister defended the government’s track record on the PRR’s execution, insisting that all grant funding will be fully utilized, even as he faced sharp questioning from opposition parties about significant delays in specific projects, including completed but unopened housing developments.
During the session, the Socialist Party confronted the minister with several examples of stalled PRR-funded projects. These included a continuing care unit in Leiria, finished for five months but not yet open, and, critically, housing projects such as temporary accommodation units in Grândola, which have been ready since October of the previous year, and apartments in Vila Velha de Rodão, completed six months ago. None of these housing units are currently occupied.
In his response, Minister Castro Almeida stated he was not in a position to resolve these specific issues, directing the query to the relevant ministries. He attributed the delays to the “very precarious situation” of certain public departments inherited from the previous government, specifically citing the disorganization at the ARS (Regional Health Administrations) and the IHRU (Institute for Housing and Urban Rehabilitation). “These are the two areas where we have the most difficulty in advancing PRR projects,” the minister admitted, stating the entities were “unusually disorganized.”
Despite these admissions, Castro Almeida maintained that the government’s overall performance on the PRR is strong. “I am convinced that we will execute all the PRR grants. We have no unfulfilled obligations in terms of meeting targets and milestones,” he asserted. He pointed out that Portugal was the second EU member state to formally request its sixth and seventh payment tranches from the European Commission, indicating that the administrative process is ahead of schedule. “The seventh payment request will be paid soon,” he added.
The minister also rejected accusations of a “lack of ambition,” stating that while Portugal may not be the top performer in terms of fully executed projects on the ground, its progress in certifying milestones and requesting payments is among the best in the EU. He revealed that a new reprogramming of the PRR is underway, alongside an adjustment of the Portugal 2030 partnership agreement, to optimize the use of funds.
The hearing highlighted the tension between the government’s official reporting of PRR progress and the tangible results of the investments. The minister acknowledged the latest report from the National Monitoring Commission of the PRR, which noted a doubling in the number of projects deemed to be in a “critical” state. While describing the reports as “opinionated,” Castro Almeida said they are “useful” and that the government intends to “welcome the good suggestions that are being made.” The ongoing challenges, particularly within the state’s housing apparatus, remain a central concern for the plan’s success.
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