Government approves TERRA+ Strategy with 1.644 billion to reduce landfill waste

The Council of Ministers has approved the TERRA+ Strategy for the 2026-2030 period, which provides for 1.644 billion euros in investment support within a global program of 2.3 billion euros for the waste sector. The decision is contained in the Council of Ministers Resolution no. 181/2026, published in the Diário da República, 1st series, no. 181, of September 17, 2026, and enters into force on the day following its publication.

The resolution was signed on September 4, 2026, by the Prime Minister, Luís Montenegro, and follows up on the TERRA Plan, presented by the Waste Working Group created by Order no. 14013-A/2024, of November 26, 2024. The legal instrument is aligned with the National Waste Management Plan 2030, the PERSU 2030, the PERNU 2030, and the Circular Economy Action Plan 2030 (PAEC 2030), and responds to the requirements of the Waste Framework Directive (2008/98/EC), amended by Directive 2025/1892, and the Landfill Directive (1999/31/EC), amended by Directive 2018/850.

An emergency diagnosis

The preamble describes a sector on the brink of collapse: in 2024, 54% of the urban waste produced was sent to landfills, while the European target points to a maximum of 10% by 2035. The pressure on infrastructure is visible — 13 of the 32 landfills have only about 20% of their capacity remaining — and the preparation for reuse and recycling stood at 37% in 2024, far from the 60% required by 2030 and 65% by 2035.

The Government thus assumes a structural change in the sector, with shared responsibility between the State and the entities responsible for providing the public urban waste management service.

Five axes and a 1.644 billion program

The funding program distributes investment support across five axes:

• Prevention and circular economy: 82 million euros in support, 96 million in total investment.
• Separation and selective collection: 385 million euros in support, 582 million in total investment.
• Separation and collection of bio-waste: 527 million euros in support, 622 million in total investment.
• Preparation for reuse, multi-material recycling, and organic recovery: 425 million euros in support, 670 million in total investment.
• Technological modernization: 225 million euros in support, 330 million in total investment.

The recycling and organic recovery axis includes priority investment in 11 sorting plants, with a total incremental capacity of 274 thousand tons per year, and in 7 anaerobic digestions, with 340 thousand tons per year. The treatment of the residual fraction allows for the production of waste-derived fuel and energy recovery, and may utilize credit lines, notably from the European Investment Bank (EIB).

Governance and coordination with municipalities

The resolution creates the TERRA+ Strategy Monitoring Commission (CA-Resíduos), a temporary structure coordinated by the National Waste Authority (ANR) and responsible for coordinating, monitoring, and evaluating the execution of the Strategy. The commission includes, among other entities:

• Regional Government of the Azores and Regional Government of Madeira;
• National Association of Portuguese Municipalities;
• the five Regional Coordination and Development Commissions (CCDR);
• Directorate-General for Economy, Water and Waste Services Regulatory Entity and Climate Agency, I. P.;
• representatives of the Urban Waste Management Systems (SGRU), specific flow management entities, and waste management operators.

The represented entities must designate their members within 10 days following publication, and the exercise of functions does not entitle them to remuneration, attendance fees, or expense allowances. The Portuguese Environment Agency, I. P. (APA, I. P.) is responsible for coordinating the collection, validation, and integration of information from municipalities, SGRU, and CCDR, while at the intermunicipal scale, support and monitoring groups are created with metropolitan areas and intermunicipal communities.

Funding and territorial scope

Support is ensured by national and European funds, specifically the PT2030 operational programs, the Climate Transition and Sustainability Support Program, the European Union Multiannual Financial Framework 2028-2034, and the Environmental Fund. If additional European funding exists, national funding is reduced in the respective proportion, and the assumption of commitments depends on available appropriation.

The amounts pertain exclusively to the mainland territory and do not include investments in the Autonomous Regions of the Azores and Madeira, whose funding mechanisms are defined by the respective regional legislation. Among others, the Competition Authority, ERSAR, Sociedade Ponto Verde, Electrão, Valorpneu, Sogilub, and ZERO — Sustainable Earth System Association were consulted.

The TERRA+ Strategy establishes the financial and governance framework that will determine whether Portugal meets the 2030 and 2035 European targets or faces capacity failures in waste treatment, with a direct impact on the tariffs borne by municipalities and taxpayers.

Source: Diário da República, 1st series, no. 181, of September 17, 2026, section I (Presidency of the Council of Ministers), page 1 (official reference: Council of Ministers Resolution no. 181/2026).