The Portuguese government has approved a temporary solidarity contribution targeting the oil sector, imposing a levy on profits that exceed the average results of 2024 and 2025.
The measure, known as the Temporary Solidarity Contribution on the Petroleum Sector (CSTSP), was ratified by the cabinet on Tuesday, marking a direct fiscal intervention into the energy industry's balance sheets.
The tax applies specifically to the portion of earnings that surpasses the baseline established by the two-year average, effectively capturing windfall gains generated during periods of elevated energy prices.
This approach aims to redistribute excess profitability from the sector to the state budget while maintaining a floor for normal operational returns.
This development follows earlier announcements from Lisbon regarding fiscal interventions in the energy sector.
The government has previously signaled its intent to address windfall gains, framing the contribution as a necessary step to manage public finances amid broader economic pressures.