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Decree Law No. 29/2020


Publication: Republic Diary No. 124/2020, Series I of 2020-06-29
  • Issuer: Presidency of the Council of Ministers
  • Diploma Type: Decree Law
  • Number: 29/2020
  • Pages: 4 - 8

Summary in plain english

What is it?

This decree-law creates the “Emparcelar para Ordenar" programme.

This programme provides support for simple rural reparcelling through a credit line and non-refundable subsidies for the purchase of rural buildings located in territories classified as vulnerable.

What is going to change?

Under the “Emparcelar para Ordenar" programme the following supports are created:

    • a credit line of support for land reparcelling;
    • a non-refundable subsidy for the purchase of rustic buildings.

This programme is aimed at owners who purchase rural buildings located in vulnerable territories.

It is managed by the Direção-Geral de Agricultura e Desenvolvimento Rural [Directorate-General for Agriculture and Rural Development] (DGADR), which receives applications for support, analyses applications and decides on the implementation of the support, with payments being made by the Instituto de Financiamento da Agricultura e Pescas, I. P. [Institute for Financing Agriculture and Fisheries].

Applications must be submitted using the electronic form available on the DGADR website and are assessed on the basis of various criteria (e.g. the largest contiguous area to be reparcelled and the application is for a forestry or agricultural investment project supported by public incentive programmes).

The support to be granted under this programme depends on a prior assessment of the building to be acquired.

This program is financed by the Permanent Forestry Fund.

Credit line for simple rural reparcelling support

The credit granted through the credit line supporting the transfer/acquisition of rural buildings is by means of a repayable loan with interest rates ranging from 0.5 % to 1 %.

These loans are granted for a maximum period of 20 years from the date of conclusion of the respective contract.

Non-repayable subsidy for the purchase of rural buildings

This subsidy is intended to support the acquisition of rustic buildings for simple rural reparcelling.

The percentage of the subsidy to be awarded, which can be up to 25% of the value of the building, is fixed by the sum of percentages associated with certain conditions (for example, the purpose of the acquisition or the type of project for which the reparcelling is intended).

What advantages does it bring?

This decree-law aims to increase the physical dimension and the viability and economic sustainability of rural buildings, promote the planning and management of these areas and the preservation and dynamization of agroforestry activities and ensures the enhancement of the territory.

When does it enter into force?

This decree-law enters into force on 1 July 2020.

Original Version

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CONSOLIDATED LEGISLATION

Legislative consolidation integrates the various amendments and rectifications made into an original legal diploma in order to make its consultation more accessible to the citizen.