Lisbon: The government of Portugal has approved a 2.5-billion-euro support package to help families and businesses recover from the destruction caused by Storm Kristin.
The storm tore through central mainland Portugal early last week, bringing winds of more than 200 km per hour and torrential rain. At least six people were killed, while homes, factories, and key infrastructure suffered widespread damage. Power supply was disrupted across large areas, leaving hundreds of thousands without electricity.
Prime Minister Luis Montenegro said the public development bank Banco de Fomento will roll out a one-billion-euro loan programme to rebuild uninsured factories damaged by the storm. An additional 500 million euros will be made available to support businesses facing urgent cash-flow problems as they attempt to resume operations.
The remaining one billion euros in assistance will focus on households and social support. This includes a special financing line to help families rebuild uninsured primary homes, with support of up to 10,000 euros per house. Social security subsidies will also be provided to individuals who have lost income or are facing hardship, with monthly payments of up to 537 euros per person or 1,075 euros per family.
To speed up recovery, the government has decided that all reconstruction work linked to storm damage will be exempt from licensing requirements and prior urban planning, environmental, and administrative approvals.
The government has also extended the state of calamity in around 60 of the worst-affected municipalities until February 8, as more heavy rain and flooding are forecast, even though wind conditions are expected to ease.
A state of calamity is Portugal’s highest civil protection alert and allows authorities to rapidly mobilise emergency services and armed forces, fast-track procurement, and restrict access to dangerous areas without suspending constitutional rights.
Power restoration efforts were still ongoing on Sunday, with nearly 180,000 households remaining without electricity as grid operators worked to repair damaged networks.
