Construction industry facing ‘unprecedented challenges’, warns association

Needs more private investment, more workers, more modernisation

Portugal’s construction industry is facing “unprecedented challenges” while the boom to the country in terms of European funding under the PRR (Plan for Recovery and Resilience) is falling short.

This was the stark (if not habitual) message from the association of civil construction and public works industrialists (AICCOPN).

President Manuel Reis Campos has told AICCOPN’s conference in Lisbon today: “Portugal 2030: Strategic Future for the Construction Sector” that concrete actions are needed to ensure the sector’s continued competitiveness – a “fundamental pillar” for economic growth.

“Construction faces unprecedented challenges, but also unique opportunities,” he said.

The high-speed railway line (between Lisbon and Porto) and the new Lisbon airport, as well as the expansion of Metro networks, are crucial to the country’s competitiveness: the high-speed line will allow for a more efficient and environmentally friendly rail link, reducing journey times; the new airport will be essential for responding to growing demand and ensuring a modern and efficient infrastructure, and the expansion of Metro networks will reduce car dependency and carbon emissions.

But, implementation of the PRR (designed to power Portugal into the 21st century) “is less than desired in terms of the objectives set”.

“There is an urgent need to effectively speed up the public procurement processes, in all their phases, to ensure that the investments reach the ground and are completed within the defined deadlines, without compromising their quality,” he said.

Reis Campos also pointed out that the sector faces challenges such as a shortage of housing, the transition to Construction 4.0, and compliance with the European Energy Performance Directive standards.

His solution? The streamlining administrative processes, incentives for private investment, greater labour availability, and digitalisation of construction.

Reis Campos also pointed out that, according to the 2021 census, there needs to be a greater commitment to urban regeneration – given that a third of buildings in Portugal need conservation work, an increase of 25.8% compared to 2011.

Source: LUSA

Natasha Donn
Natasha Donn

Journalist for the Portugal Resident.

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