Prime Minister resigns: Portugal’s parliament dissolved after raid

Prime Minister resigned
Portugal’s parliament dissolved after raid

New elections are coming up in Portugal: The reason for this is the investigation into possible bribery surrounding the outgoing Prime Minister António Costa. Specifically, it is about the licensing for the production of green hydrogen, which raises questions. Several people are already in custody.

After the resignation of Portugal’s Prime Minister António Costa, President Marcelo Rebelo de Sousa dissolved parliament and called a new election for March 10th. He said this in a speech to the nation this evening after a meeting of the Council of State in Lisbon. The socialist Costa unexpectedly resigned on Tuesday because of corruption investigations against himself and other members of the government.

The conservative head of state Sousa also had the opportunity to allow Costa’s Socialist Party (PS) to form a new government given its majority in parliament. In a survey, however, almost 70 percent of those eligible to vote were in favor of an early election.

Costa resigned after prosecutors arrested his chief of staff as part of a raid over alleged irregularities in his government’s handling of lucrative lithium and hydrogen projects. He has denied any wrongdoing and will initially remain in office on an interim basis. Parliament will also remain operational until a formal presidential dissolution decree is issued to pass important laws such as the state budget. The investigation concerns suspicions of illegal practices such as bribery and taking advantage in the awarding of concessions for lithium mining and in the production of green hydrogen. According to the authorities, Costa is also being investigated.

Five people have already been arrested

On Tuesday, five people were arrested before his resignation, including his chief of staff Vitor Escaria. Infrastructure Minister Joao Galamba and the president of the environmental agency APA, Nuno Lacasta, were also officially classified as suspects. The public prosecutor’s office searched more than 40 objects.

Green hydrogen is produced using electricity from renewable energies. Lithium is used to produce batteries and is therefore essential for the energy transition. Portugal probably has the largest lithium deposits in Europe. In September, the environmental authority APA gave the green light, subject to conditions, for a second project to mine lithium in the north of Portugal. Environmentalists and residents oppose the huge mine. Lithium mining is considered extremely dangerous to the environment.

The Council of State is a body that has existed in Portugal since 1845 and advises the president. It includes current and former elected officials as well as other personalities.

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