The Lagoa Municipal Chamber has secured full funding for a €2.5 million project to upgrade and expand the Sesmarias Reservoir. Following the signing on September 30 in Faro of the Technical Collaboration Protocol between the Management Authority of the Regional Program Algarve 2030 and the Environmental Fund, the conditions are now met for the municipality to access the remaining 40% of the project's value.
The project, valued at approximately €2.5 million, had already secured 60% of its funding from the Algarve 2030 Regional Program. The remaining amount, corresponding to €1.045 million (40% of the investment), was submitted as a bid to the Environmental Fund. This outcome is highlighted as a prime example of sound public fund management, with the municipality bearing only about €10,000 in own revenue for additional, non-funded works.
Inaugurated on September 26, 2025, the new Sesmarias Reservoir is a crucial infrastructure for water supply security in Lagoa. Originally built in the 1960s with a capacity of only 600 m³, it has undergone extensive renovation and expansion, now featuring two new cells of 3,340 m³ each, more than tenfold its initial capacity, bringing the total reserve to over 6,600 m³.
The project directly serves the areas of Carvoeiro, Sesmarias, and Mato Serrão, which experience high tourist and urban pressure. It also replaces the old and degraded supply pipeline in the Sesmarias Zone, which frequently ruptured and caused significant water losses.
“"We secured 40% of the value of the Sesmarias Reservoir, after 60% was paid by Portugal 2030. We submitted an application to the Environmental Fund to obtain the other 40%, amounting to 1 million and 45 thousand euros. We are talking about a €2.5 million project where the Municipality spent only about €10,000, related to additional non-subsidized works. It was an extraordinarily low investment for what was achieved and what it represents for the municipality. A reservoir that more than tenfold increased the water reserve capacity and guarantees supply to one of the most important areas in the Algarve."
The signed protocol aligns with the strategy of the Environmental Fund and the Algarve 2030 Regional Program to enhance investment capacity in strategic interventions for efficient water management and the resilience of the Algarve region. The first payment tranche, amounting to €3.7 million, is part of a total of €12 million in payments already agreed for the entire Algarve.
The Municipality of Lagoa was among the first to apply for this funding line, ensuring the financing of the project was finalized shortly after the protocol's entry into force. This operation strengthens the reliability and resilience of Lagoa's water supply system, reduces network losses, and prepares it to meet future demand growth without compromising the municipal budget.
