Embedded in the EU Directive 2018/2001 about the promotion of the use of energy from renewable sources , the Article 42bis of Decree-Law 162/19 outlines the methods and conditions to enable self-consumption of renewable sources. It allows individuals, collectives (located in the same building or condominium) or small energy communities who produce electricity from natural sources and not superior than 200 KWh, have access to the distribution network to trade energy. These individuals and/or collectives are rewarded with fiscal detractions due to the energy generated.

The core rule is that the production and exchange of energy is not the main activity of the actors. The ultimate goal of this legal dispositive is to provide environmental, economic and social benefits rather than financial profits.