Financing Hospitality 4.0 by Industry 4.0

In the last post , some of the potential financing instruments for Hospitality 4.0 were generically addressed. In this we will delve deeper into the strategy, measures and specific instruments that, at this very moment, are being developed and made available to allow for effective and rapid implementation of the measures. “We will not let any company be left behind. Let’s make your company and our economy a leader in this new digital economy!”

– it was with these words that João Vasconcelos, Secretary of State for Industry, presented the Strategy for Industry 4.0 where the Government announced a set of more than 60 Public and Private Initiative Measures that should have an effective impact on the digital skills of companies and workers .

WHAT IS “INDUSTRY 4.0”?

Industry 4.0 is the name chosen to describe the fourth industrial revolution, which consists of the fusion of production methods with the latest developments in information and communication technology, driven by the trend towards digitalization of the economy and society. The technological support of this development is possible thanks to intelligent and interconnected “cyber-physical systems” that will allow people, machines, equipment, logistics systems and products to communicate and cooperate directly with each other.

AND WHAT IS THE “INITIATIVE FOR INDUSTRY 4.0”?

This is the latest initiative from the Portuguese Ministry of Economy with the main objective of accelerating the adoption of Industry 4.0 by the Portuguese business community. Among the most emblematic measures of this strategy, financing measures stand out, with the reprogramming of European structural and investment funds, with the expectation that in this way it will be possible to leverage up to 2.26 billion euros in incentives, through Portugal 2020 , for the awareness, adoption and massification of technologies associated with the different concepts of Industry 4.0, over the next 4 years.

The objective is therefore to invest in relevant resources to accelerate the digital transformation of the economy through targeted financing, taking advantage of existing opportunities and synergies.

AND WHAT CONCRETE MEASURES DO YOU ASSUME?

Within the intended reprogramming of Portugal 2020 structural fund incentives, initial measures have already been selected, which could develop a set of financing mechanisms aimed at i4.0 projects. These have the main objective of accelerating investments and their adoption through a set of measures aimed at implementing financing and investment support.

Specific warnings

Launch of specific notices for Industry 4.0 within the scope of Portugal 2020, through the following instruments:

• Vale i4.0 for Micro and Small and Medium-Sized Enterprises : support aimed at promoting investment by SMEs in projects within the scope of e-commerce and digital marketing development. The voucher will have a unit allocation of 7,500 euros, and is intended to cover 1,500 companies;
• Qualification of SMEs : to create conditions for the implementation of measures to adhere to i4.0 (studies, computerization), particularly within the scope of digital management and marketing and e-commerce;
• Productive Innovation : for implementing innovative production solutions using digital control processes; 

• “Technological Research and Development” Mobilizing Programs : promotion and creation of incentives for the development of i4.0 technologies and models with transversal and lasting applicability, with a critical impact on the competitiveness of the Portuguese business fabric. 


Line of credit to support exports i4.0

Launch of credit lines to support SME exports, through PME Investimentos.

These lines allow you to anticipate revenue from sales at subsidized interest rates, mitigating the risk of companies exporting innovative equipment technology that integrate 4.0 technologies.

Accelerator for competition to encourage digitalization in tourism

In the case of the important tourism industry, an accelerator for digitalization incentives will be developed very soon, which aims to systematize in a simple and aggregated way the different possible frameworks within the scope of incentive programs, as well as the necessary requirements and procedures, in a roadmap (competition plan) to support applications, thus focusing on transparency, simplification and acceleration of procedures.

BUT AND FOR WHEN?

This is perhaps the easiest answer: it’s for now! Highlighting the dynamism typical of i4.0, several competition notices within the Industry 4.0 and Interface Programs within the scope of the National Reform Program have already been opened, including:

• AAC 07/SI/2017 SI PRODUCTIVE INNOVATION – with refundable incentives from 40% to 70%, aimed at productive investments.
• AAC 12/SI/2017 SI QUALIFICATION OF SMEs – with incentives between 40-45% non-refundable, for investments in the qualification of companies (Organizational Innovation and Management, Digital Economy and Information and Communication Technologies (ICT), Development and Engineering Products, Services and Processes, Etc.) 


More news will appear very soon, so stay tuned, but hurry - some of these first competitions have very short opening times!