Communiqué from the Council of Government - Communication

The Council of the Government, which met on April 27, 2023, in Ponta Delgada, adopted the following measures:

1. Approve the Resolution authorising the signing of a programme-contract between the Autonomous Region of the Azores and NONAGON - São Miguel Science and Technology Park Association, amounting to 592,000.00 Euros. 

The importance of the São Miguel Science and Technology Park - NONAGON is due to its structuring role in boosting technology and training qualified human resources, not only in the field of information and communication systems but also in monitoring and observation of land, space and sea It is also as a catalyst for synergies in the technological transfer processes of the Azores' innovation ecosystem.

The amount provided for under this contract intends to support:

- Development of activities to reinforce collaboration with the scientific and business community;

- Promotion of research and development (R&D) activities and their implementation in the business world;

- Creation and/or development of companies;

- Promotion of entrepreneurship and innovation.

2. Approve the Resolution authorising the signature of a contract-programme between the Autonomous Region of the Azores and the PCTTER Association - Terceira Island Science and Technology Park - TERINOV, amounting to €374,000.00.

The geographic reality and remoteness of the Autonomous Region of the Azores pose particular challenges to social and economic development, so investing in research, development, advanced training and innovation is crucial to reducing regional asymmetries and bringing the Azores closer to national and European development levels.

The interface infrastructures between academia and businesses, as is the case of the Terceira Island Science and Technology Park - TERINOV, are of particular relevance in improving the resilience of regional companies and the development of the Azorean economy and society. 

The amount provided for under this contract intends to support:

- Implementation of activities to reinforce collaboration with the academic, scientific and business communities;

- Promotion of research and development and advanced training activities and their implementation in the business world; participation in international and inter-regional research projects 

- Creation and development of companies; 

- Promotion of entrepreneurship and innovation and the dissemination of scientific and technological knowledge, through support for the implementation of activities approved in the Activity Plan for 2023.

3. Approve the regional implementing decree approving the statutes of the Azores Qualification Centre, IPRA.

The Regional Legislative Decree no.10/2023/A of March 20 establishes the Azores Qualification Centre, IPRA, defining its organisation and operation model. 

This regional implementing decree defines the statutes of the Centro de Qualificação dos Açores, IPRA.

The vocational training activities carried out by the Azores Qualification Centre, IPRA comprise levels 2 to 5 of the National Qualifications Framework and the following training components:

Sociocultural Training;

Scientific Training

Technological Training;

Practical Training in a Work Context.

4. Approve a proposal for a Regional Legislative Decree amending the Regional Legislative Decree no. 8/2002/A which establishes the legal scheme for the granting of the regional supplement to the minimum monthly wage, the regional pension supplement and the regional supplementary remuneration.

Considering the principles of mitigating the costs incurred with our remoteness that guide the implementation of the regional supplementary remuneration mechanism and its compliance with the complementary dimension of the Social Security system, it is urgent to review the salary brackets to which the supplementary remuneration is applicable. This will be carried out by making them compatible with the changes in the base salary and the update of Public Administration salaries so that no Regional Public Administration worker will be at disadvantage.

This draft Regional Legislative Decree maintains, with effect from January 1, 2023, the supplementary remuneration paid to each worker before the change in the base salary carried out in the Public Administration and the update of the levels in the single salary scale.

With this amendment, the Regional Administration workers will continue to be the same supplementary remuneration bracket prior to the change in the base salary and the update of the Public Administration salaries.

The supplementary remuneration is granted to Regional Public Administration workers, whose base salary is equal to or less than €1,386.61 (one thousand, three hundred eighty-six Euros and sixty-one cents).

5. Approve the Resolution declaring all municipalities of the Autonomous Region of the Azores as territorial areas benefiting from the application of the Corporate Tax rate at 8.75% in accordance with the provisions of Article 41B of the Statute of Tax Benefits, as amended.

The Regional Legislative Decree 1/2023/A, of January 5, which approved the Budget of the Autonomous Region of the Azores for 2023, adapted to the Region the tax benefit provided for in paragraph 5 of article 41B of the Statute of Tax Benefits, defining the application of a Corporate Tax rate at 8.75% to micro, small and medium-sized Azorean companies, and the arrangements that would be approved by the State Budget Law for 2023.

This resolution follows the approval and publication of the State Budget Law which introduced amendments to the tax benefit scheme provided for in Article 41b of the Statute of Tax Benefits. It also takes into account the approval of Resolution no. 11/2023/A of March 27, 2023, as follows: "Identification of beneficiary territorial areas - for the purposes of the application of the Statute of Tax Benefits in the Azores." It recommended that the Regional Government of the Azores declare all the municipalities in the Autonomous Region of the Azores as territorial areas benefiting from the 30% reduction in the Corporate Tax rate applicable to the tax base, for the purposes of Article 41b of the Statute of Tax Benefits. This corresponds to the application of an effective Corporate Tax rate of 8.75% to the first EUR 50,000 of taxable income.