With regard to other economic sectors not directly connected to the sea, Sines is also home to a group of important industries with significant advantages in terms of attracting to the area a wide range of economic activities with great potential for development.

The Energy Sector 

Sines has already become a reference point in Portugal for energy production, thanks to its wind energy farms and, mainly, to the thermal electricity generating plant operated by Energias de Portugal (EDP). The installation of a new liquid natural gas terminal has opened up new opportunities for energy production through combined cycle generating plants.

The weight of the energy sector in the local economy and prospects for the future can be summarised as follows:

- One thermal electricity generating plant;
- Two wind energy farms;
- Combined cycle electricity generating plants at licensing stage;
- Two large-scale cogeneration plants (building work started in 2007 at the GALP Energy oil refinery and the REPSOL YPF petrochemical complex)
- A port for supplying other energy production plants in Portugal with gas and coal.

The new container terminal provided additional opportunities in the rapidly expanding market for renewable energies.

Renewable energy production has already gained considerable weight in the local economy and could expand further through the local production and export of related equipment (wind turbines, solar panels and hydrogen cells, among other products). This industry currently enjoys a favourable international environment due to the high level of oil prices on international markets, the Kyoto Protocol (which restricts carbon dioxide emissions at a national level) and other European Community directives, that require an important percentage of energy for domestic consumption to be produced from clean, renewable sources.

Sines has the capacity to attract investment in the local production of this type of equipment, to reproduce the technology involved, and to export such products from the container port to the rest of the world. It also has an industrial site with sufficient space available for these industries to set up, as well as a skilled workforce with an industrial culture.

An interesting and complementary component is the potential attraction of small companies operating in the segment of bio-diesel production. Given the high price of oil on international markets and growing environmental concerns, bio-diesel will be used increasingly to power vehicles that currently run on normal diesel fuel. In this regard, recent news reports have referred to the possibility of government support for large new plantations of oil producing plants such as sunflowers. In this context, the Alentejo region has the greatest potential, particularly the area covered by the Alqueva irrigation system.

Two bio-diesel refineries are currently at the licensing stage and construction is expected to begin shortly.

The Petrochemical Industry

Sines is also a national point of reference with regard to the petrochemical industry. This is due to the fact that the country’s biggest oil refinery (Galp Energy) and a petrochemical plant, which is also one of the biggest of its kind in Portugal (Repsol YPF), are both located in the municipality.

In addition to these two operations, other investments are also planned for this industrial sector. If they go ahead, they will lead to the further growth of Sines as an industrial centre, making it a Portuguese and an Iberian point of reference for the petrochemical sector.

Metal Engineering

The metal engineering industry in Sines is highly developed, skilled and used to international competition. The experience acquired in building and maintaining the Sines industrial complex can be applied in markets overseas.

Studies made by Portuguese experts suggest the possibility of some of these local companies, which are now internationalising their operations, competing for contracts to construct and maintain petrochemical complexes and oil platforms in other Atlantic coastal areas.

This industrial sector could experience significant expansion in the near future, enabling many small local companies to gain critical mass as a result of the growth of the Sines industrial centre.

Sines has been constantly growing. In the decade from 1991 to 2001, the population grew 10%. This growth rate is expected to increase and urbanisation plans for Sines and Porto Covo, aimed at the expansion of both these urban centres, have already been completed.

Sines has excellent prospects for growth in this sector, not only due to the high growth rates of the local population, but also as a result of the large number of industrial and port construction projects already undertaken and planned for the future. The container port could also represent an opening to international markets for construction sector companies.

The existence of construction material plants in Sines is an example of what the future holds as far as setting up plants which produce products and materials for the building industry. They would naturally take advantage of the municipality’s efficient transport connections to take their products throughout Portugal and overseas.

Services

The services sector has also experienced considerable development, above all in the area of companies supplying services to large and medium-sized industrial operations, including the supply of labour, industrial maintenance and other services. Companies supplying transport, logistical and warehousing services are also well represented in the district. Most financial institutions, particularly banks, have operations in Sines.

Tourism

Tourism is of special importance to the local economy, with Sines focusing on business tourism and Porto Covo on recreational tourism.



These two areas in Sines have already developed a considerable capacity for lodging tourists (taking into account the overall size of the municipality). This has substantially increased with the approval of the Sines and Porto Covo urban plans, which envisage a significant increase in the number of hotel beds and will improve the quality of urban planning, ensuring that special attention is given to tourism.

Although Sines is not one of the areas of the Alentejo Coast where the building of large tourism complexes is planned, the municipality has developed its own special niche, focused on business, nautical and gastronomic tourism and holding events.

Business tourism revolves mainly around the industrial and port complex, which ensures a permanent, year-round demand for local hotel beds. There is a marked increase in demand when the largest industrial plants are engaged in wide-scale construction works or other major projects.

Tourism connected with the sea, including nautical sports and visits to the area’s many excellent beaches, is in constant demand, as reflected in the many tourist companies located in the area (surfing, wind surfing and diving schools, adventure sports, underwater fishing etc.) and the large number of nautical sports events and competitions that have been organised locally.

Sines is currently the only recreational port in the Alentejo. It also has the advantage of the unforgettable scenery of the Southwest Alentejo and Vicentine Coastal Nature Park, an important attraction for nature lovers.

Moreover, the rich local cuisine is one of Sines main attractions. The offer range is wide, to suit all tastes and pockets, with fish and shellfish at the top of the menu.

Events such as the World Music Festival, the biggest of its kind in Portugal and one of the most prestigious world music events in Europe, attracts thousands of people to Sines in the summer.

Commerce

Although local commerce shares the problems common to the sector, it is, to a certain extent, more dynamic than in other Alentejo Coast towns. This may be an indication of the average buying power in the municipality, but it is also a reflection of its considerable distance from the big urban centres, where the nearest large shopping malls are located.

The town of Sines has four medium-sized supermarkets (Litoral, LIDL, Intermarché and Pingo Doce) and two shopping malls.

Considering the relative size of Porto Covo, the restaurant sector is also well represented with a number of restaurants that reflect the quality and diversity of the local cuisine.

The numerous events held in the municipality are an important stimulus for commercial activities and make a significant contribution to combating the phenomenon of seasonal spending. The most important events include the World Music Festival, the Sines Carnival, the Porto Covo Festivities and the Gastronomic Fair, among several others.