Lisbon Metro Gets EUR 1.5 Billion Expansion — New Violet Line, Red Line Extension, and Green Line Closure Approved

The Portuguese government has approved a decree expanding the legal framework of Metropolitano de Lisboa, clearing the way for more than EUR 1.5 billion in active metro infrastructure investment across the capital. The expansion includes a brand-new light rail line, a four-station extension of the Red Line, and the long-awaited closure of the Green Line into a circular loop.

What the Decree Changes

The Council of Ministers approved a decree-law on 9 April that fundamentally updates the scope of Metropolitano de Lisboa, E.P.E. The state-owned company can now build and operate surface light rail systems and other collective transport modes — not just underground metro. Its territorial concession has been expanded to cover all municipalities of the Lisbon Metropolitan Area.

Minister of the Presidency António Leitão Amaro said the changes aim to "broaden the capacity and potential in legal terms" of the company, ensuring it can "manage and operate not just underground metro, but also solutions like surface metro and other collective transport modes."

The Violet Line: Odivelas to Loures

The centrepiece of the expansion is the new Violet Line, an 11.5-kilometre surface light rail connecting Odivelas to Loures in the northern Lisbon Metropolitan Area. The line will have 17 stations — 12 at surface level, three underground, and two in trench — plus a 3.9-hectare maintenance depot.

The project carries a total investment of EUR 677.5 million, up from an original estimate of EUR 527.3 million after the first tender in March 2024 failed when all bids exceeded the base price by an average of 46 per cent. A second tender was launched in April 2025, with an execution deadline of 2029.

The line faces a potential complication from Brussels. The European Commission opened an investigation in November 2025 into whether Chinese state-owned rolling stock manufacturer CRRC — part of the Mota-Engil consortium that won the tender — had an unfair advantage. A decision from Brussels is expected imminently. Minister Pinto Luz has confirmed the line will proceed regardless, noting the consortium has already admitted the possibility of replacing CRRC.

Red Line Extension: Four New Stations to Alcântara

The Red Line will be extended four kilometres southward from São Sebastião to Alcântara, adding four new stations: Campolide/Amoreiras, Campo de Ourique, Infante Santo, and Alcântara — the last situated adjacent to the 25 de Abril Bridge.

The extension carries an investment of approximately EUR 405 million, with EUR 357.5 million funded by the European Union. It is expected to carry 11 million additional passengers annually, remove 3,700 cars per day from Lisbon's roads, and cut 6,200 tonnes of CO2 emissions in its first year. Construction was announced to begin in late 2025 with a target completion by 2028.

Green Line Circular Closure

The Green Line will finally become a circular loop with a 1.9-kilometre extension from Rato to Cais do Sodré, adding two new stations: Estrela and Santos. The project, under construction since November 2018, carries a total investment of EUR 344 million and is now expected to be completed in the first quarter of 2027.

The circular closure will reconfigure the Yellow Line to run Odivelas to Telheiras — a change that has drawn opposition from Odivelas residents who currently enjoy a direct route to central Lisbon without transfers. After the change, they will need to transfer at Campo Grande.

Why It Matters for Expats and Residents

For anyone living in or considering a move to the Lisbon Metropolitan Area, these projects represent a generational shift in public transport. The Violet Line will connect northern suburbs that have long been underserved, potentially making areas like Loures and Odivelas more attractive for housing. The Red Line extension brings metro access to popular residential neighbourhoods like Campo de Ourique and Alcântara for the first time.

Combined with new rolling stock orders — 24 trains from Stadler/Siemens plus options for 12 more — and a new CBTC signalling system being installed across the network, Lisbon's metro is undergoing its most significant transformation since it opened in 1959.