I am NOT a specialist (Luís will probably appear and his opinion is more informed in this topic, by far), but I have a few tidbits to offer (to be eaten with large doses of salt):

1. I think Portugal has the biggest EU per capita ratio of cars. Ditto for kilometres of highway per capita and per area.

2. There has been a large dis-investment in trains (The TGV to Lisbon is, IMHO, minor with the fact that normal trains were dismantled to the rural parts of the country in the last 2 decades)

3."dry" Portugal is rather heterogeneous. Alqueva is is in the extreme dry South, but all other dams are in wetter places. I think most of the new dams will be made in the North and should provide electra for circa 1 million people (this number requires confirmation).

4. The other policy is along with renewables and conservation seems to be... electrical cars.