Gay and lesbian sex is legal in Portugal and therefore in the Madeira Archipelago. The age of consent in Portugal is 16.
On Madeira Island gay and lesbian activity is still very repressed, although the community is actually much larger than it apparently seems. There are no specific clubs and bars for gays and lesbians. If there are, they are still very hidden.
Before coming to Madeira, you might want to write to the 'Opus Gay Association' (Rua da Ilha Terceira 34- 2º 1000-173 Lisboa) or contact them by phone (+ 351 21 315 13 96). Their e-mail is opusgaynorte@hotmail.com.
On the Internet you will find a few Portuguese gay and lesbian sites. The most comprehensive is www.portugalgay.pt that is available in Portuguese, English, Spanish, French and German.