Portuguese companies estimate losses of over €2Bn due to blackout

The nationwide electricity power cut on April 28 that left homes and businesses without power for most of the day could have cost Portuguese businesses as much as €2Bn.

This is according to a survey carried out in the aftermath by the Portuguese Industrial Association (AIP) which found that 99% of companies that had taken part had been financially affected. The figure had initially been estimated at €20 million.

Most companies (67%) thought that they should be compensated in some form, with 43% calling for direct compensation and 32% believing they should be compensated with a reduction on their energy bill.

In a communiqué, 71% of companies in Portugal said that they had failed to meet customer commitments.

The results showed up “weaknesses in Portugal’s energy plan”, with 57% of companies not having emergency energy systems such as generators and ‘backup’ batteries.

Some 99% of the companies affected said they had incurred losses, with the greatest loses affecting the industrial sector.

The survey also shows that companies want blame and responsibilities apportioned with 93% of companies calling for the governments of both Spain and Portugal should find out what or which entities were responsible and pay out compensation.

However, companies thought that both Spain’s and Portugal’s electricity network suppliers Rede Elétrica de Espanha (REE) and Redes Energéticas Nacionais (REN) respectively are “the main culprits for the losses caused by the blackout”.