Businesses are increasingly adopting battery backup systems to prevent production losses following significant power failures in the region.

Following a widespread power failure across Spain and Portugal on April 28 last year, industrial companies are accelerating investments in battery storage systems. The blackout caused significant production halts and financial losses for businesses, prompting firms to prioritize backup capacity to ensure operational continuity. Companies are now utilizing EU funding to secure energy storage modules, aiming to mitigate the risks of future grid disruptions.

Impact on industrial production

The Spanish meat processor Fribin experienced a sudden production shutdown during the April blackout, resulting in the loss of tonnes of meat and hundreds of thousands of euros. Similarly, the Portuguese porcelain manufacturer Vista Alegre reported irreparable losses at its continuous production plants due to the power interruption. For many firms, the event served as a catalyst to finalize long-considered investments in backup power.

Rising investment and capacity

In Spain, battery storage capacity increased from approximately 28 MW before the April blackout to 193 MW in April 2026, according to grid operator Red Eléctrica. Furthermore, the Spanish Institute for the Diversification and Saving of Energy (IDAE) awarded €827m in EU funds to 133 energy storage projects in December. These projects represent a total of 2,400 MW, with battery storage accounting for roughly 80% of the capacity.

Evolving energy requirements

Industrial clients are increasingly demanding advanced capabilities, such as seamless backup systems that allow for an instantaneous switch from the grid. Beyond providing resilience against power cuts, some companies, including Primus Ceramics, are using battery systems to store energy from solar panels and sell electricity back to the grid when market conditions are favorable.