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Spain counts the cost as blackout bill hits €1.6 billion
Commerce and industry begin to recover as banking returns to normal, but many areas still face disruption
Spain is slowly getting back on its feet following Monday’s unprecedented national power outage, but the financial fallout is already looking serious. According to the Spanish Confederation of Business Organisations (CEOE), the blackout could end up costing the economy around €1.6 billion, or about 0.1% of national GDP.“It’s a huge amount,” said CEOE president Antonio Garamendi during a talk at the Nueva Economía Forum, highlighting the long-term damage to infrastructure, especially in sectors that rely heavily on energy. He also warned that some factories might need major investment before they can resume normal operations.
Small business organisations are also sounding the alarm over widespread losses. The Association of Self-Employed Workers (ATA) estimates the impact on freelancers at €1.3 billion, while a quick-fire survey from UPTA suggests average losses per self-employed worker of around €650. Restaurant owners were among the worst affected, with reported losses of up to €1,500 each, while other sectors such as retail, hair and beauty, and legal services have seen losses ranging between €400 and €700.
Although Monday brought widespread shutdowns, most shops and businesses have since reopened. Large retailers, including supermarkets and department stores, are back up and running without major setbacks, although some deliveries are still facing delays.
Banking services are also largely back to normal. CaixaBank and others report that online and digital platforms are operating smoothly again, although there are still some minor issues with ATMs and card terminals, mainly due to temporary glitches in the Redsys payment platform.
Industry is also on the road to recovery. Major manufacturers such as Renault in Valladolid, Seat in Martorell, and Volkswagen in Navarra, all of which had to halt production during the outage, have restarted operations and are expected to return to full capacity shortly.
Financial markets, meanwhile, responded with surprising calm. The Ibex 35 ended Monday in positive territory, and there was no major disruption in the bond market. However, trading volumes were down by about 35%, with analysts suggesting that investors view the crisis as a one-off that should be manageable in the long term.
Even so, experts are warning that the outage has exposed serious vulnerabilities in Spain’s infrastructure and raised fresh concerns about the country’s ability to cope with sudden energy disruptions.
Image: Tima Miroshnichenko/Pexels
