Spain’s Blackout: Good and Bad News for Greece

The well-known issue of overproduction in green energy, along with structural problems within the grid itself, is now seen as the cause of the massive blackout that occurred in Spain and Portugal yesterday (April 28, 2025). Notably, just before the blackout in Spain, renewable energy sources were producing over 80% of the country’s electricity. In such cases, excess production must either be cut or redirected abroad. According to information from Spanish authorities, efforts to manage high renewable energy production involved redirecting excessive amounts to France through their interconnection link. This caused the line to reach its limits, leading to a collapse that ultimately brought down the entire Spanish grid. Issues with Spain’s grid connections to foreign networks had been noted earlier. The good news is that initial rumors of a cyber-attack seem unfounded, despite claims by a hacker group taking responsibility. A cyber-attack would have meant widespread disruption across Europe and necessitated a costly reevaluation of network security. However, the bad news is that the Spanish blackout highlights our current struggle to maintain balance in the system—a problem Greece also faces. Greek authorities are already cutting solar production during midday hours to protect the grid. Unlike Spain, ADMIE and DEDDIE have successfully managed these challenges so far, even during difficult Easter periods. Experts believe this difficulty will persist for a few more years but will eventually end. Battery storage units are set to be installed in Greece starting this year, providing valuable solutions for managers. Investor interest in such units is immense, ensuring Greece will acquire a fleet of batteries and pumped hydro storage systems before the decade ends. Lastly, while it’s easy to blame renewables, it’s worth noting that Spain currently enjoys some of the lowest electricity prices in Europe due to abundant renewable energy, nuclear plants, and low gas usage. A balanced critique is necessary, avoiding throwing out the baby with the bathwater.