A clear example comes from BNZ, a Spanish independent power producer backed by global investment capital, which has increased its planned investment in Portugal to as much as €600 million. Originally focused solely on building solar capacity, the company is now allocating an additional €150 million to incorporate 100 MW of battery storage systems alongside its nine solar projects under development.

This shift illustrates a broader trend in the Portuguese renewable sector: the move from building capacity alone to ensuring stability, reliability, and smarter integration of green energy into the grid. Solar parks are no longer seen as stand-alone assets. Instead, they are increasingly paired with storage solutions that can smooth out production peaks, guarantee supply during periods of low generation and provide flexibility to the national energy system.

Portugal has already shown how powerful its renewable sector can be. In July 2025, around 80% of the country’s electricity needs were met by renewable sources, an achievement that places it among the leading nations in Europe in terms of clean energy penetration. This level of performance underlines both the opportunities and the challenges ahead: while renewables now dominate the energy mix, ensuring that the system remains stable and secure requires the widespread adoption of storage and hybrid solutions.

BNZ’s first project in Portugal, a 50 MW solar plant in the north of the country, was recently connected to the grid, marking the company’s first operational step in the market. With a pipeline of around 600 MW distributed across different sites, the company sees Portugal as a priority within Southern Europe, where it is also active in Spain and Italy. The additional focus on batteries responds both to market needs and to new opportunities created by government policies aimed at strengthening energy security and avoiding supply disruptions.

Storage is now widely regarded as a critical component of the renewable transition. While large solar and wind installations can generate abundant energy, their variability has long been a challenge. Batteries not only provide backup during cloudy or windless periods but also allow operators to better manage supply in response to market signals. In Portugal, the introduction of new auctions that support the development of storage infrastructure is accelerating this transition, ensuring that renewable generation can be integrated more effectively into the electricity system.

Beyond storage, BNZ is already evaluating opportunities to expand into wind power in Portugal, particularly in areas where its solar plants are located close to existing wind farms. Although this part of the strategy is only expected to take shape around 2026, it reflects a vision of hybrid projects where solar, wind, and batteries work together to maximize efficiency and resilience. This approach aligns with the emerging consensus in industry: the future lies not in simply multiplying new projects, but in upgrading and hybridizing existing assets to deliver more balanced and reliable renewable power.

With renewables already covering 80% of the country’s electricity demand in peak months, Portugal has demonstrated what is possible. The next step is to consolidate that achievement with the infrastructure and flexibility needed to make such results sustainable year-round. International players like BNZ are helping accelerate that process, reinforcing Portugal’s position as one of the most dynamic renewable investment destinations in Europe.

Author

Paulo Lopes is a multi-talent Portuguese citizen who made his Master of Economics in Switzerland and studied law at Lusófona in Lisbon - CEO of Casaiberia in Lisbon and Algarve.

Paulo Lopes