Yesterday (On 28 April 2025) a major power outage swept across Spain and Portugal, affecting around 60 million people. It’s being described as one of the most significant energy disruptions in recent European history — and while power was restored within hours, the event has already left its mark on the wholesale energy market.

As an energy consultancy working closely with businesses across the UK, we believe events like this reinforce the need for organisations to better understand the link between global energy shocks and their own long-term costs.

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What Happened – and Why It Matters

The blackout in the Iberian Peninsula resulted in the sudden loss of approximately 15 gigawatts — more than half of Spain’s national electricity demand — in just five seconds. This kind of rapid drop creates a serious imbalance between supply and demand across the interconnected European energy grid.

In the short term, such volatility causes traders and suppliers to increase prices to manage risk. But more significantly, it triggers ripple effects across wholesale markets. When confidence in supply stability falters, costs often rise for everyone — including commercial energy users here in the UK.

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How It Affects Your Business

While it might feel like a foreign issue, a blackout in southern Europe can influence the price your business pays for energy in the months ahead.

These types of incidents:

• Introduce price volatility in day-ahead and futures markets
• Prompt a rush to secure long-term contracts, which can drive rates up
• Affect grid balancing costs and capacity market pricing
• Create upward pressure on non-commodity costs passed onto consumers

This is why proactive energy management isn’t just about sustainability, it’s about financial stability.

Why Having a Designated Energy Consultant Matters

In uncertain times, businesses with dedicated energy experts are far better positioned to mitigate risk, seize opportunities, and build long-term resilience.

Here’s how a specialist energy consultant can help your business:

1. Market Monitoring & Timing Strategy

Energy markets move quickly, often in response to global political or infrastructure events. A dedicated consultant actively tracks price trends, regulatory updates, and supply issues — helping you make informed decisions about when to renew, fix, or float your contracts.

2. Procurement Strategy Aligned to Your Risk Appetite

Not every business should take the same approach to energy purchasing. We help clients define their risk tolerance and develop a procurement strategy that balances budget certainty with market exposure — from fixed-price contracts to flexible purchasing frameworks.

3. Usage & Efficiency Analysis

Energy isn’t just about what you pay per unit — it’s also about how you use it. A consultant will analyse consumption patterns to uncover inefficiencies, identify out-of-contract sites, and recommend solutions such as smart metering, LED upgrades, or on-site generation.

4. Resilience & Sustainability Planning

With such energy disruptions, resilience is key. We help businesses explore options like battery storage, solar installations, or even microgrids to protect operations from outages and volatile pricing.

5. Regulatory Navigation & Compliance

The UK energy landscape is complex and ever-changing. A consultant stays on top of changes in non-commodity charges, energy legislation, and upcoming net-zero regulations — ensuring your business stays compliant and capitalises on available support schemes.

6. Bill Validation & Cost Recovery

Billing errors are surprisingly common — and costly. Our forensic audit team identifies historical overcharges, incorrect tariff applications, and metering issues, recovering thousands of pounds for clients each year.

At Enexus, we help businesses prepare for and respond to these challenges through our forensic energy audits and procurement services.

For example, our audits:

• Identify historic billing errors and recover overpayments (up to six years back)
• Uncover hidden inefficiencies in your usage profile
• Provide strategic guidance for procurement and contract timing
• Explore options for renewable generation or site resilience

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Stability Through Insight

The events in Europe are a timely reminder that the energy market is global, dynamic, and increasingly unpredictable. But with the right insights, planning and support, businesses can take back control.

If you’re concerned about costs, or simply want to be better prepared, we’re here to help.

Get in touch to book your complimentary audit and start future-proofing your energy strategy today – https://enexusenergy.co.uk/contact/