Portugal is experiencing a surge in multibillion-euro data center investments, which could boost employment and economic growth. However, the country’s limited renewable energy capacity and growing environmental concerns pose risks to sustaining the boom. The rapid expansion of data centers requires significant amounts of energy, raising concerns about the long-term viability of the projects in the context of the country’s transition to renewable sources.
Industry experts warn that without adequate infrastructure to support the increased energy demand, the data center boom could be jeopardized. The government has been promoting Portugal as a hub for digital innovation, but the challenge lies in balancing economic growth with environmental sustainability. As the demand for data centers continues to rise, policymakers will need to address these issues to ensure that the country can meet its energy needs while protecting natural resources.