The Government has confirmed plans for 44 data centre projects across the country, with the proposed developments representing more than 2.6GW of computing capacity, but it is still refusing to disclose where most of the facilities will be built, and which company or entity is leading the projects.
The figures, revealed by the government in responses to questions from the Público newspaper, underline the scale of Portugal’s ambitions to become a major European hub for digital infrastructure. Demand for computing power continues to grow rapidly, as demand for artificial intelligence services drives a flurry of private and public investment in data centres.
Four of the 44 projects are described as large-scale developments, and much of the planned capacity is reportedly concentrated around the Lisbon region, according to information cited by Público.
However, significant details remain undisclosed. The government has not provided a complete list of the projects’ locations, nor has it clarified how much electricity capacity has actually been secured for the developments. Concerns grow across Europe over the infrastructure demand required to support the rapid expansion of data centres.
Over recent months, the Government has introduced a system of progressive financial guarantees designed to discourage speculative requests for electricity-grid capacity. The mechanism is intended to ensure that companies seeking large amounts of power have a greater financial commitment as their projects progress, reducing the risk that grid capacity will be reserved for developments that could ultimately fail to materialise.
The issue is particularly significant because data centres can require substantial and continuous supplies of electricity.
Portugal’s National Data Centre Plan, approved in April, identifies data centres as strategic infrastructure and sets out 15 initiatives for 2026 and 2027 covering regulation, energy, infrastructure, investment, and territorial planning.
The government says its objective is to both attract data centres, and to use them to generate wider economic, scientific, and technological value.
Official projections estimate that every additional gigawatt of installed data-centre capacity could generate around €8bn in initial investment, as well as significant recurring economic activity and approximately 3,300 direct jobs during the operational phase.
This is a strategic move from the country’s leaders, who seek to capitalise on Portugal’s prime geographic position between Europe, Africa, and the Americas.
The country already has several major submarine cable connections, while Google completed its new Nuvem cable linking Portugal with the United States earlier this year. The 7,000-kilometre cable is designed to increase transatlantic data capacity and increase Portugal’s weight in Europe's digital infrastructure.
Sines, just over 100 kilometres south of Lisbon, is emerging as one of the most important locations for this strategy. The 1.2GW Start Campus development is among the largest projects in the country, and is expected to play a significant role in the expansion of AI and cloud infrastructure.
The government has also backed the development of AI infrastructure directly. In June, it announced plans for Portuguese participation in a European AI Gigafactory project, with the potential for up to €200m in initial public investment matched by European funding. The overall Portuguese component of the project has been estimated at around €4bn, including private investment.
Despite the government's bold strategy, questions remain over the practical impact of the 44 projects. The information provided so far does not establish precisely which projects will proceed, where they will be located, how much grid capacity they will ultimately consume, or how the cost of any necessary electricity-network upgrades will be shared.
Source: Público
Photo credit: Tomorrow Magazine
