ERSE Urges Accelerated Smart Grids and Renewables Integration

February 20, 2026

The Regulatory Authority for Energy Services (ERSE) warns of the need to accelerate the development of intelligent electricity grids in Portugal and to reinforce the integration of renewable energies, pointing to gaps in monitoring and control of electrical installations.

The conclusions are contained in the Monitoring Report on Transmission and Distribution Networks, released yesterday by the regulator, which analyzes the performance of the sector’s operators, REN and E-Redes, between 2023 and 2024.

According to the document, “although the positive evolution revealed by the analysis for each of the evaluated dimensions, the pace of the energy transition, the growing complexity of the system, and the apparent need for resilience and security reinforce the importance of deepening grid intelligence across its various facets.”

The report also addresses the Iberian blackout of April 28, 2025, noting that the incident “highlighted the need to strengthen observability and controllability of installations connected to the grid.”

Limitations were identified in the integration of decentralized generation and in automatic load shedding plans, especially with regard to high-power consumers such as data centers and electric vehicle charging points.

“The transition to a more sustainable system depends, to a large extent, on the networks’ ability to accommodate these forms of decentralized production, to integrate new storage solutions, and, at the same time, to ensure the stability and quality of electricity supply,” reads the report.

ERSE also stresses that grid intelligence (‘smart grids’) is “an essential condition for enabling decarbonization goals: only through digitalization, real-time or near-real-time monitoring, and dynamic management mechanisms of demand and supply will it be possible to optimize the use of energy resources, reduce losses, facilitate the integration of electric vehicles, and promote active consumer participation.”

Among the recommendations, ERSE suggests rethinking the automatic load shedding plans and ensuring voltage and reactive power requirements at the most significant production installations.

The regulator also concluded that the intelligent management of networks should also rest on the active participation of the respective users.

“This participation should be encouraged, rewarding users for the services provided, and facilitated by reformulating procedures and requirements to adapt to new types of agents,” it argues.

In this sense, it suggests that the market and agents are responsible “for the development of commercial offers that bridge the gap between users and operators.”

Thomas Berger
Thomas Berger
I am a senior reporter at PlusNews, focusing on humanitarian crises and human rights. My work takes me from Geneva to the field, where I seek to highlight the stories of resilience often overlooked in mainstream media. I believe that journalism should not only inform but also inspire solidarity and action.