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Companies count the costs of blackouts in Spain and Portugal

Business associations and companies started counting the costs as factories, hotels, and stores in Spain and Portugal slowly returned to normal after the massive blackout of the previous day.

CEOE, the main Spanish business lobby, estimated that the outage could shave off 1.6 billion euro ($1.82 billion) or 0.1% of gross domestic product. They noted it would take a week or longer for oil refineries to fully resume their operations, and some industrial ovens were damaged.

The meat industry estimates losses up to 190 millions of euros due to the loss of power in fridges, among other things. In some parts of Spain, the blackout lasted for more than 12 hour.

The sector's association ANGED reported that most food stores operated normally on Tuesday. However, they were still assessing the amount of produce that had gone bad, or how much money had been lost due to card payment systems going offline and ATMs being out of service.

Not everyone had the cash to purchase water, canned foods, flashlights and radios.

Bank of Spain has confirmed that payments via card have resumed and ATMs are working.

Volkswagen's Navarra plant, which employs 4,600 workers, only resumed production at 2.30 p.m. Tuesday, as the industry was facing some of its biggest challenges. A company spokesperson confirmed that the factory had lost about 1,400 vehicles since Monday.

Volkswagen's Spanish SEAT brand also reported that production at its Barcelona factory, where 14,000 workers work, had not been fully restored after the power was restored at 1 am local time.

Other sectors such as Spain’s vital tourism industry were mostly unaffected.

The telecommunications failure has created a "very complex situation", said Jorge Marichal, the chairman of Spain's Hotel Association CEHAT.

Many guests sought refuge in hotels. He said that we had a good occupancy rate and were able to assist some public agencies who requested help in accommodating people.

Some companies, hoping for a quick fix to the blackout kept their staff on site for hours. Others, like industrial manufacturer Thune Eureka, in northern Spain sent workers home earlier during the blackout.

The company's president, Adrian Garcia Aranyos said that his head of IT was a former power grid supervisor in Venezuela, and this had given them an unexpected advantage.

"He knew that it would take at least eight... He said that we made a quick decision because of him after an hour without power. $1 = 0.8771 Euros (Reporting and Editing by Andrei Khalip, Barbara Lewis, Aislinn laing, Jesus Aguado)

(source: Reuters)