Blackout test for trading. Who can survive without power?
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Even a minor power failure can have serious consequences—disruptions to systems, downtime, and even losses of up to 17 percent of annual revenue1. A large-scale blackout, such as the one that paralyzed Spain and Portugal, is all the more threatening. Similar incidents occurred in Prague and Vienna, where local failures disrupted public transport and residents’ daily lives. Power outages also apply to trade. They impact stores across many areas: from checkouts and terminals to warehouses and customer service. How does the retail industry deal with such situations? Do customers have anything to fear? And what can retailers do to better protect themselves for the future? The expert from Exorigo-Upos explains.
At the end of April, there was a sharp collapse of the power grid in Spain. Within seconds, 15 gigawatts of power disappeared from the system, paralyzing much of the Iberian Peninsula. We also encountered similar issues, albeit on a smaller scale, in our backyard. During the COVID-19 pandemic, as millions of people switched to remote work and learning, energy consumption increased sharply. In many regions of the country, there were several-hour local power outages.
– A blackout can occur for various reasons: technical failures, network overload, or the growing number of cyberattacks, which we have recently observed in Poland. Atmospheric phenomena are also among the key threats, especially a long-term lack of precipitation. Low water levels in rivers make it difficult to cool power plants, which in summer, with high energy demand, can lead to overloads and the need to temporarily disconnect consumers. Floods and other extreme weather events – such as those that occurred last year in the southwest of the country – can also cause local disturbances, says Michał Tomaszewski, CISO and head of the Security Team at Exorigo-Upos.
Seismic phenomena remain an additional risk factor. In July this year, a strong earthquake occurred in Kamchatka, followed by a tsunami. According to preliminary reports, the natural disaster caused power outages in some coastal regions of Russia and Japan. These incidents show that the scale of the blackout threat is not limited to local or European issues.
Recently, there have also been new, large energy failures in Europe. In northern Portugal, blackouts occurred in September, leaving more than 80,000 people without electricity2. A massive blackout also took place in the German capital — the police indicated that there may be political motives in the background.
In the event of a sudden blackout, the effects are felt immediately. A power outage leads to the paralysis of key infrastructure – people can get stuck in elevators, subway cars, or buildings equipped with automatic door closing systems, without the possibility of quick evacuation. At the same time, traffic lights stop working, causing traffic chaos, increasing accident risk, and significantly delaying emergency response. The problems are exacerbated by the loss of connectivity. Mobile base stations operate only briefly on backup power, after which coverage is lost and mobile internet access is unavailable.
Blackout also has an impact on trading. In the event of a power outage, customers may be stuck in stores. Nevertheless, retail chains have emergency procedures and security measures in place to manage such situations efficiently.
However, this is only one side of the problem. What about people who have just tried to pay without having cash with them? During a power outage, payment terminals and banking applications stop working. As a result, people who use only electronic payments become helpless – has the transaction taken place?
– First of all, it should be strongly emphasized that both the consumer and their funds in such a situation are completely safe – reassures Robert Andrukiewicz, Member of the Management Board of Fiserv Polska. Depending on the specific situation, e.g. when exactly the power supply was turned off, several different scenarios for the transaction are possible. Once the payment terminal confirms the transaction, we can be confident that our bank has accepted the payment and that the goods or services will be delivered. In the absence of such confirmation, an alternative payment method should be considered. However, in very exceptional circumstances, our bank could accept the payment, but such information did not have time to reach the terminal. In this and similar situations, the consumer can always use the so-called chargeback procedure, i.e. submit a claim to the bank for a full refund of the unjustifiably debited amount from the card account.
Anti-blackout package
In response to the threat of blackouts, Polskie Sieci Elektroenergetyczne (PSE) presented the so-called “anti-blackout package”. The document contains 21 recommendations across three areas: energy system management, cybersecurity, and public communication. The changes require an amendment to the energy law and have been submitted for public consultation. The government has identified energy security as a priority and plans infrastructure investments. PSE has signed an agreement with BGK for over PLN 10.8 billion in funding from the Energy Support Fund, financed under the National Recovery Plan. The plan assumes the construction of more than 5,000 km of transmission lines over the next 10 years to improve the stability of the energy system and enable the connection of new RES sources and a nuclear power plant.
Blackout in trading – how to minimize the risk of losses?
In the face of the growing threat of blackouts, companies should assume that the worst-case scenario is real – and prepare accordingly. Both technologies that secure infrastructure and clearly defined procedures for responding to crisis situations are crucial.
The basis for data protection is the creation of automated cloud backups. Cloud backup and data recovery solutions enable quick access to information even if on-premises infrastructure is lost. Importantly, cloud service providers have their own backup power systems and additional data centers, which significantly increases security.
Companies with their own servers should consider moving some resources to external data centers or adopting a hybrid model. Professional server rooms offer advanced UPS systems, high-efficiency generators, cooling, and physical security to minimize downtime risk.
Consider investing in devices that maintain power during a power failure, such as UPSs that instantly switch devices to battery power. This allows critical IT infrastructure to be safely shut down or run for short periods, which is critical to business continuity. This is complemented by EPS stations, which provide enough electricity to keep less critical devices such as printers and refrigerators running until power is restored.
– Technology alone is not enough. Equally important are emergency scenarios and ready-made operating procedures. Every company should have a plan in place for a blackout, covering not only technical issues and the safe shutdown of systems but also rules for remote work, evacuation, and crisis communication. It is also crucial to regularly test these procedures and check the reliability of the equipment, because implementation itself is just the beginning, adds Michał Tomaszewski.
In the era of widespread digitization, blackouts are no longer just a problem for the energy sector – they are becoming a real threat to the continuity of companies’ operations. Today, electricity is not only a source of light but also the foundation of the company’s functioning. Preparedness for power outages should be an integral part of any modern business security strategy.
[1] Blackout in a company – 3 ways to survive a lack of electricity – Infor.pl
