Data Centers in Castanheira Do Ribatejo
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Castanheira Do Ribatejo – Strategic Iberian Hub for Global Connectivity
Executive Summary
Castanheira Do Ribatejo, located just north of Lisbon, is an emerging data center market ideal for enterprises targeting the Iberian Peninsula and leveraging unique subsea cable routes. It provides a strategic location for disaster recovery and primary compute infrastructure that requires low-latency access to Europe, Africa, and the Americas. This market is a strong choice for businesses prioritizing resilient power and a stable operating environment.
Castanheira Do Ribatejo: At A Glance
Factor | Rating / Data | Notes |
---|---|---|
Global Connectivity Grade | B | Strong subsea cable access via nearby Lisbon for transatlantic and African routes. |
Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest cloud regions are in Madrid; private network extensions are available. |
Power Cost | €0.14 – €0.18/kWh | Mix: ~88% Renewables. Favorable rates for a European capital region. |
Disaster Risk | Very Low (1.9/10) | Minimal exposure to significant natural hazards enhances operational uptime. |
Tax Incentives | No | No specific data center incentives are currently offered by the government. |
Sales Tax | 23% VAT | Standard rate applied to goods and services, as of September 2025. |
Network & Connectivity Ecosystem
Portugal's position as a nexus for critical subsea cables makes the Lisbon area, including Castanheira Do Ribatejo, a key interconnection point. The market offers a solid foundation for building resilient, high-performance network architectures.
Carrier Density & Carrier Neutrality The region is served by over 20 national and international carriers, as of September 2025. Carrier-neutral facilities provide the necessary diversity for creating redundant network paths to ensure high availability.
Direct Cloud On-Ramps There are no direct, native cloud on-ramps within Castanheira Do Ribatejo, as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure through dedicated private network links to hubs in Madrid. These connections offer secure, low-latency alternatives to the public internet.
Internet Exchange Points (IXPs) The primary Internet Exchange for the region is GigaPix in Lisbon. Peering at GigaPix reduces latency for traffic within Portugal and improves connectivity performance for end-users across the country.
Bare Metal Bare metal server options are available in the broader Lisbon metropolitan area. Providers such as Hivelocity offer dedicated server solutions for workloads requiring maximum performance and control.
Power Analysis
Portugal’s power infrastructure is both reliable and increasingly green, providing a stable and sustainable environment for data center operations.
Average Cost Of Power Industrial electricity rates typically range from €0.14 to €0.18 per kWh, as of September 2025. The country's power mix is dominated by renewables (~88%), which helps stabilize long-term energy costs and supports corporate sustainability goals.
Power Grid Reliability The national power grid is well-engineered and reliable, particularly in the industrial zones surrounding Lisbon. Data centers in this area benefit from modern substation architecture and redundant power feeds, supporting uptime for critical operations.
Market Access, Business & Tax Climate
The business environment in Portugal is stable and integrated within the European Union, offering straightforward access to a wide range of markets.
Proximity To Key Business Districts Data centers in Castanheira Do Ribatejo are situated within a major logistics and industrial corridor, approximately 30 kilometers from Lisbon's central business district. This location offers easy access while avoiding the congestion of the city center.
Regional Market Reach This market effectively serves the entire Iberian Peninsula. Its key advantage is its strategic location at the landing point of major subsea cables, offering some of the lowest-latency routes from Europe to South America and Africa.
Tax Advantage For Data Centers While Portugal does not offer specific tax incentives for data centers, its corporate tax structure is competitive within the EU. The country's stable political and economic climate provides a predictable financial environment for long-term investments.
Natural Disaster Risk
Portugal has a very low natural disaster risk profile, with an INFORM Risk score of 1.9 out of 10, as of September 2025. This low-risk environment minimizes the threat of service disruptions from natural events.
The primary environmental hazards to consider in the region include:
- Coastal & River Flood: The area is near the Tagus River estuary, giving it a moderate flood risk score.
- Tsunami: The nation's Atlantic coast carries a tsunami risk, though facilities inland are significantly insulated from direct impact.
- Earthquake: The region has moderate seismic activity.
- Drought: Portugal can experience periods of drought, which primarily impacts agriculture and water management.