US to Invest $325 Million in Puerto Rico’s Power Grid, Amid Chronic Power Outages

Electricity shortages have been an ongoing problem for Puerto Rico, and now the US government is making moves to mitigate the issue through improved renewable energy infrastructure.

$325 Million in Solar Funding

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The US Department of Energy is set to send $325 million in federal funding to Puerto Rico to boost solar infrastructure amid widespread power outages, according to an announcement made on Thursday. 

Back by the DOE

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The funding is part of a program backed by both the DOE and federal government to shore up energy resilience during extreme weather periods in communities across the US territory.

Chronic Blackouts Across PR

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It’s welcome news for the Caribbean island, which has been battling chronic blackouts for years now, due to crippled electricity infrastructure following 2017’s Hurricane Maria and 2022’s Hurricane Fiona.

Providing Solar Power

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While millions of single-family households have been affected by these blackouts, this round of DOE funding aims to provide solar and battery storage installations for healthcare centers, community centers, and communal areas in subsidized, multi-family housing complexes.

Split Funding

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$180 million of the funding will go to community healthcare facilities, and the remaining $140 million will be given to projects targeting multi-family housing complexes.

Not Just for Households

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“Households aren’t the only place you need power during and after an emergency,” said U.S. Energy Secretary Jennifer Granholm concerning the blackouts during a visit to Puerto Rico on Wednesday and Thursday.

Outraged Residents

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The lack of reliable electricity has been a continual source of outrage for residents and businesses across the country. With a population of 3.2 million and 40% of people living in poverty, many Puerto Ricans have had no other option but to go without.

Thousands Left Without Power

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Power outages have hit especially hard recently, with one southern coastal town being hit by blackouts last month, leaving more than 10,000 residents without power.

“Unacceptable” Outages

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Shortly after, another widespread power outage cut electricity for more than 350,000 people. “It is unacceptable,” Granholm said in reference to the recent outages. 

Concern for Healthcare

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These blackouts are a particular concern for hospitals and other healthcare facilities, many of which cannot afford backup generators to power, and the individuals who rely on electric-powered medical equipment in their homes like oxygen machines and dialysis devices.

Lack of Investment

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Failing energy infrastructure in Puerto Rico was a problem even before Hurricane Maria, due to lack of investment from Puerto Rico’s Electric Power Authority. 

Luma Energy

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Power company Luma Energy has launched a $4 million project to transport and install temporary generators and mega transformers in areas most affected by recent blackouts, but internal issues led to the failure of the project. 

Rising Renewable Energy Infrastructure

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Now, renewable energy infrastructure and supply have become much more important for the island territory as an alternate means of providing power. Prior to Hurricane Maria, only 3% of Puerto Rico’s power generation included renewable energy sources. Now, that rate has risen to 9%.

The Importance of Renewables

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“What is the most abundant and less expensive form of power? It is renewables. The sun is free. You don’t have to pay for imported diesel or imported fossil fuels,” said Granholm during a visit to the US Virgin Islands prior to landing in Puerto Rico.

In Addition to $900 Million

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The $325 million in funding will be provided in addition to a previously announced $900 million loan from the DOE that will go toward building two solar farms in the towns of Guayama and Salinas. 

43,000 Homes Targeted

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Through these two major solar projects, the DOE and the Clean Flexible Energy LLC – which is spearheading the project – hope to bring solar energy to approximately 43,000 homes this year. 

Beyond Housing

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This recent $325 million funding aims to expand those efforts beyond just housing, as chronic blackouts affect commercial, communal, and governmental facilities as well as residential. 

Programa de Comunidades Resilientes

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“Through the Programa de Comunidades Resilientes, we’re expanding solar access to community healthcare facilities and subsidized multifamily housing, helping bring resilience and safety to even more families on the Island,” Granholm announced in a written statement.

The US Virgin Islands Too

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Granholm paid a visit to both Puerto Rico and the US Virgin Islands this week to address widespread power outages in both regions.

State of Emergency

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Like Puerto Rico, the US Virgin Islands Water & Power Authority is struggling with energy infrastructure that lacks investments and maintenance, with St. John and St. Thomas experiencing island-wide blackouts, and Gov. Albert Bryan Jr. declaring a state of emergency earlier this year.

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