The U.S. Department of Energy has announced the availability of $365 million to facilitate the installation of solar and battery storage systems in homes and healthcare centers throughout Puerto Rico. This initiative aims to enhance the resilience of the island's energy infrastructure and address the persistent issue of power outages that have plagued the region.
Of the total funding, $190 million is allocated to Puerto Rico's Housing Administration and a private company for the implementation of solar and battery solutions in public housing common areas and subsidized multifamily housing properties. An additional $175 million is designated for specific healthcare facilities and dialysis centers.
Over the past few years, the U.S. government has committed significant financial resources to various projects in Puerto Rico, including the development of solar farms and the installation of solar panels on low-income households. These efforts are part of a broader strategy to modernize the island's energy infrastructure and promote sustainability.
The announcement comes at a critical time for Puerto Rico, as the territory grapples with ongoing power outages exacerbated by the devastation caused by Hurricane Maria in 2017. The storm, classified as a powerful Category 4 hurricane, severely damaged the electric grid, leading to prolonged disruptions in electricity supply.
In addition to the impact of natural disasters, the electric grid in Puerto Rico has suffered from a lack of maintenance and underinvestment over several decades. These systemic challenges have contributed to the vulnerability of the energy system and underscore the urgent need for comprehensive upgrades and improvements.
Furthermore, Puerto Rico's Electric Power Authority is facing significant financial hurdles, with more than $9 billion in debt to restructure. This debt burden, the largest among public agencies on the island, has posed substantial challenges to the financial stability and operational efficiency of the authority.