The US Department of Energy (DOE) has announced an $861.3m loan guarantee to construct two solar photovoltaic (PV) farms and battery energy storage systems in Puerto Rico.
The facilities will be in the municipalities of Guayama and Salinas and aim to provide clean, reliable energy to communities across the island. The project is led by Clean Flexible Energy, LLC – a joint venture between The AES Corporation and TotalEnergies Holdings USA.
“President Biden and Vice President Harris understand that access to reliable energy is a matter of life or death—especially in the face of climate-change fuelled natural disasters,” said US Secretary of Energy Jennifer M. Granholm.
“Today’s announcement will help add up to 200 MW of solar generation and another 285 MW of reliable storage capacity to Puerto Rico’s electric grid to improve the grid’s resilience and help reduce energy costs that have remained too high for too long for too many families—all while enabling the Commonwealth to reach its ambitious climate goals.”
The new facilities are expected to add up to 200 MW of solar generation and 285 MW of energy storage to Puerto Rico’s electric grid, enhancing its resilience and lowering energy costs.
The project, known as Project Marahu, will generate enough energy to power approximately 43,000 homes and reduce carbon emissions by 2.7m tons annually. It is expected to replace coal-based power with renewable energy, helping Puerto Rico meet its goal of a 100% renewable energy grid by 2050.
The project will create around 750 construction jobs and 50 permanent positions once operational.
In line with the administration’s Justice40 initiative, this project aims to ensure that 40% of the benefits flow to disadvantaged communities, many of which are in Puerto Rico.
DOE continues to support efforts to strengthen the island’s energy infrastructure, with additional funding provided through the Puerto Rico Energy Resilience Fund.
