The Department of Energy plans to replace dirty fuel plants in Puerto Rico with solar power and battery storage.

In a move toward more sustainable energy, the DOE announced a project to boost solar power production in the territory.

The Loan Programs Office granted one loan and conditionally granted two to the Puerto Rico Electric Power Authority. These loans, which total over $1.2 billion, will fund the building of solar farms and battery energy storage systems.

These plans would “more than double the LPO’s support for utility-scale solar generation and battery energy storage in Puerto Rico,” according to Elecktrek.

Because Puerto Rico relies on imported fuel, its infrastructure is underfunded, and it is in the path of frequent tropical storms, the cost of energy for citizens is double the U.S. average. This investment could be a massive stride for renewable energy and also lower the cost of living for Puerto Ricans.

Conditions on islands often prove to be ideal for renewable energy sources, and these communities just need funding and infrastructure to take advantage of the natural energy around them. For example, in 2023, an island called El Hierro in Spain’s Canary archipelago made history by relying solely on wind and solar power for a month straight.

Alongside the benefits of reducing carbon pollution that comes from dirty fuels, a switch to renewable energy is also great for people’s wallets. The costs of renewable energy have steeply declined recently, and more renewable sources result in lower energy costs for individuals. 

“LPO provides low-cost financing and a rigorous due diligence process, making it a valuable resource for Puerto Rico as it works to rebuild an affordable, reliable, and clean energy system,” Electrek stated.

The Department of Energy has said that Puerto Rico could “feasibly transition to 100% renewable energy by 2050, but significant system upgrades and investments — guided by meaningful community participation — are needed to get there.”

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