DOE approves $489.4 million battery loan for Puerto Rico, drops solar component
The Department of Energy finalized a $489.4 million loan to boost battery storage on Puerto Rico’s grid, removing the portion that would have funded solar projects.
The U.S. Department of Energy moved ahead with a $489.4 million loan to Amanecer Puerto Rico, a unit of Pattern Energy, to install 220 MW of battery storage in Arecibo and Santa Isabel, providing backup power for more than 100,000 residents and targeting roughly 13 million customer-interruption hours. The loan mirrors a conditional commitment announced in January 2025 that originally covered three battery projects totaling 180 MW and a 70-MW solar installation.
The latest approval, issued under the Trump administration, excludes any solar component and instead mentions a future role for reliable, dispatchable natural-gas generation. EDF Director Greg Beard highlighted the expected benefits for grid resilience, cost reduction, and American manufacturing. The shift aligns with Energy Secretary Chris Wright’s broader push to prioritize fossil-fuel projects over renewable sources, citing concerns about intermittency and capacity contribution.
Why it matters
The decision reshapes Puerto Rico’s recovery strategy, favoring battery and fossil-fuel solutions over solar, affecting energy costs and grid reliability.
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