The Department of Energy announced this week that $365 million originally allocated by the Biden administration for solar energy in Puerto Rico will now be redirected under the Trump administration. The funding was initially awarded in late 2024 to support rooftop solar and battery storage projects, with construction scheduled to begin in 2026.
Instead of moving forward with the solar initiatives, the DOE plans to shift the funds toward what it calls more immediate and practical solutions aimed at stabilizing Puerto Rico’s fragile power grid. These efforts are said to focus on enhancing grid resiliency and bringing faster relief to the island, which continues to struggle with frequent and widespread power outages.
DOE Says Focus Is Now on Speed and Impact
The DOE stated that the move will “expand access to reliable power for millions of people rather than thousands and generate a higher return on investment for taxpayers.” Although specific details about the new projects have not been disclosed, the department suggested that the redirection will prioritize emergency activities and critical infrastructure like hospitals and community centers.
The funding shift follows a series of power crises on the island, including a full blackout last month and a more recent outage affecting over 130,000 customers. The DOE’s strategy appears to be centered on immediate fixes rather than long-term clean energy development.
Emergency Orders Favor Fossil Fuels—For Now
Just last week, Energy Secretary Chris Wright issued an emergency order requiring Puerto Rico’s state-owned utility to source more electricity from oil-burning power plants. These plants are known for producing high levels of pollution, including greenhouse gases, raising environmental concerns from critics of the new direction.
The order underscores the administration’s short-term focus on grid reliability, even if it means temporarily relying on fossil fuels. While this might address the island’s urgent electricity needs, it also raises questions about how the move aligns with longer-term sustainability goals.
Solar Advocates Raise Concerns
Supporters of the original solar funding worry that this shift could slow Puerto Rico’s progress toward energy independence and sustainability. With the island’s electric grid still largely dependent on imported fossil fuels, renewable en
Alexander Clark is a financial writer with a knack for breaking down complex market trends and economic shifts. As a contributor to The Daily Overview, he offers readers clear, insightful analysis on everything from market movements to personal finance strategies. With a keen eye for detail and a passion for keeping up with the fast-paced world of finance, Alexander strives to make financial news accessible and engaging for everyone.
