The U.S. Department of Energy (DOE) has announced a reallocation of up to $365 million to support Puerto Rico’s power grid, aiming to address long-standing issues and provide more reliable energy for the island’s 3.2 million residents. The funds will be managed by DOE’s Grid Deployment Office and administered through the Puerto Rico Electric Power Authority (PREPA), focusing on essential repairs and emergency measures to improve grid stability and reinforce critical infrastructure.
Puerto Rico’s electricity system has faced significant challenges over the years, including deferred maintenance, mismanagement, and repeated damage from storms. These problems have led to frequent outages and higher costs for both families and businesses on the island.
The funding shift comes as part of President Trump’s Executive Order 14156, which directs resources toward strengthening key infrastructure in Puerto Rico. According to U.S. Secretary of Energy Chris Wright, “For too long Puerto Ricans have endured instability in their power system with outages and inflated costs. The Department of Energy is putting the needs of Puerto Rico’s residents first and taking decisive action to restore reliability, protect essential services, and build an energy future they can depend on.”
Puerto Rico Governor Jenniffer González-Colón commented on the significance of this initiative: “A reliable, secure electric system is essential to meet citizens’ basic needs and promote economic development, including our initiatives to bring manufacturing back to Puerto Rico and revitalize the American industrial base. Since day one, President Trump and Secretary Wright have recognized this, making it a priority to support our efforts to stabilize the island’s power grid and prevent future outages. The Department of Energy’s $365 million award is further proof of this commitment. These funds will help support emergency activities to increase grid reliability and repair generation assets, delivering immediate results that will benefit all 3.2 million Americans in Puerto Rico.”
DOE officials stated that they will continue collaborating with Governor González-Colón and local energy authorities in their efforts to stabilize Puerto Rico’s electric grid.
The funding comes from the Puerto Rico Resilience Fund (PR-ERF). It was originally allocated by the Biden Administration in December 2024 for rooftop solar projects set for construction in 2026 but has now been redirected following DOE’s May announcement about its intent to change course with these resources. This redirection is expected to expand access to reliable power across millions rather than thousands of people on the island while providing taxpayers with a more immediate return on investment.
