The U.S. Department of Energy (DOE) has announced the reallocation of up to $365 million to address Puerto Rico’s ongoing electricity grid challenges. The funding aims to support repairs and emergency measures intended to improve grid stability and strengthen critical infrastructure on the island, home to 3.2 million Americans.
The DOE’s Grid Deployment Office will oversee the administration of these funds through the Puerto Rico Electric Power Authority (PREPA). Years of neglected maintenance, management issues, and severe storms have led to frequent outages and higher energy costs for residents and businesses in Puerto Rico.
This move comes as part of President Trump’s Executive Order 14156, which redirects resources with a focus on reinforcing essential infrastructure and providing reliable power across Puerto Rico.
“For too long Puerto Ricans have endured instability in their power system with outages and inflated costs,” said U.S. Secretary of Energy Chris Wright. “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 highlighted the importance of a secure electric system for basic needs and economic growth: “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,” she said. “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 they would continue working closely with Governor González-Colón and local energy authorities on these stabilization efforts.
The allocated funding comes from the Puerto Rico Resilience Fund (PR-ERF), originally awarded by the Biden Administration in December 2024 for rooftop solar projects expected to begin construction in 2026. In May, DOE indicated its intent to redirect these funds toward broader grid upgrades that could provide more immediate benefits for millions rather than thousands of residents while aiming for greater taxpayer value.
