U.S. Energy Department Invests About $453 Million to Deploy Solar and Battery Storage in Puerto Rico

The U.S. Energy Department on July 31 announced a significant initiative, making available up to $453.5 million from the Puerto Rico Energy Resilience Fund to accelerate the adoption of residential rooftop solar PV and battery storage systems throughout the region. The funding is part of a $1 billion effort focused on the island’s most vulnerable residents, helping increase resilience and lowering energy bills for up to 40,000 households. This funding round will encompass consumer protection and education efforts to ensure sustainable and long-term utilization of solar installations, while also resulting in more affordable energy bills, thereby enhancing the region’s resilience in the face of the climate crisis. Moreover, the introduction of the Solar Ambassador Prize will engage community groups in identifying eligible households to progress towards the goal of achieving a resilient grid powered entirely by 100 percent renewable energy sources.

The $ 1 billion Puerto Rico Energy Resilience Fund, or PR-ERF, established in December 2022, aims to enhance energy resilience for vulnerable households and communities in Puerto Rico. The island strengthened its renewable portfolio standard in 2019, adopting a goal of 100 percent renewable energy by 2050. Local collaboration and feedback have been crucial in its development. The current funding opportunity of $450 million aims to install solar PV and battery storage systems for very low-income single-family households facing frequent outages or with energy-dependent disabilities. Eligible entities for the PR-ERF funding encompass private industry, non-profit organizations, energy cooperatives, educational institutions, and state and local governmental entities. Moreover, the funding will be directed towards supporting consumer protection initiatives, offering residents who receive solar PV and battery storage installations ongoing system education, training, and consumer protection support.

Applications for the PR-ERF funding opportunity are due on Sep. 18, 2023. The expected date for selection notifications is due on Oct. 26, 2023, and the expected date for award negotiations is due on Dec. 27, 2023. The announcement for the second round of PR-ERF funding will be made at a later date.

The department introduced the Solar Ambassador Prize for local organizations in Puerto Rico to identify qualifying households and assist them in enrolling in the residential solar PV and battery storage installation program. Up to 20 community organizations will receive $3.5 million to conduct outreach and engagement, with additional compensation based on the number of enrolled beneficiaries. The deadline for applications is Sept. 25, 2023.