The United States Environmental Protection Agency (EPA) froze US$147 million allocated to 38 credit unions in Puerto Rico for solar, electric vehicle and energy efficiency projects, El Dia reported on 21 May 2025. Reports are that some of the funds will be used instead to improve the transmission lines.
Reports are that the US Department of Energy (DOE) is moving ahead with a major initiative to improve power service on the island contracting power generated in the Dominican Republic. A decision to cut red tape procedures seems to be in place prior to the installation of a submarine electric cable between Puerto Rico and the DR.
The submarine cable project intended to transmit electricity from the Dominican Republic to Puerto Rico is advancing steadily, with US federal environmental permits expected to be approved by November 2025, according to Tirso Selman Rivera, director of Caribbean Transmission.
Investors in the Dominican Republic are going ahead with a 470 MW natural gas energy facility, Generadora San Felipe Limited (GSF) in the Punta Caucedo-Boca Chica region. Power would then be generated for Puerto Rico.
This project, known as “Project Hostos,” aims to create an electrical interconnection between the two islands, potentially improving energy reliability and security for both. The Dominican Republic’s plant is strategically located near an LNG terminal, ensuring a reliable fuel supply.
The San Felipe plant relies on advanced equipment and benefits from the expertise of TSK Electrónica y Electricidad S.A., a Spanish company specializing in energy projects. Its strategic proximity to the AES/ENADOM liquefied natural gas (LNG) terminal, with a storage capacity of 250,000 m³, ensures a stable supply chain and improved energy security.
As reported, businesspeople see the initiative as a broader regional dynamic, where neighboring countries invest in modernized energy infrastructure to support economic growth while meeting international climate standards. The Dominican Republic is using this project to strengthen its energy competitiveness and attract more foreign investment in the infrastructure sector.
Natural gas already represents nearly 50% of the Dominican Republic’s electricity production, reflecting a successful transition from liquid fuels to less polluting energy solutions. This transition plays a central role in achieving the Dominican government’s climate objectives while supporting the expansion of renewable energies. A major natural gas power generation facility is also underway for the north of the country.
In 2024, it had been announced that US$365 million would be available to improve solar generation capacity in Puerto Rico.
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El Nuevo Dia
El Nuevo Dia
Energy News
Noticias SIN
22 May 2025