Gov’t launches tender for 3,000 megawatts of energy generation

By THE STAR STAFF

The Puerto Rico Public-Private Partnerships Authority (P3A) has initiated a new procurement process to expand the island’s energy generation capacity by up to 3,000 megawatts (MW).

The move follows a pause by the Puerto Rico Energy Bureau — the island’s energy regulatory body — on the final two rounds of a six-phase procurement strategy. That initiative aimed to secure around 3,750 MW of renewable energy and 1,500 MW of storage. However, the early rounds saw limited interest, and the third round was scrapped due to pricing concerns. Only one contract emerged from the fourth round, launched in October 2024: a 50-MW battery storage project.

P3 Authority Executive Director Josué Colón Ortiz said the proposed capacity increase would effectively double Puerto Rico’s current energy output and facilitate more consistent maintenance of existing infrastructure.

Economic Development and Commerce Secretary Sebastián Negrón Reichard emphasized the broader significance of the initiative.

“This request for proposals signals our readiness to collaborate and invest in essential infrastructure,” he said. “Expanding generation by up to 3,000 MW will not only bolster grid reliability but also will improve the island’s appeal to investors. It’s a strategic step toward economic development, manufacturing growth, and positioning Puerto Rico as a key location for reshoring. These efforts are vital for job creation, innovation, and building a resilient, competitive future.”

The process officially kicked off Friday with the release of a request for qualifications (RFQ). Proposals must include generation units totaling no more than 400 MW each. The RFQ also encourages flexibility, welcoming a range of reliable and dispatchable technologies that qualify as firm capacity.