PREB approves rebuild of Naguabo wind farm flattened by hurricane
By The Star Staff
The Puerto Rico Energy Bureau (PREB) has approved an amendment to the power purchase agreement between Punta Lima Wind Farm LLC and the Puerto Rico Electric Power Authority (PREPA) that would pave the way for the reconstruction of the facility destroyed in the 2017 hurricane season.
The project located in the eastern municipality of Naguabo will add 26 megawatts (MW) of new generation from clean and renewable sources. In addition, the cost per kilowatt-hour (kWh) to be paid by PREPA, which filed for bankruptcy in 2017, is to be reduced.
“This project is an important step in the implementation of Puerto Rico’s energy policy,” PREB chairman Edison Avilés Deliz said. “As the entity in charge of directing and implementing this public policy, we are pleased to be able to announce to the people of Puerto Rico that this project, with 26 MW of additional electricity generation, brings us closer to the goal of reaching 100% generation from renewable sources by the year 2050.”
With this amendment to the agreement, the cost per kWh, which prior to the hurricane had reached a total of $0.1577 cents, will be reduced to $0.14728 cents during the first year of operation after reconstruction.
The new base price represents a savings of $42.3 million during the life of the contract compared to what PREPA had negotiated with the firm in 2011. The price of the approved amendment also includes the value of the renewable energy credits.
“With this project, we continue the transformation of the country’s electricity system, with indigenous sources of energy so that what we pay for electricity service stays here, and we assure the consumer of a more stable price,” Avilés Deliz said. “Puerto Rico can be confident that the Bureau will continue to promote these projects and ensure the best interests of the people.”