• The San Juan Daily Star

RFP to be issued for PREPA green generation & storage projects

The energy regulator said the Puerto Rico Electric Power Authority’s processes in connection with a Tranche 1 RFP for renewable energy projects suffer “from numerous shortcomings and failed to comply with important directives and milestones” in the island’s long-term energy needs plan.

By The Star Staff

The independent coordinator (IC) hired by the Puerto Rico Energy Bureau (PREB) to advance the use of renewable energy sources announced it will request proposals for renewable energy and energy storage resources for the Puerto Rico Electric Power Authority pursuant to Tranche 2 request-for-proposal projects.

Accion Group wants to procure up to 500 megawatts (MW) of renewable resource generating capacity and 250 MW of energy storage capacity.

The IC and the PREB will host a stakeholder webinar tentatively scheduled for Jan. 28. All interested potential market participants and interested persons are urged to register for the webinar through the IC website, according to a notice published Tuesday on the web page of Accion Group, a mainland firm.

“This RFP will be administered and evaluated by the Accion Group LLC (Accion), the program Independent Coordinator,” the notice said. “Accion hosts a website that serves as the required vehicle for all RFP communications. Interested respondents and each interested party must be registered on Accion’s website to view all associated information related to this RFP.”

The notice advised against approaching the PREB directly, warning that all bids and communications are to be submitted online through the website. The notice said that attempts to contact PREB concerning the RFP may result in the bidder being barred from participating in the RFP.

Puerto Rico can help mitigate the high costs of fossil fuels by investing in renewables, but PREPA has been moving at a snail’s pace in reducing its dependence on those traditional fuels, according to the PREB.

Because of problems and delays in the delivery of renewable energy projects, the PREB in November stripped PREPA of its oversight authority with respect to the requests for proposal (RFPs) for Tranche 2 renewables.

The PREB said “the process conducted by PREPA in connection with the Tranche 1 RFP suffers from numerous shortcomings and failed to comply with important directives and milestones established in the Approved Integrated Resource Plan (IRP),” which is the island’s long-term energy needs plan.

“If the Energy Bureau takes no further action, the implementation of the renewables procurement plan, as well as the integration of renewable energy into the Puerto Rico electrical grid system to meet the applicable Renewable Portfolio Standard, will be at risk,” the regulator said. “There is an urgent need to properly implement the Approved IRP directives regarding the integration of renewables in order to reform the electrical system and meet energy public policy goals.”

Accion Group was hired to take charge of all Tranche 2 projects as an independent coordinator.

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