A Resilient and Cost-Effective Energy Future for Puerto Rico

The briefing challenges three myths regarding the role of renewables and distributed energy resources (DERs) in Puerto Rico's grid recovery. It asserts that renewables and energy storage are now cost-competitive with fossil fuels, with energy storage costs dropping 70 percent between 2010 and 2016. The text highlights that renewable infrastructure proved more durable than transmission networks during the 2017 hurricanes, noting that 90 percent of utility-scale solar and wind capacity remained operational or ready. Furthermore, it argues that these technologies can be deployed quickly, citing examples of large-scale storage projects completed in months, and recommends a coordinated effort by the Puerto Rico government and utility to prioritize these projects for a more resilient energy future.

• Renewable energy and energy storage have become cost-competitive with fossil fuels due to global price declines. Energy storage costs decreased by 70 percent from 2010 to 2016, with a further 50 percent reduction projected by 2020. Energy efficiency is identified as the most cost-effective resource, with average total resource costs in the U.S. under $0.05/kWh, which is lower than Puerto Rico's marginal generation costs.
• Renewable energy infrastructure demonstrated higher resilience than traditional grid networks during the 2017 hurricanes. In Puerto Rico, 90 percent of utility-scale wind and solar photovoltaic capacity was either operating or ready to operate, and between 75% and 95% of residential solar systems remained physically intact.
• New energy technologies can be deployed rapidly to address grid emergencies. Examples include the deployment of over 70 MW of lithium-ion storage in six months during the first half of 2016 by Tesla, Greensmith Energy, and AES Energy Storage, and a 120 MWh battery built by AES in five months for San Diego Gas & Electric.
• The Puerto Rico Electric Power Authority (PREPA) and the U.S. Army Corps of Engineers (USACE) are leading reconstruction, but the document argues for a coordinated effort to fast-track renewable and distributed energy projects to ensure long-term sustainability and resilience.

APA

RMI (2017). A Resilient and Cost-Effective Energy Future for Puerto Rico. https://rmi.org/resources/resilient-cost-effective-energy-future-puerto-rico/

Chicago

RMI. A Resilient and Cost-Effective Energy Future for Puerto Rico. 2017. https://rmi.org/resources/resilient-cost-effective-energy-future-puerto-rico/.

Wikipedia

{{cite report |author=RMI |title=A Resilient and Cost-Effective Energy Future for Puerto Rico |date=19 December 2017 |url=https://rmi.org/resources/resilient-cost-effective-energy-future-puerto-rico/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmi2017resilient, author = {{RMI}}, title = {{A Resilient and Cost-Effective Energy Future for Puerto Rico}}, institution = {RMI}, year = {2017}, month = dec, url = {https://rmi.org/resources/resilient-cost-effective-energy-future-puerto-rico/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }