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THE ROLE OF RENEWABLE AND DISTRIBUTED ENERGY IN A RESILIENT AND COST-EFFECTIVE ENERGY FUTURE FOR PUERTO RICO

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This briefing by the Rocky Mountain Institute (RMI) assesses the potential for renewable and distributed energy technologies to support the rebuild of Puerto Rico's electrical grid following the destruction caused by Hurricanes Irma and Maria in 2017. The document argues that solar PV, wind, battery storage, and microgrids are now cost-competitive and can enhance the island's energy resilience and reliability compared to traditional fossil-fuel-based systems.

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  • Renewable energy has become cost-competitive with existing fossil fuel generation in Puerto Rico due to global price declines. Between 2009 and 2017, utility-scale solar and wind prices decreased by 86 percent and 67 percent, respectively. Recent regional projects range from $0.08/kWh to $0.15/kWh for solar and $0.07/kWh to $0.20/kWh for wind, whereas existing fossil fuel operating costs in Puerto Rico range from $0.09/kWh to $0.28/kWh.
  • Energy storage costs fell 70 percent from 2010 to 2016, making it a viable option for reducing reliance on imported fossil fuels. In Puerto Rico, a long-duration battery-based storage system integrated with solar PV is estimated to provide energy for approximately $0.095–$0.115/kWh.
  • Microgrids can provide a cost-effective alternative to storm-hardening remote parts of the grid. While they carry a cost premium—with a U.S. median price of $2,971/kW—solar and battery-based microgrids in Puerto Rico could be deployed for $0.18–$0.24/kWh for remote communities or small-scale systems (<1 MW) at large businesses.
  • Energy efficiency represents a significant and low-cost resource for Puerto Rico. A 2013 study by University of Puerto Rico Mayagüez researchers indicated a potential for 26 percent energy savings over 10 years. Regional Caribbean efficiency portfolios range from $0.05-$0.07/kWh, and lighting programs cost approximately $0.02/kWh.
  • Renewable energy generators proved highly resilient during the 2017 hurricanes, while the transmission and distribution networks failed. In Puerto Rico, 90 percent of utility-scale solar PV and wind capacity remained operating or ready to operate, and 75–95 percent of residential solar systems stayed physically intact.
  • New energy technologies can be deployed rapidly to restore power to critical areas. Examples include Tesla's installation of a 100 MW/129 MWh battery farm in South Australia in under 100 days. In Puerto Rico, combined solar and storage projects have already restored power to some businesses and communities within days or weeks following the hurricanes.

Cite the original document

APA
Toussie, I., Dyson, M., Mifsud, A. S., Shwisberg, L., Torbert, R., Doig, S., Gold, R., & Silberg, M. (2017). THE ROLE OF RENEWABLE AND DISTRIBUTED ENERGY IN A RESILIENT AND COST-EFFECTIVE ENERGY FUTURE FOR PUERTO RICO. RMI. https://rmi.org/app/uploads/2017/12/Insight_Brief_Puerto_Rico_Resilient_CostEffective_Energy.pdf
Chicago
Toussie, Isaac, Mark Dyson, Ana Sophia Mifsud, Lauren Shwisberg, Roy Torbert, Stephen Doig, Rachel Gold, and Mark Silberg. THE ROLE OF RENEWABLE AND DISTRIBUTED ENERGY IN A RESILIENT AND COST-EFFECTIVE ENERGY FUTURE FOR PUERTO RICO. RMI, 2017. https://rmi.org/app/uploads/2017/12/Insight_Brief_Puerto_Rico_Resilient_CostEffective_Energy.pdf.
Wikipedia
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BibTeX
@techreport{toussie2017role, author = {Toussie, Isaac and Dyson, Mark and Mifsud, Ana Sophia and Shwisberg, Lauren and Torbert, Roy and Doig, Stephen and Gold, Rachel and Silberg, Mark}, title = {{THE ROLE OF RENEWABLE AND DISTRIBUTED ENERGY IN A RESILIENT AND COST-EFFECTIVE ENERGY FUTURE FOR PUERTO RICO}}, institution = {RMI}, year = {2017}, month = dec, url = {https://rmi.org/app/uploads/2017/12/Insight_Brief_Puerto_Rico_Resilient_CostEffective_Energy.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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