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DOE Finalizes $489.4M Loan for 220 MW of Battery Storage in Puerto Rico

The change signals a federal shift toward dispatchable power over new PV deployments on the island.

Overview

  • The Department of Energy closed the $489.4 million loan on Wednesday, Aug. 5, 2026, with Amanecer/Dawn Puerto Rico, a subsidiary of Pattern Energy.
  • The financing will fund 220 megawatts of battery energy storage in Arecibo and Santa Isabel and is expected to provide backup power for more than 100,000 customers.
  • DOE projects the batteries will avoid roughly 13 million cumulative customer interruption hours and lower electricity bills by about $312.5 million over 25 years.
  • The finalized deal drops the 70 MWac solar plant that was part of a Biden-era conditional package and adds language enabling a potential pathway to future natural-gas generation.
  • Officials say the systems will use U.S.-made battery technology, but the loan notice does not disclose MWh capacity, discharge duration, or detailed construction timelines and locations.