Senators urge Department of Energy to reinstate cancelled Puerto Rico resilience fund projects

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Martin Heinrich, Ranking Member of the Senate Committee on Energy and Natural Resources | Official website

Senators urge Department of Energy to reinstate cancelled Puerto Rico resilience fund projects

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U.S. Senator Martin Heinrich, Ranking Member of the Senate Energy and Natural Resources Committee, joined by Senator Patty Murray and Puerto Rico Resident Commissioner Pablo Hernández, has sent a letter to the Department of Energy (DOE) criticizing its recent decision to cancel energy projects under the Puerto Rico Energy Resilience Fund (PR-ERF). The letter was co-signed by 17 other lawmakers.

The group expressed strong opposition to DOE’s move, which involved cancelling remaining PR-ERF projects on January 9, 2026. At that time, $364.3 million in funds had not yet been disbursed. The DOE justified the cancellation by stating that “continuation is not in the best interest of the Federal Government.” However, lawmakers stated that none of the awardees violated their contracts and argued that “the cancellation of the obligated contracts was illegal.”

In their communication to Secretary Wright at DOE, Heinrich and his colleagues pointed out that Congress authorized $1 billion for PR-ERF through legislation passed in fiscal year 2023. Projects were awarded starting in 2023 with an aim to support vulnerable households in Puerto Rico by providing grants for renewable energy systems and related technologies.

The cancelled awards amounted to about $539 million; however, approximately $174.8 million had already been distributed before termination. According to lawmakers: “Award recipients relied on DOE’s commitment to its signed contracts in good faith by hiring workers, securing equipment, and promising families relief from persistent power outages—only to have the Department abruptly pull the rug out from under them in order to score political points.”

The letter further states: “Congress recognized that centralized grid investments alone failed to reach vulnerable households—and that distributed energy resources were necessary to protect the lives, health, and economic security of all Puerto Ricans when outages occur. This was enshrined in statute, which explicitly says funding shall be made available ‘including grants for low- and moderate-income households and households that include individuals with disabilities for the purchase and installation of renewable energy, energy storage, and other grid technologies.’”

Lawmakers argue this action contradicts Congressional intent and breaks promises made to Puerto Rico residents who still face frequent blackouts and high electricity costs.

In conclusion, they called on DOE to reverse its decision: “We request that the Department immediately reverse course and reinstate the cancelled PR-ERF awards so that projects proceed as Congress intended.”

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