A report by Wood Mackenzie estimates that the accumulated investments in Puerto Rico’s microgrid market, which could allow over 220MW of installed capacity in the next five years, will reach USD 419 million.
Companies are currently competing for the development of multiple clean energy and microgrid projects on the island.
These trends indicate that the capacity for energy generation from microgrids could double by 2024.
Wood Mackenzie’s report was based on the study of current market dynamics, and analysis of operations and planned projects.
Since Hurricane Maria destroyed the island’s energy infrastructure, over 26 microgrids with a capacity of 86MW have been installed. Puerto Rico’s Energy Commission published regulating guidelines for their installation in January 2018.
Political uncertainty and clarity over the infrastructures’ governing authorities had slowed the growth of sector. “However these barriers are expected to be largely resolved by 2020, and we expect significant growth from 2021”, said Isaac Maze-Rothstein, Associate Researcher at Wood Mackenzie Power and Renewables.
Currently, Puerto Rico is the world’s 14th largest microgrid market.