The Biden administration and Puerto Rico Governor Pedro Pierluisi reached a deal on Wednesday to revamp the U.S. territory’s outdated electric grid and move it towards renewable energy, securing over $12 billion in federal recovery funds, Reuters reported. Three federal agencies — the U.S. Department of Energy, Homeland Security and Housing and Urban Development — said they were prepared to distribute the federal recovery and grid modernization funds for Puerto Rico’s energy sector. The three federal agencies added they implemented a memorandum of understanding to align federal investments with local policies to start transition into clean energy, with the goal of achieving 100% renewable electricity by 2050. Puerto Rico filed for protection under a bankruptcy-like law, known as Title III, in May 2017. In January, the judge overseeing Puerto Rico’s nearly five-year-long debt restructuring process approved a debt adjustment plan that is intended to revitalize the commonwealth’s economy and reduce its $135 billion in liabilities. The debt adjustment plan is expected to go into effect by March 15. The oversight board will remain in place until Puerto Rico has had four consecutive years of balanced budgets.
