Genera PR starts 52 MW battery project in Puerto Rico

Genera PR held a groundbreaking ceremony for a 52-megawatt battery energy storage system at the Cambalache Power Plant in Arecibo, part of a broader effort to strengthen Puerto Rico’s electric grid.
The project, backed by $109.5 million in federal funds, is part of an islandwide initiative to add 430 MW of storage using Tesla Megapack technology. The initiative aims to improve grid resilience and reduce service interruptions on the island.
“The installation of these storage systems represents a giant leap in the modernization of Puerto Rico’s electric system,” said Iván Báez, vice president of public and government affairs at Genera PR. “These batteries will allow us to respond more efficiently to demand fluctuations, reduce our dependence on fossil fuels and support the integration of new generation technologies. This translates into greater stability and fewer outages for our communities.”
The Cambalache project begins with demolition and site preparation work before the installation of 68 Tesla Megapack batteries. Delivery is scheduled for April 2026, with operations expected to begin by the end of that year, completing a 12-month construction cycle.
“At Genera PR, it is our priority to mobilize and execute all federally funded projects swiftly and efficiently,” Báez said. “Every federal dollar is invested responsibly and under the highest standards of compliance, with the goal of transforming the island’s energy infrastructure and delivering real results to the people.”
Genera PR and Tesla signed a contract in February for the installation of Megapacks at six power plants. The initiative represents Tesla’s largest project of its kind in the United States. The $533.5 million equipment purchase has been 75% funded, with $404.7 million already disbursed and reimbursed through the Federal Emergency Management Agency and the Puerto Rico Department of Housing’s Community Development Block Grant–Disaster Recovery program.
The islandwide Battery Energy Storage System (BESS) project totals $758 million in federal investment and includes installations at Cambalache in Arecibo, Vega Baja, Palo Seco in Toa Baja, Yabucoa in Humacao, Aguirre in Salinas and Costa Sur in Guayanilla.
The initiative aims to improve grid stability and reliability, reduce load shedding events by 90%, increase integration of renewable energy sources, regulate grid frequency, enable instant energy dispatch to meet peak demand, and generate annual savings of up to $100 million in generation costs.
The Cambalache and Vega Baja systems are expected to be among the first to enter operation, with full deployment across all sites anticipated by late 2027.
Genera PR operates about 60% of Puerto Rico’s electric generation under a public-private agreement with the government, managing legacy power plants and supporting grid stabilization projects.