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Guam Power Authority Extends Performance Management Contract for Cabras 1 and 2 Plants

September 21, 2025 | Guam Public Utilities Commission, Agencies, Executive , Guam


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Guam Power Authority Extends Performance Management Contract for Cabras 1 and 2 Plants
The Guam Public Utilities Commission (PUC) made significant strides towards enhancing the island's renewable energy landscape during its recent meeting on September 21, 2025. A key decision was the approval of a phase 4 renewal acquisition order, which is expected to facilitate the development of multiple solar farms across Guam, adding an estimated 18 megawatts of solar power to the grid by 2028.

The commission discussed the timeline for these solar farms, noting that construction is anticipated to begin soon after contract signing, with a goal of becoming operational by 2027. The farms will be strategically located near substations to optimize energy distribution and take advantage of tax benefits associated with projects under 5 megawatts. Each facility will incorporate battery storage to manage energy intermittency and ensure a stable supply.

In addition to the solar farms, the commission addressed the ongoing negotiations with several bidders for additional renewable energy projects. While some bidders are facing challenges, such as site acquisition issues, others are progressing well. The commission emphasized the urgency of moving forward with these projects to meet Guam's renewable energy goals, which aim for 39% renewable energy by 2028.

The meeting also touched on the extension of the performance management contract for the aging Cabras 1 and 2 power plants, which have been in operation beyond their intended lifespan. The commission acknowledged the ongoing challenges with these facilities, including the need for custom parts due to their outdated technology.

Overall, the decisions made during this meeting reflect a strong commitment to advancing Guam's renewable energy initiatives, with a clear focus on timely implementation and community benefits. As the clock ticks towards the 2027 deadline for operational readiness, the Guam PUC is poised to play a crucial role in shaping the island's energy future.

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