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House committee questions energy officials on new laws, Luma deadlines and resource plan

3588751 · May 22, 2025

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Summary

The House of RepresentativesCommission on Government held a public hearing May 21 to review the applicability and implementation of two laws enacted March 19, 2025 and to press energy officials on near-term deadlines for Luma Energy and the public utility.

The House of RepresentativesCommission on Government held a public hearing May 21 to review the applicability and implementation of two laws enacted March 19, 2025 and to press energy officials on near-term deadlines for Luma Energy and the public utility.

The committee convened under the text of House Resolution No. 42 to receive presentations from Josue9 Colf3n (identified in the transcript as the engineer Josue9 Colf3n) and Silvia Ugarte Araujo. Colf3n described how Law No. 1 of 2025 amended prior energy policy statutes and ordered new procurement and planning steps; the regulator also issued orders requiring the utility operator to update its integrated resource plan (IRP).

Why it matters: the statutes and regulator orders set deadlines that affect how much generation must be repaired or added before the summer peak and set the timetable for longer-term changes to Puerto Rico's generation mix. Committee members pressed officials about reliability risks during the hurricane season and asked when consumers could expect more stable service.

Key points from officials - Colf3n said Law No. 1 (approved March 19, 2025) amended earlier statutes (including Law 17 of 2019) and changed timing for retiring the coal-fired plant in Guayama and the renewable portfolio targets. He said the regulator issued an order (case cited in the hearing as NPR MI 2025 00001) that instructed the Autoridad de Energeda Ele9ctrica (AEE) and the Authority for Public-Private Partnerships to begin a competitive "request for proposals" process for new generation, focusing on sites that already host generation. - The regulator also issued a separate resolution (case NEPR AP 2023 00004) directing Luma Energy to file a revised IRP by Oct. 17, 2025. Colf3n said the regulator set additional sub-deadlines tied to sections of Regulation 90-21; the regulator later set Nov. 21, 2025 as a date for certain IRP components required by that regulation. - Colf3n summarized immediate capacity changes: several repaired or returned units and transmission projects have increased available capacity in recent weeks; he reported a system peak demand record of 2,690 megawatts on May 20 at 7:55 p.m. and said the system now shows about 3,295 MW of available capacity. - Officials described procurements: an ARP for up to roughly 3,000 MW (to be specified in the competitive process) and a separate temporary procurement of about 800 MW to be contracted for short terms (one year with up to two one-year extensions) to provide near-term capacity and allow scheduled repairs to proceed. - On fuel and technology, Colf3n and staff said specifications will prefer gas and hydrogen for conventional, dispatchable generation while permitting renewable technologies where technically viable and competitive. Colf3n warned the full replacement of older plants by newer technology will take years, saying in the hearing, "Eso va a tomar cerca de 10 af1os" ("This will take about 10 years").

Regulatory and contractual context Officials told the committee the regulator's directives incorporate the changes required by the new laws and that any amendment or extension to AES Puerto Rico's existing generation contract would be evaluated as part of ongoing regulatory review. Colf3n said the regulator remains "in espera" (awaiting submission) of any proposed contractual changes with AES for extension or modification.

What was not decided The hearing recorded no committee votes or formal actions by the House during the session. Officials described deadlines and processes but did not announce approvals of procurement rules, nor did the committee take formal votes on legislative language.

Ending Officials asked for and offered to provide additional technical documentation to the committee. The regulator's deadlines (Oct. 17 and Nov. 21, 2025) mean the IRP and procurement design will be public and subject to further review before the coming hurricane season and ahead of longer-term generation changes.