
AI-generated illustration representing Puerto Rico’s Financial Oversight and Management Board dismissals and lawsuits. (DALL·E 3, art direction by Jillian Melero, Sept. 29, 2025.)
Welcome to the September issue of Connect Puerto Rico.
C-PR tracks the people, policies, and projects shaping renewable energy development in Puerto Rico — what’s happening, what’s not, and what it means for the islands’ future.
This month’s roundup begins with a post-mortem from the Centro de Periodismo Investigativo (CPI) on Puerto Rico’s Financial Oversight and Management Board (FOMB-PR), written after President Trump dismissed nearly all its members last month. The Associated Press reports that former members are now suing over their removal, even as the Puerto Rico Electric Power Authority’s (PREPA’s) $12 billion bankruptcy remains unresolved and a $9 billion restructuring deal has collapsed.
Other coverage includes CPI’s reporting on LUMA Energy’s internal disputes and delays in grid recovery, Heavy Weather’s reporting on a federal judge dismissing 37 municipalities’ climate lawsuit against the fossil fuel industry, and CPI’s account of how Puerto Rico’s Climate Change Committee has gone nine months without meeting due to lack of funding and vacant seats.
Connect Puerto Rico brings these stories together so policymakers, business leaders, and community voices can come together to solve the challenges and boost the opportunities in Puerto Rico’s energy transition.
In This Issue
CPI: Post-Mortem on the Fiscal Control Board
📰What Happened
In August, President Donald Trump dismissed nearly all members of Puerto Rico’s Financial Oversight and Management Board (FOMB-PR), the federally imposed body created under the 2016 PROMESA law.
As el Centro de Periodismo Investigativo reports, the move comes after nine years in which the Board oversaw budgets, blocked laws, and intervened in the Puerto Rico Electric Power Authority (PREPA)’s $12 billion bankruptcy, but failed to deliver balanced budgets, resolve PREPA’s crisis, or stem ballooning consultant fees.
💡Why it Matters
Trump’s purge sets the stage for him and his allies to reshape the Board with loyalists, giving him unprecedented sway over Puerto Rico’s finances and energy development. Proposals circulating in MAGA circles call for fully privatizing PREPA, expanding natural gas and nuclear power, and prioritizing bondholder repayment — policies that could deepen Puerto Ricans’ financial burdens while benefiting hedge funds and energy companies.
🔎What to Watch
Whether new appointments value political loyalty over expertise
How the next Board handles PREPA’s stalled bankruptcy and $17B in federal grid recovery funds
Pressure from MAGA figures pushing for privatization and “energy dominance”
Resistance from Puerto Rican leaders and progressive lawmakers who argue the dismissals put Wall Street ahead of residents
Fired Fiscal Board Members Sue Trump Over Dismissals
📰What Happened
Three former members of Puerto Rico’s Financial Oversight and Management Board (FOMB-PR) — Arthur González, Andrew Biggs, and Betty Rosa — have sued President Donald Trump in federal court, alleging their firings were illegal. (The Associated Press)
The lawsuit argues that Congress created the Board under the 2016 PROMESA law as part of Puerto Rico’s territorial government, citing that members can only be removed “for cause” and with due process. Attorneys say the abrupt removals, delivered by short email notices without explanation, violated federal law.
💡Why it Matters
The case could determine how much power a president has over Puerto Rico’s federally imposed Board, which oversees the islands’ $70 billion debt restructuring and the bankruptcy of the Puerto Rico Electric Power Authority (PREPA).
If the courts uphold Trump’s actions, future presidents may be able to remove territorial officers at will. The lawsuit comes after Trump dismissed six of seven members last month, leaving only John Nixon, a Republican, on the Board.
🔎What to Watch
How federal courts interpret PROMESA’s limits on presidential authority
Whether dismissed members are reinstated or Trump moves to seat loyalists
Impacts on PREPA’s stalled $9 billion debt negotiations, where bondholders are pressing for full repayment
🚀 Big News
Connect Puerto Rico has received support from the Listening Post Collective to launch a new community listening project over the next few months.
This work will help bring more Puerto Rican voices into the conversation, deepen our audience insights, and guide our reporting toward the solutions people need most. It’s a major step forward, and we couldn’t have reached this point without your support.
As we launch this project, we’re looking for partners who share our vision. If you’re working on renewable energy, policy, or community engagement in Puerto Rico, let’s connect.
Reply to this email, I’d love to hear from you.
PREPA Debt Deal Collapses as Bondholders Walk Away
📰What Happened
A plan to restructure more than $9 billion in debt held by the Puerto Rico Electric Power Authority (PREPA) has crumbled after BlackRock Financial Management and other investment funds withdrew. (The Associated Press)
The deal, negotiated with the federal control board, would have reduced creditor claims from $8.5 billion to $2.6 billion. Bondholders who had opposed the plan said BlackRock and others had joined them, giving their group control of nearly 90% of outstanding PREPA bonds.
💡Why it Matters
The collapse further complicates Puerto Rico’s efforts to resolve PREPA’s bankruptcy. Experts note that the dismissal of nearly all Financial Oversight and Management Board (FOMB) members earlier this month could open the door to new appointees more favorable to hedge funds seeking full repayment.
🔎What to Watch
Whether the opposing bondholder group enforces its deal starting October 1
How changes in the FOMB’s membership affect negotiations
The implications for PREPA’s long-delayed bankruptcy resolution
Grid Recovery Stalled by LUMA Infighting and Government Dysfunction
📰What Happened
Nearly eight years after Hurricane Maria, less than a quarter of Puerto Rico’s $9.5 billion in allocated grid recovery funds has been disbursed, el Centro de Periodismo Investigativo reports.
LUMA Energy, the private operator of the transmission and distribution system, has been locked in disputes with its own contractor, Innovative Emergency Management (IEM), delaying FEMA reimbursements and project approvals.
Puerto Rico’s Energy Czar, Josué Colón, said LUMA ignored IEM’s recommendations, while the Financial Oversight and Management Board(FOMB) pointed to a lack of coordination under former Gov. Pedro Pierluisi.
Meanwhile, the Department of Homeland Security has added a new layer of federal oversight, requiring Secretary Kristi Noem to personally approve disaster contracts above $100,000.
💡Why it Matters
A federal inspector general’s audit concluded that FEMA “does not know when Puerto Rico’s power grid will be completely rebuilt.”
As of early 2025, 92% of obligated projects remained incomplete. The delays stem from poor coordination, repeated revisions, and LUMA’s mismanagement of federal funds, compounded by internal disputes with IEM and new federal bottlenecks.
🔎What to Watch
Whether LUMA and IEM can resolve internal disputes and accelerate project delivery
The impact of DHS contract approvals on FEMA reimbursements
How Gov. Jenniffer González Colón’s administration manages coordination across agencies
Whether pressure from regulators and lawsuits leads to changes in LUMA’s contract
Progress on spending nearly $2 billion in HUD energy-related recovery funds, of which less than 1% has been used
📣 Expand the Network
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Invite them to join this community!
Our referral program makes it easy to connect colleagues, funders, and peers who want to be part of the conversation.
Judge Dismisses Puerto Rico Municipalities’ Lawsuit Against Big Oil
📰What Happened
A federal judge has dismissed a climate lawsuit brought by 37 Puerto Rican municipalities against major fossil fuel companies, as reported in Heavy Weather, by journalist Carlos Berríos Polanco.
Judge Silvia Carreño Coll ruled that the racketeering (RICO) and antitrust claims were barred by the statute of limitations, dismissing all claims against Exxon, Shell, Chevron, BP, ConocoPhillips, and others.
Filed in 2022, it was the first-ever class action to argue that the fossil fuel industry violated RICO by colluding to mislead the public about climate risks tied to the devastating 2017 hurricanes.
💡Why it Matters
The municipalities sought to hold oil companies financially accountable for billions in damages from Hurricanes Maria and Irma. Instead, the case was thrown out before evidence could be weighed.
Earlier this year, Puerto Rico’s government dropped a similar lawsuit after pressure from pro-fossil fuel groups and alignment with Trump administration energy policies.
🔎What to Watch
Whether San Juan’s separate RICO climate lawsuit, which has faced accusations of plagiarism and lawyer sanctions, will also be dismissed
If other jurisdictions pursuing climate cases against fossil fuel companies adjust strategies in response to Puerto Rico’s setbacks
How Trump’s federal policies — including opposition to climate liability suits — continue shaping the legal landscape
Puerto Rico’s Climate Change Committee Stalled by Politics and No Funding
📰What Happened
Puerto Rico’s Committee of Experts and Advisors on Climate Change (CEACC) has gone nine months without meeting and has no budget to operate, el Centro de Periodismo Investigativo reports.
Three of nine seats remain vacant, leaving the group unable to oversee the island’s climate plan. Members point to absentee leadership from Natural Resources Secretary Waldemar Quiles Pérez, who serves as chair, and a lack of action from Gov. Jenniffer González Colón to fill vacancies.
Under Act 33 of 2019, the governor is required to fill the three scientific vacancies on the CEACC, with appointments subject to the advice and consent of both the House of Representatives and the Senate.
💡Why it Matters
The committee was created by a 2019 law to guide Puerto Rico’s climate policy. Instead, it is stalled by political inaction and administrative neglect.
The Legislature has not approved permanent funding for the CEACC, and the Department of Natural and Environmental Resources never requested money for its work. Environmental groups, including El Puente, are now suing lawmakers for failing to review and implement the climate plan.
🔎What to Watch
Whether the governor fills vacant seats with scientific experts
If lawmakers finally approve permanent funding for the CEACC
The outcome of El Puente’s lawsuit to force legislative review
How debates over mitigation versus adaptation continue to shape climate policy
🧐 Who’s Behind Connect Puerto Rico? 🧐
Hi, I’m Jillian. I’m a journalist, editor, and founder of Connect Puerto Rico.
I started thinking about what would become C-PR after reporting from Puerto Rico in 2019. While learning about Hurricane Maria recovery, I saw how rebuilding efforts to incorporate renewables, distribute energy, and build grid resilience lacked cross-sector coordination and the input of Puerto Ricans communities and experienced industry professionals.
This newsletter connects U.S. policy decisions to what’s happening on the ground because Puerto Rico shouldn’t just recover from disasters, it should lead in building for the future.

