Caribbean Transmission Development Company (CTDC) and Siemens Energy are joining forces to work together on the historic Hostos Project, the submarine electrical interconnection between Puerto Rico and the Dominican Republic that promises to supply up to 700 megawatts (MW) of firm and flexible energy to Puerto Rico starting in 2031.
In its second phase, the bidirectional project will also be able to supply energy in the opposite direction.
The incorporation of Siemens Energy represents a milestone, by providing the support of the world leader in high voltage HVDC technology and efficient generation, with more than 70 projects completed in 25 countries and 50 years of specialized experience.
“Having Siemens Energy as an ally reinforces the confidence and viability of the Hostos Project,” said Rafael Vélez Domínguez, president and founder of CTDC. “Their global trajectory and technological capacity allow us to take firm steps towards a historic project for the Caribbean,” added the also president of the Industrialists Association.
Siemens Energy’s expertise in submarine interconnections is particularly relevant. The company successfully completed the 500 MW HVDC Greenlink cable between Ireland and the United Kingdom, as well as the 1,000 MW NEMO Link between the United Kingdom and Belgium. These projects have demonstrated the ability of Siemens Energy’s HVDC PLUS technology to withstand extreme marine conditions and operate with availability exceeding 99%.
For Puerto Rico, which is facing an energy crisis with more than 100 blackouts a year and only 48% generation availability according to official data from LUMA, the alliance with Siemens Energy offers immediate strategic advantages: acceleration in planning and construction thanks to standardized processes, proven technology to withstand hurricanes and extreme weather events, and greater confidence from institutional investors for the financing of the $2.3 billion project.
Siemens Energy’s previous presence on both islands adds operational value. In Puerto Rico, the company already supplies SGT-800 turbines to modernize the Costa Sur plant as part of the post-hurricane recovery. In the Dominican Republic, it successfully developed the Estrella del Mar III project, a 145 MW floating plant that demonstrated its ability to execute complex projects in the Caribbean.
Siemens Energy’s commitment in Hostos includes a joint work plan with CTDC and the provision of technological solutions through its Gas Services and Grid Technologies divisions, which will provide specialized technical support, interconnection studies, and consulting to ensure the technical feasibility of the project.
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The project contemplates approximately 146 km of submarine HVDC cable, AC/DC converters at the coastal entry and exit points on both islands, and a new combined cycle generator in the Dominican Republic whose estimated capacity will be up to 700 MW. Commercial operation is scheduled for January 1, 2031, which will make it the first bidirectional energy link in the Caribbean.
Cutting-edge technology
Siemens Energy’s participation in the Hostos Project will focus on the provision of power generation and conversion solutions. Through its Gas Services division, the company will provide application engineering expertise to define the optimal configuration of the combined cycle plant in the Dominican Republic, ensuring efficiency and resilience in extreme weather conditions. Its Grid Technologies division, for its part, will develop interconnection studies and technical consulting to ensure that the AC/DC converter stations operate stably and reliably, integrating appropriately with the electrical systems of both islands.
Siemens Energy’s HVDC PLUS® technology will enable Hostos to operate as a “blackstart” during emergencies, provide around $300 million annually in savings by replacing aging thermal plants, and reduce 3.8 million tons of greenhouse gas emissions.
About Caribbean Transmission Development Co.
Caribbean Transmission Development Company (CTDC), a subsidiary of Atabey Capital, LLC based in Dorado, Puerto Rico, leads the Hostos Project, the first high-voltage direct current (HVDC) submarine electrical interconnection in the Caribbean, between Puerto Rico (and by extension the United States) and the Dominican Republic. The company drives solutions that strengthen energy resilience, promote regional integration, and facilitate the transition to cleaner and more sustainable sources in the Caribbean.
The Hostos Project is a 100% CTDC initiative, developed with international private capital. Its design will allow Puerto Rico and the Dominican Republic to exchange electricity flexibly, including the possibility of selling surplus renewable energy, creating new economic opportunities and consolidating a more competitive and sustainable energy model for both islands.
