CPUC Approves Solar Project

Residents across the Northern Mariana Islands can look forward to a public groundbreaking ceremony as early as next month, upcoming local construction jobs, and eventual relief on their utility bills following the Commonwealth Public Utilities Commission’s (CPUC) unanimous approval of the Commonwealth Utilities Corporation’s (CUC) solar power project on Thursday, October 29, 2026.

​With the commission’s 3-0 vote by Acting Chair Bruce Camacho, Commissioner Dr. Jack Angello, and Commissioner James Mendiola under Procurement Filing No. P-16-2026, the Power Purchase Agreement (PPA) and related contract documents with Eastern Power Solutions CNMI Inc. They will now move immediately into the pre-construction phase.

​Assistant Attorney General Tina Ngo, serving as legal counsel to CUC, announced that the contractor will immediately begin environmental studies, regulatory permitting, land clearing, and ordering solar panels and battery components. She also encouraged residents to watch for local hiring opportunities in the coming months, as the contractor plans to recruit manpower from the local population to build the solar farms across Saipan, Tinian, and Rota.

​CUC Executive Director Kevin Watson called the approval a great win and a team effort involving CUC, CPUC, consultants, and federal partners. Emphasizing the tight project timetable, Watson announced plans to expedite permitting with partner agencies and schedule a community groundbreaking event at the Naftan site near Airport Road on Saipan as soon as possible. Moving forward, CUC will also submit monthly and quarterly progress reports on the solar project and its renewable energy division to both the CUC Board and the CPUC.

​Under the approved agreement, Eastern Power Solutions will provide solar energy at a fixed rate of 18.5 cents per kilowatt-hour for 25 years with no price escalation. According to Watson, ratepayers currently pay approximately 44 cents per kilowatt-hour. While initial estimates projected ratepayer savings between 3% and 7%, Watson noted that CUC is conducting a full analysis and expects savings to exceed 3%.

​Ratepayers will primarily see reductions reflected in their Fuel Adjustment Clause (FAC) charges starting in 2028, once construction of the solar farms is completed and the facilities begin generating power to offset the expensive imported diesel fuel the territory has relied on since its inception. Dr. Helman also advised keeping a focus on battery energy storage installations, which are slated to follow after the end of 2027.

​Before casting their votes, commissioners and legal counsel emphasized the extensive review conducted over a 30-day window across hundreds of pages of legal and financial documents, alongside ongoing rate case proceedings. At the recommendation of CPUC legal counsel and Commissioner Angello, the contract was amended in mid-October to include signatures from all four project entities—including parent company Eastern Power Solutions LLC—ensuring substantial financial backing in the event of a default.

​AAG Ngo also placed on the record that Primary Holdings LLC—the ultimate parent company of the Eastern Global family of companies—submitted audited financial statements and certified in writing its full financial commitment to backing Eastern Power Solutions LLC and its CNMI subsidiary. Additionally, Dr. Helman confirmed that Executive Director Watson clarified the capacity factor and megawatt sizing for the Tinian portion of the project, indicating the potential for greater savings than initially stated in the preliminary analysis.

​Addressing previous media reports regarding project delays, Ngo clarified that the compressed timeline ahead of the October 31 federal solar tax credit deadline was not the fault of the commission. Instead, months of negotiation and drafting time were lost when CUC had to pivot its operations to emergency power restoration across Saipan, Tinian, and Rota following back-to-back super typhoons Sinlaku and Bavi. Commissioners and legal counsel also noted that while procurement litigation remains pending in court, the legal dispute falls under judicial jurisdiction and did not preclude the commission from voting on the merits of the contract.

​During the public comment period prior to the vote, a local educator and community board member urged the commission to exercise prudence, accountability, and comprehensive analysis. Citing the aftermath of recent super typhoons and ongoing utility and socioeconomic challenges in the Northern Mariana Islands, she emphasized that transitioning to reliable renewable energy is a critical public health and quality-of-life issue for local families and manåmko'.