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Cuba’s Energy Crisis Triggers Unrest

by Krystal

Cuba is grappling with a severe energy crisis that has plunged the nation into darkness, raising fears about the future of its energy security. The latest crisis began on October 17, when non-essential workers were sent home in an attempt to reduce the demand for electricity. Despite these efforts, the situation worsened, leading to the shutdown of the Antonio Guiteras power station and several other key facilities.

The country’s aging energy infrastructure is at the heart of the problem. Decades of underinvestment have left Cuba’s power plants vulnerable. Many of these plants, including the Antonio Guiteras station built in 1989, were never constructed to modern standards. Due to a lack of funding, the plant has been repeatedly patched up over the years but is now barely operational.

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The Cuban government has blamed the 62-year-old U.S. trade embargo for the ongoing energy shortages, citing difficulties in importing fuel. Last year alone, Cuba is said to have lost up to $5 billion due to the embargo. While Russia and Venezuela had previously helped Cuba maintain its energy supply, both countries are now facing their own economic difficulties. Washington, however, argues that Cuba’s energy crisis is largely the result of poor financial management by the Cuban government.

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To address the crisis, Prime Minister Manuel Marrero has announced that the emerging private sector will have to pay more for power. He also highlighted the government’s goal to boost renewable energy production as a long-term solution to Cuba’s energy woes. Cuba has abundant sunshine, which offers potential for a robust solar energy network, provided the country can secure the necessary investment. In recent months, Cuba struck a deal with a Chinese firm to develop solar farms in exchange for access to the island’s nickel deposits. However, experts question whether Cuba has the skilled workforce needed to develop its renewable energy sector, as many professionals have left the country amid the ongoing economic crisis.

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As power outages have become a common occurrence, Cubans have grown accustomed to brief blackouts, often lasting a few hours. However, the outage in October lasted several days, forcing residents to turn to firewood and consume food before it spoiled, as many areas have not received regular gas deliveries and charcoal is hard to find. For a population already struggling with poverty, the energy crisis has worsened living conditions.

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The government has warned citizens not to protest the blackouts, threatening imprisonment for those who do. During protests in July 2021, hundreds of Cubans were arrested after demonstrations sparked by power cuts. Electricity generation has fallen drastically, with the government now supplying just 60 to 70 percent of national demand. In 2023, Cuba’s electricity production dropped by about 2.5 percent compared to the previous year, and overall generation has fallen by 25 percent since 2019. Economist Ricardo Torres from the American University in Washington, D.C., noted that the energy grid’s problems have been building for a long time, not occurring suddenly.

To help alleviate fuel shortages, Mexico sent 400,000 barrels of crude oil to Cuba in late October. Mexico remains one of the few countries that continues to send oil to the U.S.-sanctioned island. Between January and September 2024, Mexico increased its shipments to Cuba to about 20,000 barrels per day (bpd), up from 16,000 bpd in 2023. This increase comes as Venezuela’s crude oil deliveries to Cuba have fallen from 60,000 bpd in 2023 to 36,000 bpd in 2024.

In November, the Cuban government issued a 16-page decree urging both public and private businesses to increase their use of renewable energy and reduce air conditioning consumption. The decree gives businesses three years to develop the capacity to generate at least 50 percent of their electricity from green sources. If companies are unable to install solar panels on their buildings, they will need to arrange to purchase renewable energy from the government.

While these measures could improve Cuba’s energy security in the long run, they do little to address the immediate crisis. Without more fuel deliveries, Cuba’s power plants may be forced to shut down again, plunging the country into more darkness and deepening the economic hardships faced by many Cubans.

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