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WORLD · JUN 12, 2026

Cuba Blames U.S. Embargo for Severe Energy Crisis

The Cuban government attributes its collapsing power grid to U.S. sanctions while transitioning to a decentralized fuel import model involving private enterprises.

The Cuban government has attributed its strained national power grid and exhausted fuel reserves to intensified U.S. economic, commercial, and financial embargoes. Foreign Minister Bruno Rodriguez stated that the energy crisis is the result of a brutal war rather than government neglect, citing presidential memoranda and the January 2025 decision to reinstate Cuba on the U.S. state sponsors of terrorism list as primary drivers of financial pressure. Rodriguez reported that 40 foreign banks have blocked 140 transfers for solar and wind technology, and that fuel tankers face threats of seizure.

In response to the crisis, Cuba is transitioning toward a decentralized fuel import model. Deputy Prime Minister Oscar Pérez-Oliva Fraga announced that private micro, small, and medium-sized enterprises are now authorized to purchase petroleum products from the United States. In May 2026, Vanguard Energy signed an agreement to lease storage facilities and supply oil tankers to Cuba's private sector and humanitarian organizations, a move following a February authorization by the U.S. Bureau of Industry and Security.

These shifts occur amid escalating tensions. U.S. Secretary of State Marco Rubio recently imposed new sanctions on Cuba's state oil and gas company, alleging that officials hoard energy for the military. President Miguel Díaz-Canel and Rodriguez condemned these actions as part of a tightening blockade, maintaining that the precarious state of the power system is a direct consequence of U.S. energy persecution.


Reported across 8 outlets
Actors
Marco RubioMiguel Díaz-CanelBruno RodriguezBureau of Industry and SecurityOscar Pérez-Oliva Fraga

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