2017 Major Event

Post-Hurricane María Disaster Capitalism

In the aftermath of Hurricane María, mainland corporations and investors exploited Puerto Rico's devastation to acquire public assets, privatize services, and accelerate gentrification — a pattern described as disaster capitalism.

Hurricane María struck Puerto Rico on September 20, 2017, as a Category 4 hurricane, causing catastrophic damage. In the aftermath, a pattern of disaster capitalism emerged:

Privatization of public assets:
- PREPA's electrical transmission and distribution was handed to LUMA Energy (2021)
- Public schools were converted to charter schools (over 300 public schools closed since 2017)
- Public lands were sold or leased to developers at below-market rates

Federal response failures:
- FEMA's response was slower and smaller than for comparable mainland disasters
- The Trump administration withheld billions in approved disaster relief funds
- Contracts for recovery were awarded to mainland firms with little local hiring
- The infamous Whitefish Energy contract: a two-person Montana firm received a $300 million no-bid contract to restore the electrical grid

Gentrification and displacement:
- Real estate investors bought distressed properties, often from families unable to rebuild
- Short-term rental platforms like Airbnb converted residential housing to tourist accommodations
- Communities in desirable coastal and urban areas faced rapid displacement

Population exodus: An estimated 130,000 to 200,000 Puerto Ricans left the island in the year following María, many permanently. This population loss further eroded the tax base and political representation.

Naomi Klein's "The Battle for Paradise" (2018) documented these patterns in detail, arguing that María created opportunities for the "shock doctrine" of disaster capitalism.

Sources

  1. The Battle for Paradise: Puerto Rico Takes on the Disaster Capitalists - Naomi Klein
    https://theintercept.com/2018/03/20/puerto-rico-hurricane-maria-recovery/

Related Events