Jalisco to House Mexico’s First Solar Panel Recycling Plant

The government of Jalisco and Rafiqui, a company focused on clean energy solutions, have announced the installation of Mexico’s first solar panel recycling plant. The project will require an investment of between MX$12 million and MX$15 million and will be developed in multiple phases.

The agreement was signed by Manuel Herrera, Jalisco’s Minister of Sustainable Energy Development (SEDES), and Ximena Cantú, Director, Rafiqui, during the RE+ Mexico 2025 and Ecomondo Mexico business fairs. The signing was witnessed by Marco Antonio Guzmán, President, Mexican Photovoltaic Industry Association (AMIF).

Jalisco leads the country in the number of solar panel installations, with 90,876 interconnection contracts as of the second half of 2024, representing 17.5% of the national total. The state also has the highest installed capacity for distributed generation, reaching 658.04MW, according to data from the Energy Regulatory Commission (CRE). The growing adoption of solar energy is expected to increase further due to legislative changes under discussion in Congress, which propose raising the capacity limit for self-supply systems from 0.7MW to 20MW. This shift is anticipated to attract more companies to invest in photovoltaic systems, Herrera said.

As the installed capacity grows, so does the volume of end-of-life solar panels, Cantú said. She emphasized that managing these materials should not be seen as a challenge but as an opportunity to integrate circular economy practices into the solar sector and beyond. Rafiqui’s facility will be located in the Guadalajara Metropolitan Area, where most solar panels in the state are installed and will eventually require recycling. The company is in the process of selecting an industrial site and acquiring specialized recycling equipment. Cantú said the plant is expected to begin operations this year.

The recycling process will recover 85% to 90% of a panel’s materials, including aluminum, glass, metals, cables, and plastics. The remaining fraction consists of dust and fine particles. The plant could also expand in the future to recycle lithium batteries, Cantú added.

The project aligns with broader industry trends. The increasing adoption of artificial intelligence and data centers has driven a surge in electricity demand, with Jalisco’s projected annual increase revised from 6% to 10%, Herrera noted. The expansion of distributed generation and self-consumption models is expected to play a key role in meeting this demand.

Isabel Studer, President, Sostenibilidad Global, highlighted the importance of approaching solar panel recycling with a systemic vision. “Rafiqui is not just a business solution for solar panel recycling, it is about integrating social and environmental considerations and working in collaboration with the government,” she said. Studer also emphasized the role of industry and civil society organizations in shaping effective regulations for sustainable waste management.