Mexico Unveils US$8.2 Billion Grid Plan: The Week in Energy

The Mexican government is moving forward with one of the most ambitious overhauls of the country’s electricity infrastructure in decades. In a joint briefing, Minister of Energy Luz Elena González and CFE Director General Emilia Calleja outlined the progress and future trajectory of the National Transmission Network as part of the 2025-2030 Strategic Plan for Strengthening and Expanding the National Electricity System.

Ready for more? Here is your weekly roundup!

Mexico Unveils US$8.2B Expansion of National Transmission Network

Under Claudia Sheinbaum’s administration’s plan, nearly MX$164 billion (US$8.18 billion) will be allocated to expand and upgrade the national transmission network. The program includes the construction of 275 new strategic transmission lines, totaling 6,735km of line, and 524 new substations. More than 50 million users are expected to benefit from these projects once completed. 

CFE to Build Two Thermosolar Plants in Baja California Sur

The government has announced the construction of two thermosolar power plants in Baja California Sur. The projects, which will be the first of their kind in the country, are part of the Plan to Strengthen and Expand the National Electricity System 2025-2030. The two plants are expected to benefit between 100,000 and 200,000 homes, with a total investment of US$800 million.

Yanfeng Installs Solar System at San Luis Potosi Auto Plant

Yanfeng Seating Mexico has partnered with ForeFront Power to install a 630kW solar system at its San Luis Potosi plant, in a move that aligns the automotive supplier with the growing sustainability demands of global automakers.

Mexico Joins OLADE’s 2025 Energy Excellence Award Shortlist

The Latin American Energy Organization (OLADE) closed submissions for the 2025 Energy Excellence Award with 104 projects from 15 countries, including four from Mexico. The recognition, now in its second year, highlights achievements in decarbonization, renewable energy, energy efficiency, and education, underscoring the diverse strategies emerging across the region to accelerate the energy transition.

Iberdrola’s Avangrid Signs US Power Deal

Avangrid has signed a contract with SmartestEnergy for the full power capacity from two of Avangrid’s energy projects in New Hampshire. The deal, which is the first offtake agreement between the companies, covers 72MW of power from the Lempster and Groton energy projects.

Natural Gas Crucial for 2025–2030 Strengthening, Expansion Plan


The Plan for Strengthening and Expanding the National Electricity System (2025–2030) is a pivotal initiative presented by President Claudia Sheinbaum to modernize Mexico’s electricity infrastructure and strengthen its energy sovereignty. The plan entails adding a total of 29,074MW of new generation capacity by 2030, of which 22,674MW will be developed by CFE and the remaining capacity by private entities.

Nuevo Leon Launches Energy Talent Strategy With IDB

The Energy Cluster of Nuevo Leon and the Inter-American Development Bank (IDB) have launched a new initiative to address talent gaps in the state's energy industry. The project, titled Deployment of a Strategy for the Development of Skills for the Energy Industry of Nuevo Leon, is based on a study that identified deficiencies in the skills of the local workforce.

Drop in Energy Poverty Driven by Social Policy: SENER


Mexico has reduced energy poverty by 37.5% since 2018, according to data from the National Survey of Household Income and Expenditure (ENIGH) 2024, released by INEGI. Results show that 184,000 additional people now have access to electricity, improving living conditions for households in remote regions.

Energy Regulation Set to Propel Mexico's Renewable Transition

Mexico's National Energy Commission (CNE) is poised to unveil a comprehensive set of regulations and technical provisions by Sept. 15, 2025, aimed at facilitating the submission of new renewable energy generation projects. This regulatory framework is integral to advancing President Claudia Sheinbaum's Plan México, a strategic initiative designed to position Mexico among the world's Top 10 economies by 2030. The plan emphasizes the development of clean energy infrastructure, with a particular focus on distributed photovoltaic systems, such as solar rooftops, to empower marginalized communities.

Hydropower Adds 24GW Globally; Mexico Faces Vulnerabilities

Global hydropower entered 2025 on a cautiously optimistic trajectory, balancing expansion with the growing risks of climate volatility according to the International Hydropower Association. In 2024, the sector added 24.6GW of new capacity, pushing worldwide installed hydropower to 1,443GW, up 1.69% from 2023. Total generation climbed 10% year on year, rebounding from 4,180TWh in 2023 to 4,578TWh, despite severe droughts that hit Latin America and southern Africa.

Data Center Growth Needs More Generation Capacity

Mexico needs to build enough electricity and connectivity infrastructure to achieve 1.5GW of installed capacity by 2030 to take advantage of its data center investment potential, according to Adriana Rivera, Executive Director, Mexican Data Center Association (MEXDC).

CFE FIBRA E Designates Citi Mexico as New Trustee


CFE Capital has announced that Banco Citi México was designated as the new trustee for CFE Fibra E. The decision was made at a meeting of the Trust's holders on July 21, 2025, after a detailed analysis of a shortlist of candidates. Citi Mexico was selected based on its ability to ensure operational continuity, protect the Trust's assets, and support value generation for its holders, shared the state company.

Tamaulipas Bets on Energy Infrastructure, Wind Power

The government of Tamaulipas is embarking on a major energy infrastructure push, with a focus on strengthening its electrical grid and leveraging its significant wind power potential. The state announced the construction of nine new electrical substations set to be completed by summer 2026. These projects, located in key industrial zones, aim to improve power supply reliability, reduce blackouts by more than 50% compared to 2024, and support the state’s growing energy sector.