Mexico, US Will Collaborate to Boost Renewables

Controversy over Mexico’s energy policy could lead to a big renegotiation of the USMCA free-trade agreement, especially now that the US has issued an ultimatum regarding unfair competition in the energy market. Despite the differences, both countries will collaborate together to develop renewable energy projects in Mexico.

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Mexico, US to Work on Renewable Energy Projects

John Kerry, US Climate Representative, and President López Obrador agreed to develop renewable energy projects in the south of Mexico to fight climate change and provide more specialized job opportunities. Kerry also emphasized Mexico’s energy potential for renewables. 

Global Investment in Renewables Needed to Reach 1.5°C Scenario

IRENA has highlighted the necessity for a fourfold increase in investments in renewable energy to accomplish the objective of keeping the global temperature from surpassing 1.5°C above the pre-industrial era mark.

Disputes Threaten USMCA as US Elections Approach

Ongoing disputes are expected to result in a significant renegotiation of USMCA in 2026. The treaty contains a sunset provision that mandates parties to periodically review the agreement every six years. In the event that the partners opt not to renew it, the treaty can expire without necessitating a unanimous consensus.

US to Send Ultimatum to Mexico Over USMCA Energy Dispute

Mexico's negotiators are anticipating a final proposition from the US Trade Representative's Office concerning the opening of energy markets. If the Mexican side rejects the proposal, US officials will initiate a request for an autonomous dispute resolution panel under USCMA.

Positive Outlook for US Pipeline Exports to Mexico in 2023

US LNG exports grew by 8.6% year-on-year to an average of 10.6Bcf/d in 2022. In Mexico, the electricity and industrial sectors have led natural gas consumption growth in recent years, which has been met by pipeline imports from the US. While the situation looks promising in 2023, with exports averaging around 5.9Bcf/d in March, gas demand in Mexico is highest in the summer months as power generation ramps up to meet cooling demand. 

Shell, Mexico Pacific Sign LNG Long-Term Supply Agreement

Mexico Pacific Limited (MPL) has signed a 20-year deal with Shell for the supply of liquefied natural gas (LNG) from its planned liquefaction plant on Mexico's Pacific coast. Under the new agreement, Shell will purchase an extra 1.1Mt/y of LNG from MPL's facility, which is set to begin operations in 2024 and has a production capacity of 14.1Mt/y.

Nuevo Leon’s Energy Demand to Grow 1.2GW Due to Nearshoring

Energy demand in the state of Nuevo Leon is expected to increase at least 1.2GW over the next two years. Eduardo Sánchez, Director of Energy and Mining Promotion, Nuevo Leon’s Ministry of Economy, highlighted that to supply the required energy demand, the state needs to increase its distribution and transformation infrastructure.

Private Companies Still on the Run for Mexican Lithium

LitioMX can forge alliances with private companies to boost its operations, even as the Mexican government refuses to share the country's lithium reserves. Nonetheless, uncertainty persists about the future of lithium in Mexico due to the government's unwillingness to share Mexico’s lithium reserves with privates, according to experts.

Are Floating Solar Panels the Future of Clean Energy?

Floating Solar Panels, also known as Floatovoltaics, are solar panels that are designed to float on water bodies, such as lakes, reservoirs, and oceans. They conserve land for fundamental uses and operate at higher efficiencies. They can also reduce reservoir water losses from evaporation by blocking radiative energy and lowering temperatures.

Waddi App to Digitize LPG in Mexico

The Waddi app is digitizing the natural gas sector by offering a platform for users to order LPG in an "Uber-like" fashion. The app connects LPG delivery drivers with customers, providing real-time information on the status of the service, consumption control, rating system and payment method. It is currently available in four major cities in Mexico and plans to expand to more cities soon.