Oaxaca Leading Renewable Power Generation Charge

Q: How does SEMAEDESO contribute to the development of Oaxaca’s energy industry?
A: Oaxaca is the country's most biologically diverse state and SEMAEDESO manages its environmental affairs. Regarding the energy sector, Oaxaca is Mexico’s leader in renewable power generation, with the highest installed capacity from wind energy power in the country. It hosts 28 wind farms that supply more than 62 percent of the wind energy in Mexico. This represents 1,583 turbines with a total of 2,750MW. In 2018 alone, we increased this capacity by 17 percent.
An example of this successful management is the culmination of the Eólica del Sur wind farm. This project was developed by FONADIN, Mitsubishi Corporation and Balam Fund. It has an installed capacity of 396MW and is composed of two substations and 132 wind turbines. This project represents the mitigation of 566,967t/y of CO2 equivalent, which is the same as removing 300,000 vehicles from the roads. Additionally, it represents social benefits for the region. For instance, more than 6,142 lightning systems were installed and the electricity tariff experienced a reduction of 30 percent.
Oaxaca hosts the largest wind farm in Latin America. This is a product of generating legal certainty for investment. We want to demonstrate our commitment to the development of the state, which is why the Oaxaca Energy Council was created. This initiative groups the three levels of government, companies and owners to discuss proposed projects and the associated social benefits for each community involved.
In the solar arena, the state also offers significant levels of solar irradiation and related projects are becoming tangible. An example of this is the construction of a solar plant at the Universidad Tecnológica de la Mixteca. This project will support the education of 2,200 students and academics. The hydroelectric segment will become a reality too, mostly in Oaxaca’s coastal region.
During Cué Monteagudo’s administration there was no investment in renewable technologies from the government. But since 2016, when the new administration entered, the state has attracted investment of more than US$2 billion.
Q: Which projects best illustrate SEMAEDESO’s interest in and efforts to develop Oaxaca’s renewable energy industry?
A: EDF Renewables is developing a project with a total investment of US$600 million that will supply 300MW and mitigate 360,797t/y of CO2 equivalent. This project will be located in the municipality of Union Hidalgo. Additionally, Siemens GAMESA will invest US$400 million in the construction of another wind farm. For this project, six assemblies were held to achieve community consent for the construction works.
The Ixtepec-Yautepec transmission line that will interconnect the states of Oaxaca and Morelos is a priority as well. Along with the governor, SEMAEDESO is intensively lobbying for its development. This project will open the door for more investment and will incentivize the development of not only more wind energy projects but also the introduction of new industries, such as automotive manufacturing plants or even wind infrastructure components facilities.
Regarding the solar segment, the state is developing a project in collaboration with the Energy Ministry to introduce thermo solar technology to hotels located in the city of Oaxaca. One of Oaxaca’s main economic activities is tourism and if we install solar heaters in the city's 6,000 hotel rooms, we will boost the city’s economic development while decreasing CO2 emissions. These projects could not be developed without skilled local human capital. Now, international companies bring their own personnel with them. Oaxaca’s Universities System (SUNEO) has 10 universities and 18 campuses across the state. We want to promote training of technical professionals in the renewable energy arena by investing in this system as well.