Plan México: Expanding Electricity, Driving Investment

President Claudia Sheinbaum announced that Plan México outlines CFE’s 145 electricity transmission projects scheduled between 2025 and 2030. The initiative is expected to create substantial opportunities for energy and infrastructure investments while addressing key demands from the private sector, according to Francisco Cervantes, President, Business Coordinating Council (CCE).

Sheinbaum also revealed plans to increase Mexico’s electricity generation capacity from 356TWh to 413TWh. The expansion will be driven by a mix of natural gas and renewable energy sources, with a strong emphasis on solar and wind power, supported by conventional backup technologies. By 2030, clean energy is also projected to account for 38.7% of Mexico’s electricity production under a medium-scenario forecast. 

During her 2024 campaign, Sheinbaum pledged US$13.6 billion to expand renewable energy generation and transmission infrastructure, including the construction of 3,850km of new power lines. The expansion of electrical infrastructure has been a persistent challenge in Mexico. Under former President López Obrador, two major transmission projects were canceled due to high costs and limited benefits to CFE.

Cervantes emphasized that Plan México’s initiatives create favorable conditions for private sector involvement by addressing its primary concerns. “This comprehensive plan directly responds to our needs, focusing on infrastructure and investment across public, private, and mixed sectors, including energy, water, and airports. It is a well-structured and thoughtful initiative,” he stated.

He also praised the federal government’s forthcoming Digital Agency, which is designed to streamline bureaucratic processes and reduce delays. “Investors have long expressed frustration with permit processes that can take up to eight months. This new system will significantly accelerate approvals and eliminate redundant requirements,” Cervantes added.

The electricity transmission projects form a cornerstone of Plan México, aiming to strengthen North America’s supply chain integration and reduce reliance on imports from Asia. Sheinbaum stressed that reliable electricity access is a crucial driver for advancing nearshoring efforts and cementing Mexico’s role in global trade networks.