Slow but Steady Developments in Mexico’s Energy Industry

Claudia Sheinbaum oversaw the first stage of the solar plant installed on the roofs of the capital city’s central market, as other projects advance at a steady pace. Moreover, the Asia-Pacific Economic Cooperation (APEC) shared its outlook for hydrogen energy in Mexico. APEC estimates that hydrogen may form 5% of the country’s energy mix in 2050.

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Central Market’s Solar Plant Will Be Completed in 2023

The solar power plant that under construction on the roofs of the capital city’s central market is located in Iztapalapa and is expected to produce 30% of the energy used in the central market. It will be the largest of its kind with an annual generation capacity of 25GWh.

Hydrogen May Be 5% of Mexican Energy Mix in 2050: APEC

A study by the Asia-Pacific Economic Cooperation (APEC) displayed different scenarios for hydrogen production in Mexico toward 2050. The Energy Demand and Supply Outlook study reviewed energy production, supply and demand for the 21 nations comprising APEC. Moreover, APEC considers that production will grow faster due to the rise in sales of fuel cell vehicles and applications for passenger transport.

Mexico Meets With Canadian Companies Over Energy Dispute

Mexico’s Minister of Economy, Raquel Buenrostro, met with Canadian players Northland Power, Canadian Solar and CDPQ to follow up on energy agreements. Buenrostro agreed to meet with the companies in February to discuss further progress. The Mexican government reported that it has taken the concerns of five energy companies with Canadian capital into consideration. 

CFE Failed to Reach Power Generation Capacity Goals

According to SENER’s annual reviews, CFE failed to reach generation capacity targets. SENER reported that in 2020, CFE reported a year-over-year uptick of 1.8% when the goal was to reach 2.9%. By the end of 2021, generation capacity grew 1.2% while an increase of at least 2.8% was projected. Moreover, Manuel Bartlett, Director, CFE, announced that the company has invested over US$9 billion in the construction of 16 new power plants that will contribute 8GW.

Nuevo Leon Energy Cluster Worries About Energy Availability

According to the Employers Confederation of the Mexican Republic (COPARMEX), the prolific industrial activity and population density of the state make Nuevo Leon a large energy consumer. Cesar Cadena, President, Nuevo Leon Energy Cluster, said energy companies are worried that the state does not have enough power available to meet the energy needs of companies in industrial parks. Data from CFE revealed that during 2021, the largest share of widely considered to be clean energy sources was natural gas at 43.77% followed by hydroelectricity at 17.22%. Nevertheless, natural gas still causes emissions that net zero manufacturers would need to offset.

Energy Prices Rise in the First Half of January

Energy prices increased 2.79% in the first two weeks of 2023 compared to the same period in 2022. According to the civil association México Cómo Vamos’ report on inflation, electricity rates were among the energy products with the highest rise in costs at the beginning of January.

SENER Awards IMSS for Energy Efficiency

SENER awarded the Mexican Social Security Institute (IMSS) for its actions and efforts to advance energy efficiency. The general director of Social Security, Zoé Robledo, received the award because the Institute is the government agency with the highest rating in energy efficiency, as well as for operating a vehicle fleet of more than 500 efficient units. In 2021, IMSS invested MX$294 million pesos (US$15,634,422) in the matter.