Sheinbaum puts CFE's US$23bn investment drive at heart of national energy plan
Mexico’s state-owned power utility CFE will invest US$23.4bn in electricity generation, transmission and distribution in 2024-30 under the national energy plan unveiled by President Claudia Sheinbaum at her morning press conference on Wednesday.
Like her predecessor Andrés Manuel López Obrador (AMLO), Sheinbaum has put CFE in the driving seat of her strategy to increase the capacity of Mexico’s blackout-prone electricity system.
Under AMLO, CFE increased its share of generation from 28% in 2018 to its current level of 54%.
Emilia Esther Calleja, the utility’s CEO, said on Wednesday that CFE will invest US$12.3bn in generation, US$7.5bn in transmission and US$3.6bn in distribution during Sheinbaum’s six-year administration.
Sheinbaum said “a very significant part” of CFE’s investment in generation will be in renewable energy.
Private operators
The national energy plan will limit the share of private power companies to the current level of 46%.
Energy minister Luz Elena González estimated on Wednesday that between now and 2030, the private sector will invest somewhere from US$6bn to US$9bn to add 6,4GW to 9,55GW of new renewable energy capacity in Mexico.
González also said that the government would increase the maximum capacity of a distributed generation project before a permit is required to 0.7MW from 0.5MW.
These are normally solar photovoltaic installations used to power small industrial facilities.
New permitting procedures will be established for distributed generation projects from 0.7MW to 20MW, which do not sell excess electricity to the grid and which are mainly used to provide power to industrial parks.
Larger electricity generators will be able to sell the power they produce directly to CFE using long-term contracts, González said.
They will also be able to sell power into the electricity market and participate with CFE in joint ventures, in which CFE will hold a stake of at least 54%.
Sheinbaum said that secondary legislation to be published in early 2025 will provide more details about energy market regulations and the role of the private sector.
Subscribe to the leading business intelligence platform in Latin America with different tools for Providers, Contractors, Operators, Government, Legal, Financial and Insurance industries.
News in: Electric Power (Mexico)
Latin America's top 10 gas-fired power projects
Some 70 projects are in the early works stage and another 30 are under construction.
Mexico's EV sector has high hopes for Sheinbaum administration
Talking to BNamericas, local sector players expressed optimism about the incoming government.
Subscribe to Latin America’s most trusted business intelligence platform.
Other projects in: Electric Power (Mexico)
Get critical information about thousands of Electric Power projects in Latin America: what stages they're in, capex, related companies, contacts and more.
- Project: La Palmita I wind farm
- Current stage:
- Updated:
3 weeks ago
- Project: Luisa Photovoltaic Park
- Current stage:
- Updated:
3 weeks ago
- Project: Asunción Ixtaltepec wind farm
- Current stage:
- Updated:
4 weeks ago
- Project: Moctezuma solar project
- Current stage:
- Updated:
4 weeks ago
- Project: 347 CC Salamanca combined cycle plant
- Current stage:
- Updated:
4 weeks ago
- Project: Sureste IV and V wind farms (Sureste wind complex)
- Current stage:
- Updated:
4 weeks ago
- Project: San Isidro wind farm
- Current stage:
- Updated:
1 month ago
- Project: Sureste II and III wind farms (Sureste wind complex)
- Current stage:
- Updated:
1 month ago
- Project: Norte IV Combined Cycle Plant (Lerdo)
- Current stage:
- Updated:
1 month ago
- Project: Tango Solar Norte
- Current stage:
- Updated:
1 month ago
Other companies in: Electric Power (Mexico)
Get critical information about thousands of Electric Power companies in Latin America: their projects, contacts, shareholders, related news and more.
- Company: CFE Generación V
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: CFE Generación I
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: FRV Nuevo León Solar, S. de R.L de C.V  (FRV Nuevo León Solar)
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: Invenergy Clean Power México Development, S. de R.L. de C.V.  (Invenergy Clean Power México Development)
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: Woodside Petróleo Operaciones de México  (Woodside Energy)
-
The description contained in this profile was taken directly from an official source and has not been edited or modified by BNamericas researchers, but may have been automatical...
- Company: Servicios & Soluciones Electromecánicos S.A. de C.V.  (SESELEC)
-
The description contained in this profile was taken directly from an official source and has not been edited or modified by BNamericas researchers, but may have been automatical...
- Company: Siemens Gamesa Latam
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: Energía Sierra Juárez Holding, S. de R.L. de C.V.  (Energía Sierra Juárez)
-
The description contained in this profile was taken directly from an official source and has not been edited or modified by BNamericas researchers, but may have been automatical...
- Company: Grupo Loguinext S.A. de C.V.  (Grupo Loguinext)
-
The description contained in this profile was extracted directly from an official source and has not been edited or modified by BNamericas researchers, but may have been machine...