Mexico Energy

Three long-term electricity auctions and one midterm auction later, Mexico has demonstrated that renewables are here to stay. As the energy mix gets greener, the country is further developing its renewable energy value chain and final users will see the impact in their electricity bill if this growth is enhanced in the coming years. In the meantime, Mexico’s industrial segment will be increasingly gas-fueled. A strategy regarding production, transportation and distribution needs to be established for guaranteeing grid reliability, coping with rising demand and transitioning toward a low-carbon future. By the time the López Obrador administration entered, the government’s renewed focus on national resources became apparent, with a stronger role for state production company CFE part of the vision. Even though the sector experienced uncertainty in the wake of cancelled auctions and a shifting governmental vision for the sector, resulting in policy changes, the outcomes regulatory processes will become clearer over time. In 2020, Mexico Energy Review continues to gain insight from Mexico’s energy sector to closely follow developments, assess its impact and reveal what key industry players are working toward.