Renewable Energy

An Expert's View about Renewable Energy in Mexico

Posted on: 30 Jun 2012

Energy production and infrastructure will continue to be a priority for Mexico’s federal government during 2012, the last year of President Calderon’s administration.

Renewable Energy A Top Export Prospect for Mexico June 2012 Overview Renewable Energy Market 2010 2011** 2012 (estimated) 2013 (estimated) Total Market Size 2,101.2 2,166.5 2,512.8 2,966.0 Total Local Production 317.8 325.7 334.4 343.3 Total Exports 318.6 328.9 339.5 350.4 Total Imports 2,102.0 2,169.7 2,517.9 2,973.1 Imports from the U.S. 865.7 901.4 1,050.7 1,240.8 Figures listed in USD millions Wind Energy Market 2010 2011** 2012 (estimated) 2013 (estimated) Total Market Size 824.0 848.1 1,147.2 1,551.5 Total Local Production 110.0 112.7 116.0 119.5 Total Exports 120.0 123.6 128.5 133.6 Total Imports 834.0 859.0 1,159.7 1,565.6 Imports from the U.S. 341.3 354.9 479.1 646.8 Figures listed in USD millions Solar Energy market 2010 2011** 2012 (estimated) 2013 (estimated) Total Market Size 737.2 758.5 784.3 811.0 Total Local Production 82.2 83.8 85.5 87.2 Total Exports 97.0 99.9 102.9 106.0 Total Imports 752.0 774.6 801.7 829.8 Imports from the U.S. 258.2 266.5 277.2 288.3 Figures listed in USD millions Top xport gy 2 US E Prospects in Mexico 2012: Renewable Ener Hydro Energy market 2010 2011** 2012 (estimated) 2013 (estimated) Total Market Size 260.8 272.8 283.6 294.8 Total Local Production 73.6 75.8 78.1 80.4 Total Exports 41.9 43.6 44.7 45.8 Total Imports 229.1 240.6 250.2 260.2 Imports from the U.S. 118.0 129.9 135.1 140.5 Figures listed in USD millions Geothermal Energy market 2010 2011** 2012 (estimated) 2013 (estimated) Total Market Size 185.5 190.5 197.3 204.3 Total Local Production 41.2 42.2 43.3 44.4 Total Exports 49.9 51.7 53.0 54.3 Total Imports 194.2 200.0 207.0 214.2 Imports from the U.S. 100.9 104.0 107.6 111.4 Figures listed in USD millions Biomass Energy market 2010 2011** 2012 (estimated) 2013 (estimated) Total Market Size 93.7 96.6 100.4 104.4 Total Local Production 10.8 11.2 11.5 11.8 Total Exports 9.8 10.1 10.4 10.7 Total Imports 92.7 95.5 99.3 103.3 Imports from the U.S. 47.3 49.7 51.7 53.8 Figures listed in USD millions ** Based on statistics available from January to November 2011 (11 months) Source of information: BANCOMEXT, Mexican Import/Export Bank statistics, Secretary of Economy Statistics, Mexico’s Central Bank officials, CFE, the National Energy Savings Commission, AMDEE (Asociación Mexicana de Energía Eólica), ANES (Asociación Nacional de Energía Solar), and representatives of U.S. companies in Mexico. As illustrated in the tables above, the demand for imported renewable energy-related equipment and services will increase by approximately 4 percent in 2012 and 2013, while U.S. exports to Mexico will grow by the same amount in the same years. The only exception is wind power, which is the fastest growing renewable energy in Mexico at an estimated 35% growth in 2012 and 2013. Mexico grew from 3 MW of installed wind power capacity in 2005 to 1,108 MW in place by April 2012 and experts have defined a potential of at least 12,000 MW, which would reach 15% of the total energy generation by 2020. Top port 3 US Ex Prospects in Mexico 2012: Renewable Energy Energy production and infrastructure will continue to be a priority for Mexico’s federal government during 2012, the last year of President Calderon’s administration. Given Mexico’s proximity to the United States, the absence of import duties on U.S. exports to Mexico (as a result of NAFTA) and the lack of manufacturing capacity currently in Mexico’s renewable energy industry, the market would likely be an area of distinct U.S. export competitiveness. Best Prospects/Services Energy sub-sectors: WindPower, Hydropower, Solar, Geothermal, and Biomass renewable energy sub-sectors continue to grow and represent opportunities for US exporters. The industry’s growth has been driven primarily by government targets for renewable energy and the availability of a world-class wind resource in southern Mexico and coastal states, particularly those close to the border with the United States, which matches California’s demand for extra energy.. Mexico is modernizing at a fast pace and this is the right time to participate in this explosive growth. Additional efforts on sustainability include the governments of Mexico and the United States signing a Memorandum of Understanding in January 2012, outlining a program of technical collaboration to develop and expand Mexico’s Low Emissions Development Strategy with funding of $70M for the following five years. Opportunities A number of major projects will drive investment in the sector and offer opportunities to US companies either as contractors, sub-contractors, or suppliers of equipment/technology. During the first months of 2012, 650 MW of new capacity will be launched with projects such as La Venta III & Oaxaca I, II, III & IV. Afterwards, the next planned renewable power projects are: Project / Capacity Technology Timing Cerro Prieto (5 MW) Solar Q3 2012 Sureste I (300 MW) Wind 2012 Sureste II (300 MW) Wind 2013 Sureste III (300 MW) Wind 2015 Sureste IV (300 MW) Wind 2016 Rumorosa I (100 MW) Wind 2014 Rumorosa II (100 MW) Wind 2014 Rumorosa III (100 MW) Wind 2015 Back to top Top port n 4 US Ex Prospects i Mexico 2012: Renewable Energy Resources • Secretariat of Energy: • Federal Electricity Commission: • Energy Regulatory Commission: • National Infrastructure Plan: • Nat’l Commission for the Efficient Use of Energy: • Fund for Energy Saving-FIDE: • AMDEE: • ANES: For More Information Please contact Miguel Vazquez, Commercial Specialist for Renewable Energy at the U.S. Commercial Service in Mexico at or (11-52-55) 5140-2643. You can also visit our website at The U.S. Commercial Service — Your Global Business Partner With its network of offices across the United States and in more than 70 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting Disclaimer: The information provided in this report is intended to be of assistance to U.S. exporters. While we make every effort to ensure its accuracy, neither the United States government nor any of its employees make any representation as to the accuracy or completeness of information in this or any other United States government document. Readers are advised to independently verify any information prior to reliance thereon. The information provided in this report does not constitute legal advice. The Commercial Service reference to or inclusion of material by a non-U.S. Government entity in this document is for informational purposes only and does not constitute an endorsement by the Commercial Service of the entity, its materials, or its products or services International copyright, U.S. Department of Commerce, 2012. All rights reserved outside of the United States.
Posted: 30 June 2012

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