Mexico clou energy storage

Are energy storage projects a luxury in Mexico?

Energy storage projects are still considered as a luxury in Mexico as currently they are too expensive to be financially viable. Energy storage infrastructure will require private sector financing.

Will energy storage technology be commercialized in Mexico?

As there are no particular regulations under Mexican law, we anticipate that energy storage technology will be commercialized as an ancillary service under the Wholesale Electricity Market and frequency response will be a key factor in the industry’s development in Mexico.

Is there a demand for energy storage in Mexico?

Presently, there is not a strong demand for energy storage in Mexico. However, after the electricity reform and the commencement of operations of the Wholesale Electricity Market has opened up the market to private investments, other electricity trading alternatives may be developed in Mexico.

Are Mexico's energy storage operations in a nascent stage?

Mexico’s energy storage operations are in their nascent stage compared to more widespread developments in the U.S. and several European countries.

Does Mexican law cover energy storage?

Mexican law does not currently specifically consider energy storage. However, it is anticipated that upcoming business practice manuals that are being drafted will include several provisions in connection with energy storage.

Will ancillary services affect energy storage projects in Mexico?

These new requirements for the reliability of the Mexican electricity system may force CENACE (the National Centre for the Control of Energy) to launch several auctions to purchase ancillary services that may have a positive impact for electricity storage projects.