CSP launches unprecedented solar energy project

With an investment of $800 million, Claudia Sheinbaum's government is betting on renewable energy, more specifically, solar energy, and decarbonization.

This isn't new. He had already announced that this was his intention. But now, he's presenting specific, innovative projects with a defined budget.

The Mexican government will build a pair of solar thermal power plants with thermal storage in the state of Baja California Sur.

This is the first project of its kind in Mexico.

It will allow the country to incorporate solar technology that will produce electricity with a steady capacity, meaning without interruptions.

These plants will allow for the decarbonization of part of the electricity sector by replacing fossil fuels such as fuel oil, diesel, and gas.

In addition, its construction and maintenance can be carried out with national materials.

This initiative is aligned with government policy, which seeks to strengthen energy self-sufficiency and sovereignty with a reliable and secure National Electric System.

At the presidential conference, Energy Secretary Luz Elena González Escobar presented the project to build the first two solar thermal power plants with thermal storage in the state of Baja California Sur.

It is focused on meeting the energy transition goals that establish by law that at least 35% of electricity generation, by 2030, will be with clean and renewable energy.

According to information from Jorge Marcial Islas Samperio, Undersecretary of Planning and Transition at the Ministry of Energy, this is a mature technology, with an average of 15-20 years of existence internationally.

Worldwide, there is an installed capacity of 1,400 MW through solar thermal plants.

This pair of solar thermal plants in Mexico will be completed by the end of the six-year term.

They are expected to generate between 50 and 100 megawatts of generating capacity and benefit between 100,000 and 200,000 homes, according to estimates by Emilia Calleja, director of the Federal Electricity Commission (CFE).

President Sheinbaum revealed that the CFE subsidizes electricity rates with an annual contribution of 100 billion pesos, allowing households to avoid paying the true cost of generation.

He added that to ensure this support is sustainable over time, a comprehensive plan is being promoted that includes modernizing equipment and installing solar panels in homes.

This is the second announcement by the Mexican government that marks a change in electricity sector policy compared to the previous six-year term.

The first was just a few days ago, when it was announced that $8.177 billion would be invested in the construction of more than 6,000 kilometers of new transmission lines and 524 electrical substations to strengthen the electricity supply for more than 50 million users in Mexico.

This is a fundamental step, considering that during the Obradora administration, investments in distribution and transmission were minimal, if not nonexistent.

In both cases, the direction of electricity policy appears to be different.

They are oriented, on the one hand, toward the incipient overcoming of the bottleneck that Mexico has in both distribution and transmission.

And on the other hand, in the long term, it is moving toward clean energy with a model that has been used in the United States, Spain, and Abu Dhabi, the latter of which is home to the world's largest park: Noor-1.

It is a bet that, like all bets, has its risks.

However, it's positive that the government is launching long-term projects aimed at meeting growing demand and reducing the carbon footprint. At the same time, it's important to remember that.

Glimpses

In financial circles, there is talk that with Ángel Cabrera's appointment as president of the National Banking and Securities Commission, there will be intense oversight of financial institutions.

That the financial system's regulatory body will closely review how financial intermediaries operate. Hopefully, that will be the case.