Mexico faces critical energy challenges. The country must add at least 40,000 MW of installed capacity over the next twelve years to meet growing demand. New sources of cleaner, cheaper power generation are needed to reduce carbon emissions, lower electricity prices and improve economic competitiveness.
The secondary legislation proposed by Mexico’s government in late April is crucial for boosting the country’s natural gas production and supplying reliable, affordable electricity, but many questions remain. Will Mexico see the boom in domestic gas production from shale and other resources that many are hoping for? Will President Enrique Peña Nieto deliver on his promises to lower power prices and reduce subsidies? Will renewable energy developers have sufficient incentives for investment?
Speakers:
- Nick Puga
Partner, Bates White Economic Consulting - Horacio Cuevas
Energy Innovation Center, Inter-American Development Bank
