Mexico issues draft guidelines for second renewable energy auction

Los Azufres III, Phase 1 (Unit 17) geothermal power plant, Mexico (source: ThinkGeoEnergy, creative commons)
Alexander Richter 21 May 2016

Mexico will be holding its second renewable power auction in late September this year, with the hope of geothermal projects participating.

Mexico has published draft guidelines for the second power auction to be held on September 30, 2016.

Under the draft guidelines presented now, projects winning under the auction will have to deliver power through their contracts with CFE in 2019.

The overall principles of the second round will remain the same as in the first power auction, which was held in late March 2016, as reported by PV Tech.

There are high expectations for the second long-term power auction, after the liberalisation of the energy market, which opened the energy sector for private participation.

The changes have been welcome widely, with a large interest by investors from Mexico, but also internationally.  In the first auction 1,860MW was awarded across 11 renewable energy projects in the first auction, with essentially all projects either solar photovoltaic or wind projects.

One can only hope that the auction will also see some geothermal participation.

Source: PV Tech