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MEXICO Mexico has an outstanding wind power potential: 50 GW or more [13]. With high load factors of over 20 per cent, and mean annual wind speeds that can be as high as 11 m/s in some locations, Mexico seems to have its energy future blowing in the wind [14]. It is no surprise then that current installed wind energy capacity is above 1,900 MW, and that wind supplies over three per cent of renewable electricity produced in the country [12]. More than 1,500 MW of additional clean wind power capacity is already under construction or is soon to begin [13]. At first glance, wind energy in Mexico seems to play a minor role. The renewable energy sector is dominated by hydropower and geothermal generation, offering more than 80 per cent and 14 per cent of the share of total clean electricity supply respectively [6]. When looking at the evolution of the Mexican wind energy sector, wind power has been the fastest growing and most penetrating technology in recent years. In 2012, wind power grew almost 400 per cent compared to the year before [15]. Wind power capacity in Mexico could be 10 to 20 times larger by 2020 [13]. Mexico and wind power certainly offers a renewable energy success story. Since the 1990s, Mexico has been laying the foundations for continuous wind energy deployment, by putting wind energy friendly policies in place. This is what explains the success wind power has enjoyed in the country: the systematic building up and establishing of a constructive policy framework that provides confidence to investors, and which attracts investments from local and international players [16]. LARGER BY 2020 WIND POWER CAPACITY IN MEXICO COULD BE 20X Annual investment growth in clean energy has been relatively steady in Mexico’s since 2008, about 13 per cent on average [17]. Much of that growth is attributed to wind power, Mexico’s flagship green electricity. Back in 2001, there were 3 MW capacity of wind power. Just over a decade later, it boasts over 1500 MW [6]. Currently, Mexico is the most attractive country for wind investments in Latin America, followed by Brazil and Chile [9]. 2012 brought investments of US$2.3 billion in the wind sector, almost eight times more than in 2011 [7][8]. In the same year, two of the top three clean energy asset finance deals were wind related: a 396 MW wind farm worth US$960 million, and another wind farm of 102 MW, worth US$165 million [7]. Over the last two decades, it has involved relevant stakeholders (particularly private sector and international funding agencies) in creating, developing and growing a wind sector through the provision of policy certainty. The policies have been rolled out through various means: contracts to connect variable energy sources to the national grid; expanding transmission infrastructure; developing a national strategy to promote renewables; issuing new regulations to strengthen the self-supply modality of electricity provision; issuing tenders for additional installed capacity development; and providing finance for self-supply modality wind energy projects [16]. In short, the Mexican government has built a more supportive regulatory and financial environment that offers confidence to investors. In 2003, there was less than 1 MW of wind power installed capacity operated by private companies. By 2013, it surpassed 1,900 MW [2]. Over the last two decades, the Mexican government’s commitment towards wind energy has only increased. Nonetheless, and despite of the outstanding growth in wind power capacity and the increasingly attractive investment environment, Mexico is still far from seizing its own full potential. At least 12 GW of installed capacity can be economically feasible and yet to develop by 2020[14]. However, current expectations of achieving 33 per cent clean energy by 2018 [18] will probably lead Mexico towards exploiting this available and huge wind resource potential3. 3 In the context of this target, Mexico aims to generate 33 per cent of its electricity with “clean energy” which includes renewables but also hydroelectricity, cogeneration and biofuels. WWF | Green Energy Leaders: Latin America’s Top Countries In Renewable Energy | Page 26PDF Image | Latin Americas Top Countries In Renewable Energy
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