CFE plans to increase power generation capacity for Mexico

Mexico's state power company CFE plans to increase its generation capacity by 27.0 GW to reach a total 69.0 GW by December 2016, CFE financed investment projects director Eugenio Laris said in a presentation at the Latin American energy symposium in Mexico City.
The increased capacity will entail the installation of roughly 65 new plants, which will help meet consumption that is due to grow from 199 TWh last year to 322 TWh in 2016.

Increased capacity over the next few years will come primarily from gas-fired plants and conventional technologies due to lower costs, shorter construction times and the short-term need to meet rising demand. Prospective hydroelectric projects include the 750 MW La Yesca, scheduled to begin operations in 2012, a 114 MW project on the Moctezuma river and the 900 MW La Parota project.
Investment of $ 1.02 bn has been approved for La Parota's development. The figure includes $ 200 mm for social works and compensation.

La Parota would be located 28 km from Acapulco on the Papagayo river with a height of 162 m and feature three 300 MW turbines. Estimated start-up for the plant is 2014.
The company also is studying the Paso La Reina project on the Verde river in Oaxaca state, the 500 MW Pozolillo project on the San Pedro river in Nayarit state that could begin operations in 2016 and the expansion of the 1 GW Infiernillo plant in Guerrero state. CFE also is studying nuclear development, although a new plant could not begin commercial operations until after 2015.

Renewables
CFE has a vision for renewable generation development. CFE believes there is wind generation potential of more than 7 GW nationwide and roughly 2 GW of geothermal potential, Laris said, highlighting the country's relatively untapped solar and biomass potential.
With regard to the latter, Laris said the agriculture sector using methane for distributed generation could produce 3 % of current output, while biogas from landfills could provide an additional 1 GW.

CFE is carrying out a pilot project for wave energy generation -- the first in Latin America -- 2.4 km offshore Rosarito in Baja California state, Laris said.
Current technologies to harness wave energy produce very little power and it is necessary to begin investigating the renewable resource, he added.