In a bid to upgrade its aging infrastructure and stem losses, Mexico's state utility CFE has awarded a smart grid contract to Silver Spring Networks for the capital city's central district, reducing power theft and allowing customers to monitor their consumption. Around 47% of the country's transmission lines are more than 20 years old, with only 8% built within the last five years. In partnership with Tecnologías EOS, part of the Megacable and Hola Innovación consortium, Silver Spring will deploy a canopy network across various residential and commercial areas of Mexico City's Centro Histórico neighborhood (pictured) for approximately 140,000 residential and commercial customers, providing connectivity solutions to cabinets housing a group of centralized meters. Silver Spring will also provide its multi-application IPv6 network and UtilityIQ software suite to connect and manage the individual cabinet meters, the California-based utility solutions firm said in a press release. "Mexico City is the largest metropolitan area in the Americas. We're honored to partner with Tecnologías EOS for the Megacable and Hola Innovacion consortium, and to help CFE modernize their infrastructure to help reduce energy loss, ensure revenue protection, and improve service and reliability to millions of their customers," the company's executive vice president of global sales and development Eric Dresselhuys said. "CFE is developing a model that energy providers across Latin America can look to for guidance as they begin to roll out infrastructure modernization programs in their regions." The CFE loses 45bn pesos a year (US$3.4bn) due to technical faults and theft, the energy regulatory commission (CRE) said last May. Of those losses, 15.3% is due to technical faults and 6% due to theft or illegal connections to the grid. That percentage can rise to 35% in some parts of Mexico City, Silver Spring said. In March the CFE said that, during the current administration, it was committed to reducing losses to around 10-11% from the current 15%. Silver Spring's cabinet-level networking and software solution will enable the CFE to reduce non-technical losses, increase billing accuracy, deploy remote connect and disconnect operations, and help ensure the safe delivery of its energy supply to its customers. Earlier this month, the CFE reported it had reduced the number of power outages in Mexico City and neighboring Mexico state by some 87.5% since 2010 as a result of infrastructure upgrades. Residents of the Valley of Mexico, which comprises the capital city and part of the neighboring and heavily industrialized Mexico state, suffered an average of 55 minutes of power interruptions in 2014, down from 440 minutes, (7 hours and 20 minutes), in 2010. The CFE has invested 3.76bn pesos (US$244.2mn) in upgrading the area's transmission and distribution infrastructure over the last four years. Works have included the installation of new circuits, new insulation on power lines and posts, upgrading of the underground cable network in Mexico City's central neighborhood and the modernization of substations, among other maintenance and repair tasks. BNamericas will host its 3rd Mexico Electric Power Summit on May 13-14 in Mexico City.