Mexico's Coahuila, Oaxaca states push solar projects

Thursday, October 24, 2013

Mexico's northern Coahuila and southern Oaxaca state governments are each pushing solar PV projects for local development.

The Coahuila state legislature has passed a resolution to sign a 15-year power purchase agreement (PPA) with developer Parque Solar Coahuila for a solar park that will cover consumption of the state government and the municipal governments of Torreón and Matamoros.

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Private firms will finance the entirety of the project, with approximately 40% participation of local firms.

The state expects power costs from the private solar park to be 15% lower than prices paid to national utility CFE, according to the resolution.

The park will be located in the Laguna region of the state. Installed capacity of the project has not been released.

In Oaxaca, Chinese firm Hareon Solar is planning investment of US$250mn for a solar park and a solar panel factory, according to the state's minister of tourism and economic development, José Zorrilla de San Martín Diego.

"The production of solar panels would be done in the Tehuantepec Isthmus," he told reporters. "From there they would take the product to other countries and power generation would happen in Costa Chica."

The firm is waiting for interconnection approval from CFE to move forward on the solar park, according to Zorilla. The project's size was not disclosed.

Zorilla says the project would generate 1,000 clean energy jobs in the Tehuantepec Isthmus, where the vast majority of Mexico's wind capacity is installed.