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Mexico's Electricity Demand Hits Record Amid Extreme Heat and Water Shortages

Mexico has been consuming record amounts of electricity, occasionally surpassing what its utility infrastructure can generate and transmit, according to official data. This surge in demand is driven by scorching heat and water shortages, increasing the likelihood of power outages.


Mexico Electricity Demand Extreme Heat Water Shortages Power Outages Renewable Energy CFE CENACE Energy Infrastructure Election Issues Sustainability

Mexico's electricity consumption reaches record highs due to extreme heat and water shortages, raising the risk of power outages. As the country prepares for a national vote, addressing energy infrastructure and sustainability becomes a crucial election issue.


Record-Breaking Electricity Consumption

On Monday afternoon, grid operator CENACE recorded that Mexico consumed 51,595 megawatts of electricity nationwide. When demand exceeds supply, the country becomes significantly more prone to outages. This year has already seen several widespread outages, and with even hotter days forecasted, water and electricity have become major election issues ahead of the national vote on Sunday.


Challenges for the Next President

Finding a sustainable solution to keep up with rising demand will be a significant challenge for Mexico's next president. The state-owned utility CFE, which produces 99.47% of Mexico's electricity, and state-owned grid operator CENACE are struggling with aging infrastructure and insufficient modernization efforts. There has been a persistent underinvestment in electricity generation and transmission despite growing demand.

Paul Alejandro Sanchez, an independent energy consultant, noted, "The challenge isn't the average demand. It's when demand spikes to such extremes." The heat has driven electricity consumption by both households and industries, but the country’s continuous growth further exacerbates the issue. Increasing supply in the short term is difficult, especially as hydroelectric plants face extreme water shortages.


Impact of Energy Policies

Over the past six years, energy nationalist President Andres Manuel Lopez Obrador has prioritized CFE, which largely burns fuel oil, a byproduct of Pemex refineries, to generate electricity. This approach has led to electricity generation becoming dirtier, more expensive, and less sustainable. Furthermore, Lopez Obrador curtailed the growth of privately owned generators, many of which had renewable energy plans stymied.

International organizations have pointed out that Mexico is ideally positioned to become a clean energy powerhouse due to its high solar radiation, wind capacity, and geothermal sources. However, Mexico relied on fossil fuels for 77% of its electricity generation last year, with solar energy accounting for only 6%, according to Ember.


The Path to Renewable Energy

Lopez Obrador is barred from running for a second term in Sunday's election. However, the three presidential candidates have pledged to harness Mexico's vast solar, wind, and water resources to generate more electricity. Claudia Sheinbaum of Lopez Obrador's ruling Morena party, who is leading the polls, and her closest opponent, Xochitl Galvez, have both stated their commitment to focusing on renewable energy to boost sustainability.

The National Autonomous University of Mexico forecasts new heat records in some states, leading to "an increase in energy demand, poor air quality, and forest fires." Addressing these challenges and investing in renewable energy infrastructure will be critical for the next administration to ensure a stable and sustainable energy future for Mexico.



Mexico's electricity demand is hitting record highs due to extreme heat and water shortages, highlighting the urgent need for investment in energy infrastructure and sustainable solutions. As the country heads into a national election, the future president's approach to addressing these issues will be pivotal in shaping Mexico's energy landscape.



Source: Reuters

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