Mexico’s incoming government should “consider the reactivation of electricity auctions that could drive new energy generation projects that the country needs to get ahead of the demand that will accompany nearshoring in Mexico, such as intense consumption during times of high temperatures and the need to accelerate the energy transition,” Andrea Villanueva Villarreal, a senior advisor and energy consultant, who worked as senior legal counsel at Mexico’s Comisión Federal de Electricidad (CFE) from 2019-2023, told NGI’s Mexico GPI.

“The electricity auctions are a mechanism of cost-efficiency and, considering that they can offer an environmental, social and corporate governance (ESG) component, they are aligned with the incentives of the companies that are  looking for...