The five year plan (2017-2021) has been approved by CFE’s board and outlines an investment of 256bn pesos ($13.7bn) toward modernisising its distribution network and developing a smart grid.
According to BNAmericas, Comisión Federal de Electricidad (CFE) plans to invest 168bn pesos in generation to increase capacity by more than 8GW, up 14% from 2016.
The company plans to boost efficiency of its existing power stations through modernization and maintenance, for which it will seek private investment.
CFE will also invest a total of 40bn pesos in transmission lines, of which 27bn pesos correspond to investments already underway, while 48bn pesos will be invested in distribution.
The utility’s 5-year plan is geared toward reducing CFE’s operating costs by 21%, saving 22bn pesos. CFE plans to consolidate its new operating model and structure with its 13 subsidiaries and affiliates – a result of the 2014 energy reform – as it participates in the newly created wholesale power market.
One of its goals is to also reduce technical and non-technical losses and maximize operational efficiency. The company announced in February, that it had made an 85.5bn peso profit in 2016, turning around a 93.9bn peso loss in 2015.
CFE deal with Honeywell
In October last year, Mexico’s state utility Comisión Federal de Electricidad has selected Honeywell to assist in modernising and stabilizing its grid networks in Mexico’s east and southeast regions. Under the agreement, Honeywell will deploy more than 200,000 smart electricity meters, with communications devices and software analytics tool to seven cities in the utilities east and southeast regions.
Honeywell has to date, provided more than one million meters to CFE since 1992 in a bid to reduce costs and boost energy efficiency for 35 million customers. The deployment includes the rollout of 700,000 smart meters for residential and commercial customers, as part of multiple network upgrades in all of the utility’s 16 regional divisions in Mexico. Read more…
Image credit: www.racom.eu