In 2015 Mexico initiated the comprehensive reform of its energy sector with the passage of its Energy Transition Law (“Ley de Transición Energética”). So far, implementation of the law by the Mexican government has been robust. A key goal of the law is to significantly increase the share of renewables in the power mix. The Mexican government aims to generate 35% of electricity from “clean sources” by 2024 (up from 20% in 2016). This is an ambitious goal, in part because Mexico, with more than 120 million inhabitants and strong population growth, continues to face increasing demand for energy.

The transformation of the energy sector is being supported with various policy instruments, including clean energy certificates (CELs) and competitive auctions for renewable energy subsidies. Experience to date indicates that solar and wind will constitute the primary pillars of the transformation.

Against this backdrop, Agora Energiewende advises the German Agency for International Cooperation  (GIZ) which supports the Mexican government on energy transformation issues. Agora Energiewende also supports the “Iniciativa Climática de México” (ICM), a think thank which is active in shaping the Mexican energy transition.

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