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Mexico's electricity demand hits record amid extreme heat and water shortages
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Mexico's electricity demand hits record amid extreme heat and water shortages
May 28, 2024 11:38 AM

MEXICO CITY, May 28 (Reuters) - Mexico has been

consuming record amounts of electricity and occasionally more

than its utility infrastructure can generate and transmit,

official data showed, as scorching heat raises the likelihood of

power outages.

In the late afternoon on Monday, Mexico consumed 51,595

megawatts of electricity across the country, grid operator

CENACE recorded.

When demand exceeds supply, the country becomes much more

prone to outages.

With some widespread outages so far this year and hotter

days ahead, addressing this problem will be one of the main

challenges for the next president, who will be elected on

Sunday.

State-owned utility CFE, a near-monopoly that produces

99.47% of Mexico's electricity, and state-owned grid operator

CENACE are suffering from aging and insufficient infrastructure

as well as inadequate efforts to modernize and invest in

renewable power sources.

"There have been too many years now where demand was growing

but there was an underinvestment in electricity generation and

transmission," said Paul Alejandro Sanchez, an independent

energy consultant. "The challenge isn't the average demand. It's

when demand spikes to such extremes."

Heat has driven electricity consumption by both households

and industries, but Mexico also keeps growing.

Increasing supply is difficult, and hydroelectric plants in

particular have been hit by extreme water shortages.

Over the past six years, energy nationalist President Andres

Manuel Lopez Obrador has prioritized CFE, which largely burns

fuel oil to generate electricity. He also curtailed growth of

privately owned generators, many of whom have seen their

renewable energy plans stymied.

Lopez Obrador is barred from running for a second term in

Sunday's election. But the three candidates have all vowed to

tap the country's vast solar, wind and water potential 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 said that they would focus on renewable energy to

boost sustainability.

The National Autonomous University of Mexico forecasts new

heat records in some states will lead to "an increase in energy

demand, poor air quality and forest fires."

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