Iberdrola Mexico, the largest privately owned electric utility in the country, has begun the sale of energy to the new Wholesale Electricity Market (WEM) following the commissioning of its combined-cycle Baja California III plant, located in Ensenada, Baja California.
The company, which currently has an operational capacity of 6 GW in Mexico, in addition to 4 GW currently under construction, will sell 20 MW of the new plant’s total capacity of 314 MW to the Wholesale Electricity Market. This figure corresponds to the additional available capacity provided for in the IPP contract signed with the Federal Electricity Commission (CFE).
New qualified users, including Iberdrola Clients, will be able to purchase the energy sold to the market once the matching process gets underway.
The Wholesale Electricity Market was implemented last year as a key component of the Mexican energy reform. The market is operated by the National Center for Energy Control (CENACE).
The commencement of operations by Iberdrola Mexico brings the number of companies active in this market to nine.
According to Enrique Alba, Iberdrola’s Corporate Director in Mexico, the company’s participation in this market “is further proof of the company’s commitment to Mexico and our eagerness to provide our clients with an efficient service, and competitive and sustainable rates, through our natural gas plants.”
Iberdrola Mexico recently announced that it would build a new natural gas plant in the municipality of El Carmen, Nuevo León, with an installed capacity of 850 MW, following the required investment of approximately USD 450 million. This plant will sell energy exclusively to the Wholesale Electricity Market.