Growth through conservation: DSM in Mexico

Journal Article · Sun Aug 01 04:00:00 EDT 1993 · Public Utilities Fortnightly; (United States)

OSTI ID:5533282

Rodriguez, I; Wolcott, D

Mexico's electricity consumption is expected to grow at an average annual rate of about 6 percent between 1992 and 2000; a slightly higher growth rate is anticipated in the industrial sector. To meet this demand, the Comision Federal de Electricidad (CFE), Mexico's national utility, plans to build almost 14,000 MW of additional generating capacity, which is to come on line between 1993 and 2000 at an estimated cost of US $34 billion (including additional transmission and distribution investments). In 2000, such a capacity expansion would represent a 78-percent increase over 1990. As a result, CFE faces substantial increases in its external indebtedness in the 1990s, and unattractive option for a utility that had already accumulated nearly $1 billion in external debt as of the end of 1991. Significant growth in CFE's indebtedness would represent a setback for a nation that has worked diligently over several years to contain and reduce nearly unmanageable levels of external public-sector debt. Additionally, there are large, competing capital requirements in Mexico for other public services, such as roads, water, and sewage systems. It is in this context that Mexico is considering alternatives to the conventional approach to capacity expansion and is exploring a complementary alternative: demand-side management (DSM). Compared to other countries in Latin America, Mexico is well ahead in implementing both innovative tariff mechanisms and pilot projects.

• OSTI ID: 5533282
• Journal Information: Public Utilities Fortnightly; (United States), Journal Name: Public Utilities Fortnightly; (United States) Vol. 131:15; ISSN PUFNAV; ISSN 0033-3808
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
296000* -- Energy Planning & Policy-- Electric Power
COST BENEFIT ANALYSIS
DEVELOPING COUNTRIES
ECONOMIC ANALYSIS
ECONOMICS
ELECTRIC POWER
ENERGY SOURCE DEVELOPMENT
FINANCING
INDUSTRY
LATIN AMERICA
MEXICO
NORTH AMERICA
POWER