Not so long ago, the Isthmus of Tehuantepec became crowded with wind projects. The natural resources in this region were seen as an opportunity that had to be seized, but there was a significant issue every player pointed out: the lack of transmission infrastructure. The Ministry of Energy and CRE came up with the Open Season scheme, in which CFE and private players collaborate in the financing and construction of transmission infrastructure to evacuate electricity generated by wind farms in the Isthmus of Tehuantepec. Transmission continues to be a hurdle in the remote areas where the renewable energy sources are located, for which CRE will continue resorting to Open Season schemes.

CFE is planning the tender –which is expected to be launched in 2016– for the construction of a 200-kilometer long, ultra-high-voltage transmission line for the deployment of clean energy that will go from the Isthmus of Tehuantepec to the country’s central region. This initiative is poised to further push the development of wind energy in Oaxaca, and decrease technical losses in the grid. Pedro Joaquín Coldwell, Minister of Energy, stated that “the project will be a milestone, as it will be the first large-scale private investment in the construction of transmission lines using cutting-edge technology.” The significance of the endeavor lies in the fact that this is the first time the private sector and the State partner to finance a project of this type through CFE, showcasing the effects of the Energy Reform. However, the benefits the transmission line will bring to the wind power sector, the magnitude of the work entailed, and the transmission capacity are not to be overlooked.

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