Solar is set to surge in Mexico, but not without its risks. From the record-low prices at auction and delays caused by permitting and land disputes to financing and organised crime; industry insiders agree the market has its particular challenges.
Mexico and Central American countries have turned their gaze to renewables, solar in particular, to meet the energy demands of the region’s growing population, moving towards a clean energy future. The high retail electricity prices in Central America, coupled with region’s inherent natural solar potential, have resulted in an impending boom in the solar industry. This is further aided by the improvements on the policy-front, with net metering regulation, the Clean Energy Corridor and Mexico’s energy reform creating a more renewables-friendly policy environment.