The Federal Electricity Commission (CFE), Mexico’s state-owned power utility, has announced an ambitious expansion of renewable generation, with investments exceeding MXN 29 billion. Among the flagship projects is the expansion of the Puerto Peñasco solar complex in the state of Sonora, which will add 580 megawatts (MW) and reach a total installed capacity of 1,000 MW, consolidating its position as the largest solar power plant in Latin America.
Phase III of the project will add 300 MW of solar PV capacity and 90 MW of battery energy storage with a three-hour duration, with an estimated investment of MXN 6.49 billion. Construction is scheduled to begin in the remaining weeks of December. Phase IV will start in February 2026 and will include 280 MWac of solar capacity and battery storage equivalent to 30% of capacity for three hours, with an investment of MXN 6.79 billion. Both phases are expected to be completed by the first quarter of 2028.
“Puerto Peñasco is not just about solar capacity: it includes energy storage, grid infrastructure and power generation for strategic development hubs,” said Luz Elena González, Mexico’s Secretary of Energy.
The plan also includes two new solar power plants in the northern state of Coahuila: Carbón II and Río Escondido, which together will contribute 556 MW supported by battery storage systems. Construction is set to begin in February 2026 and run through 2028, with a combined investment of approximately MXN 15.45 billion.
The Carbón II photovoltaic plant will have 376 MWac and battery storage equivalent to 30% of capacity for three hours, with an investment of MXN 10.4 billion. Meanwhile, the Río Escondido solar park will feature 180 MWac and the same proportion of three-hour battery storage, requiring an investment of MXN 5.05 billion. The tender process will be launched in January and will be overseen by a working group comprising the Ministry of Energy (SENER), CFE, and the National Infrastructure Fund (FONADIN).
“We are delivering on a strategic objective: ensuring the country’s energy sovereignty through orderly, clean and sufficient planning,” said President Claudia Sheinbaum during the official presentation. She highlighted that these developments will help secure a 54% state share in electricity generation.
As part of the same strategy, CFE is also assessing three additional projects under mixed development schemes with FONADIN and SENER: two solar plants—Las Garzas in Durango (270 MW) and Los Girasoles in Quintana Roo (110 MW)—and a 63 MW wind farm in San Luis de la Paz, Guanajuato. These projects, totalling 443 MW, were included in the portfolio of assets acquired by the Mexican state from Iberdrola and are currently undergoing technical evaluation. They represent three of the nine initiatives proposed by FONADIN.
“We are working through tripartite technical committees to review the technical characteristics and the status of prior permitting for each project. This is a binding planning exercise that will allow for an orderly start to development,” explained Emilia Calleja, CEO of CFE.
In recent weeks, rumours have circulated among key industry stakeholders regarding a potential change in CFE’s top management, with José Antonio Rojas, a senior official close to the presidential team, mentioned as a possible successor to Calleja. While no official decision has been announced, the issue is already part of internal discussions within the energy sector’s technical circles.
From the Ministry of Energy, González stressed that “in addition to phases III and IV of Puerto Peñasco, there are five more power plants in planning with FONADIN,” reinforcing the inter-institutional coordination behind the strategy.
On the grid side, CFE has scheduled 66 transmission projects to be executed between 2025 and 2026, with an estimated investment of MXN 35.84 billion. These upgrades will be critical to supply regions with rapidly growing electricity demand, particularly industrial areas in the north and south-east of the country.
The private sector is also mobilising significant capital. As previously reported by Energía Estratégica, the Ministry of Energy has authorised 20 new private-sector projects that will add 3,320 MW of generation capacity and 1,488 MW of energy storage, representing investments of more than MXN 90 billion. Construction on these projects is expected to begin immediately.
“At CFE, we are fully committed and will continue to work with order and transparency to ensure that every project fulfils its purpose,” Calleja concluded.
