Vestas surpasses 2.1 GW of total order intake in Mexico, thanks to its latest order for 306 MW. EnerAB, a joint venture between The AES Corporation and Grupo BAL, placed the order for the Mesa la Paz wind park, which derives from a corporate power purchase agreement (PPA).
In recent years, Vestas has increased its manufacturing footprint and commercial offering in Mexico to provide full value chain solutions, which has resulted in orders across different project types, including auctions and PPAs.
“Vestas continues its strategic focus on the Mexican market by increasing both its manufacturing footprint and installed capacity, which support Mexico’s development and create jobs,” said Enric Català, Senior Director Sales LATAM, Vestas.
Like most energy markets across the globe, Mexico is transitioning toward large-scale tenders and auctions, but corporate PPAs continue to originate large-scale projects outside of the auction systems. Underscoring this development, Bloomberg New Energy Finance estimates that corporate PPAs in Mexico totaled 5.4 GW in 2017 with the number expected to grow in 2018.
“With more than 1.3 GW of turbines either under construction or installed in Tamaulipas alone, Mexico has evolved into a strong example for other countries in Latin America for creating a more sustainable energy mix,” added Català.
By the end of 2017, Vestas had installed more than 4 GW in Latin America and announced plans to establish production facilities in Mexico together with its partners that will serve 4 MW platform blades to all of Latin America. With today’s contract, Vestas’ order intake in Mexico has reached more than 2.1 GW, including the Reynosa III wind park, which will be Mexico’s largest.
“EnerAB is committed to providing safe, reliable, and sustainable energy solutions to our customers. We recently won a 25-year PPA for the 306-MW Mesa La Paz wind facility. It’s the first renewable PPA above 300 MW in Mexico financed entirely through a U.S.-held private company,” said Juan Ignacio Rubiolo, CEO of EnerAB.
He added: “We choose Vestas as a provider based on our shared strategic focus on the Mexican market and its long-term potential to contribute to a greener energy future. Through EnerAB, Grupo Bal and AES aim to help Mexico reach its goal of generating 35% of its electricity through renewable sources by 2024.”
Turbine delivery and commissioning are expected during 2019.
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