According to the Business Coordinating Council, electricity generated by private companies is 26% cheaper than that produced by the CFE.
MEXICO CITY (FORBES) – For years, companies in Mexico have undertaken a strategy to migrate from fossil fuels as a source of energy to cleaner alternatives in their operations, intending to reduce the carbon footprint of their operations but also reducing the cost of electricity, reaching levels of more than 80%.
According to the Business Coordinating Council (CCE), the electricity generated by private companies is 26% cheaper than that produced by the Federal Electricity Commission (CFE) plants. This percentage represents around 60,000 million pesos per year.
For example, America Movil (AMX), a major on the Mexican Stock Exchange (BMV) and owned by Carlos Slim, had the plan for 2020 that 50% of energy would come from clean sources, a goal it was close to achieving in 2019, by registering 94% progress, according to that year’s sustainability report.
“To achieve our goal of operating in a more eco-efficient way, one of our most important initiatives is to use renewable energy sources, mainly wind and solar,” highlights the cellular operator.
In fact, during 2019, AMX’s energy consumption in the operations of the different countries where it has a presence was 6.2 million megawatts/hour (MWh), of which 2.3 million were from Mexico.
The story of Walmart de México y Centroamérica is similar. Currently, 63% of total energy consumption comes from sustainable sources. However, it aims to reach 100% by 2035, as indicated in its “Financial and ESG Report 2020, A year of stories”.
In the document, the chain of self-service stores highlights that, as part of its strategy, 13 million tons of CO2 were avoided last year due to the participation of 188 suppliers through the Gigaton Project in Mexico.
It also highlights that the transition to 100% renewable energy operations by 2035 is an ambitious goal but is considered fundamental to mitigate climate change. Therefore, in addition to 6 wind farms and two hydroelectric plants supplying energy to its operations in the region, it also has on-site photovoltaic power generation for 15 units.
“Energy efficiency has been key to these achievements, which is why we have invested 449 million pesos in Mexico and 100 million pesos in Central America to continue our transition to LED lighting and photovoltaic cells.”
Mexico’s Fomento Económico (FEMSA), owner of Oxxo, in 2019, expanded the use of clean energy in its manufacturing plants in Mexico, reaching its original 2020 goal of 85%, according to a report by the firm. It highlights that more than 15,500 work centers in the Mexican Republic are supplied with renewable energy. More than 77.6% of the electricity needed is provided with clean sources, avoiding the emission of 721,995 tons of CO2.
It recently announced that renewable sources supply 70.1% of Oxxo stores in Mexico, since through contracts with five wind farms in the country, “we satisfy 69.4% of our electricity needs”.
German Larrea’s Grupo Mexico has also embarked on a path towards renewable energy in its operations, as electricity consumption from these alternatives in 2019 was 1,413 GWh, representing 18.6% of total consumption.
This energy mainly came from hydroelectric power plants that supply mining operations in Peru and allowed in that year to avoid the emission of 305,270 tons of CO2 and the El Retiro wind farm with a capacity of 74 MW developed and operated by the Infrastructure Division in southern Mexico.
Banks have not been left behind in this task. For example, Banorte, another of the most critical issuers in the BMV, 2020, followed up on the contract agreed with Thermion for the supply of 70% of the energy they consume from renewable sources Delaro wind farm.
By the end of this year, Delaro had already obtained several permits. In 2021, it will try to start operations, so if it meets the established goal, it is estimated to reduce the group’s greenhouse gas emissions by close to 50%.
Businessman Ricardo Salinas Pliego has also taken a step in this direction, such as Grupo Elektra, whose renewable energy consumption in the company represented 23% of the total in 2019 but claimed to have the goal of increasing this proportion.
While Bimbo is another company that has undertaken a strategy to migrate from fossil fuels to cleaner alternatives, 80% of the energy consumed by the bakery worldwide is renewable.
In its Mexican operations alone, 80% of the electricity used by Bimbo is renewable; where the Piedra Larga Wind Farm in Oaxaca supplies 70%, avoiding the emission of 180,000 tons of CO2 per year, in addition to having solar roofs in some of its distribution centers, including its corporate offices.
Last February, the president of the bakery, Daniel Servitje, highlighted in a conference with analysts that they increased their global use of renewable electricity, going from 49% to 80%, meeting our 2020 goal and advancing in their commitment to achieving 95% by 2023.
2021 Grupo Bimbo foresees capital expenditures (Capex) this year of around US$1 billion in plants, technology, electric vehicles, and renewable energy, including the acquisition of another company. “We expect to increase our investments in electric vehicles. And in some cases also invest in renewable energies on our rooftops and in some other areas. Still, most of the investments are going to the plant, the bakeries, and the increase in a development capacity,” said Servitje.