Spain-based Fotowatio strikes deal to build 300 MW solar plant
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Spain-based solar developer Fotowatio announced that it was awarded a 300 MW project in the second Mexican power auction that took place in September.
The company was awarded the project after putting in a bid of US$ 26.99 per MWh for the electricity that is generated. This is significantly lower than the average of US$ 33.47 per MWh that was tabled by renewable energy projects in the auction.
The Spanish company has been active in the Latin American market since 2013, but this is the first project to develop in Mexico. Construction of the plant is due to begin in 2018, with completion planned for mid-2019.
“Mexico is one of the markets with many renewable energy resources, which presents FRV and international investors with numerous opportunities,” commented FRV CEO Rafael Benjumea in a press release. “The success of FRV in the auction is a milestone as it strengthens the company’s presence in Latin America and supports its global expansion plans.”
The facilitating of these large-scale solar PV plants is part of the Mexican government’s plan to reach the target of renewable sources making up 35% of the country’s energy mix by 2024. To do this Mexico’s Centro Nacional de Control de Energía (CENACE)is hosting a series of power auctions, in which renewable energy developers can enter.
During the second auction, which took place in September, 8.9 TWh of annual energy and 8.9 million Clean Energy Certificates were awarded to renewable energy projects. Within that, 4.8 TWh per year and 4.9 million Clean Energy Certificates were assigned to solar PV projects. The Mexican government has since announced that is working on a third power auction, which should take place in April 2017.