Renewable energies have contributed since some years ago with approximately 3% of the installed power capacity in Mexico without considering large hydraulic energy. Geothermal energy is actually the most important with an installed capacity of 960 MW, followed by wind energy with 87 MW and all the others contributing just a few mega Watts.
Although in the last years there have been some successful programs for the use of renewable energies in Mexico, for rural electrification with solar cells, water heating and electrical power with a new wind farm of 85 MW installed in 2007, the growth has been really incipient until now, since these developments and programs have practically not affected the figures in the National Balance of Energy.
Nevertheless, this situation is changing because of the federal government and otherorganizations are every day more interested in the R&D of renewable energies and also because Mexico has signed the international agreements related with global warming for reduction of CO2 emissions.
As a result of this interest, a new bill for the development and use of renewable energies it is being discussed at this moment in the House of Representatives (Cámara de Diputados). This bill considers, budgets, green bonuses, fiscal incentives, regulations, etc., to encourage a larger development of renewable energies in the short, medium and long term. Also, in the last year, the government signed important agreements with independent producers for an amount of 3,000 Million dollars for the installation of wind farms with a total capacity of 2000 MW which will be ready in 2010. In addition to this, with budgets from the federal and states governments together with grants awarded by international organizations such the World Bank and the GTZ from Germany, are implementing two mayor social programs, one of 50 MW for rural electrification by using solar cells and one more for the installation of 1,800,000 m2 of solar collectors for water heating in buildings and low-income housing.
Because all of this, it is clear that Mexico is entering a new age for the development and utilization of renewable energies.