President-elect Claudia Sheinbaum announced that the state-owned utility CFE will control 65% [1] of Mexico’s electricity generation by the end of her term.
This shift marks a strategic move toward energy sovereignty and a reduction in reliance on private power producers. By strengthening the CFE, the administration aims to stabilize the national grid and transition toward a mixed-investment model that prioritizes clean-energy projects.
To achieve this target, Sheinbaum detailed an investment of 28,000 MW [1] in new generation capacity. This expansion is designed to bolster the country's infrastructure and ensure the state maintains a dominant role in the energy market through 2030.
As part of this infrastructure push, the government plans to build five [1] new combined-cycle plants. The initiative includes specific projects, such as the Teresa Urrea Chávez power plant located in Manzanillo.
Sheinbaum said the goal is to balance the need for immediate energy reliability with long-term sustainability goals. The administration intends to use this increased state capacity to facilitate a transition to cleaner energy sources while maintaining control over the pricing and distribution of power.
The plan emphasizes a transition period that spans the six-year term, known as the sexenio. By focusing on both combined-cycle plants and clean energy, the government seeks to modernize the grid without sacrificing the state's strategic oversight of the sector.
“CFE will control 65% of Mexico’s electricity generation by the end of the six-year term.”
The move to increase CFE's market share to 65% signals a continuation of Mexico's trend toward energy nationalism. By investing in both traditional combined-cycle plants and clean energy, the Sheinbaum administration is attempting to resolve the tension between immediate power demands and climate commitments, while systematically reducing the influence of private energy firms in the national economy.
