Bidding Guidelines Published For Mexico's Second Long-Term Power Auction

José Antonio Prado and Carlos A. Ochoa Valenzuela are partner's and Aldo González Melo and José Toriello Martinez are Associate's in our Mexico City office.

Mexico's National Centre for Energy Control (CENACE) on May 13, 2016, published the Bidding Guidelines for the second long-term power auction (SLP) in Mexico, seeking to award power purchase agreements (PPA) to clean energy producers.

The energy products to be auctioned in the SLP are power (energía eléctrica acumulable), capacity (potencia) and clean energy certificates (CELs). Bidders may present single or combined sale offers for any of these products. CENACE will award PPAs with a 15-year term for winning bids in power and capacity. PPAs with a 20-year term will be awarded in the case of CELs. The state-owned enterprise Comisión Federal de Electricidad (CFE), or Federal Electricity Commission, will be the sole purchaser of the auctioned products.