Mexico's Energy Storage Progress Lags Behind Ambitions

Edilso Reguera, a researcher at Mexico’s National Polytechnic Institute, showcases an X-ray diffractometer at the Center for Research in Applied Science and Advanced Technology (Cicata), used to analyse material structures for energy storage batteries.

Researcher Edilso Reguera and his team began studying electric battery manufacturing in 2016, but in 2023, they ramped up efforts to develop a lithium-based prototype for motorcycles.
Commissioned by the Mexico City government in 2022, “We developed the battery from scratch. We are the most advanced research group in the country. We tested it on motorcycles, and it works well,” Reguera explained to IPS in his small office. He is an academic at the Center for Research in Applied Science and Advanced Technology (Cicata), part of the National Polytechnic Institute, located in the northern part of the capital.
The research began with funding from the city government, and Cicata took charge of designing, producing, and testing the capacitor batteries.
"We developed the battery from scratch. We are the most advanced research group in the country. We tested it on motorcycles, and it works well." — Edilso Reguera
In the laboratory, where around 40 students and researchers collaborate, staff analyze materials and examine substances using equipment with near-unpronounceable names, collectively worth thousands of dollars.
The Mexican government plans to promote energy storage in renewable plants and electromobility, making projects like Cicata’s crucial.
“A battery is a storage device, so it works well for multiple applications,” said Reguera, who also heads the National Laboratory for Energy Conversion and Storage under the newly created Ministry of Science, Humanities, Technology, and Innovation.
But this vision remains aspirational in Mexico, where only two photovoltaic projects currently include storage systems. While the government has ambitious plans to boost the sector, details remain unclear.
Despite the state-owned Federal Electricity Commission (CFE) having storage goals since 2004, only two private projects currently have such systems.
One is the Aura Solar III photovoltaic plant, owned by the Mexican company Gauss Energía, which has been operating since 2018 in La Paz, the capital of the northwestern state of Baja California Sur. It has a generation capacity of 32 megawatts (MW) and a storage capacity of 10.5 MW.
The other is the La Toba solar park, owned by U.S.-based Invenergy, operational since 2022, also in Baja California Sur, with 35 MW of generation and 20 MW of storage.
This approach allows for savings in energy consumption and costs, as well as backup for the power grid, which is currently under strain due to insufficient generation and maintenance.
Additionally, since wind doesn’t blow constantly and sunlight is only available during the day, renewable energy requires storage capacity to compensate for variability and ensure a stable supply.
Andrés Flores, energy policy director at the non-governmental Iniciativa Climática de México, highlighted the urgency of the issue.
“We are in a high-risk situation, heavily dependent on gas for generation. Due to climate factors, we are already experiencing blackouts,” the expert told IPS.
He explained that Mexico has limited generation capacity and low power reserves, meaning “there is a need to invest in storage to minimize these risks, improve operational flexibility, and integrate more renewables in the near future.”
Flores authored the study Energy Storage in Mexico: Analysis and Policy Proposals, published in January, which identified key challenges, including a 2-gigawatt deficit in operational reserves, limited capacity during peak consumption hours, and concentrated issues during evening and nighttime demand.
The study also found little clarity in energy planning regarding the deployment of storage systems.