Iberdrola USA parent company Iberdrola S.A. won a contract for the construction and operation of the 300 MW Baja California III combined-cycle power plant in Mexico. Work on the $270 million plant and associated facilities will begin in April 2014 with commercial operation planned for August 2016.
Iberdrola won the bid through an international tender process which also included a 25-year power purchase agreement with the Mexican Federal Electricity Commission (CFE). CFE also will supply the natural gas to fuel the new plant's two GE turbines.
With this contract, Iberdrola, which already has an operating capacity of more than 5,200 MW in Mexico, consolidates its position as the country's largest private electricity producer and the second largest producer in Mexico, after the state-owned CFE.