Mexico's smart grid technology market is expected to grow 25 percent annually for the remainder of the decade. Analysts say the market will go from $1.23 billion in 2012 to $7.42 billion by 2020, according to a new report by Zpryme.
This year, the smart grid market is expected to reach $1.60 billion. Mexico, and other Latin American countries, could benefit from smart grid technology that will increase reliability to electricity and decrease the amount of power outages and electrical theft, the report said.
Last year, Power Technology reported on the growing issue of electrical theft in Latin America. Brazil, for example, loses about 15 percent of it annual energy production to theft.
The electricity market in Mexico is currently federally owned, but Zpryme said with more activity from the private sector, secondary buyers can enter the market for smart grid technologies.
"Our research leads us to conclude that these and other positive opportunities will drive overall growth for Mexico due to the confluence of several trends," the report stated. "Key among these would be forward-thinking energy policies designed to raise the country's international competitiveness. These entail the integration of renewable energy, energy efficiency and sustainability goals into broader programs that smart grid initiatives would drive. Another example would be the implementation of strategic pilot programs used to evaluate new technologies for their technical, operational, and cost effectiveness."
Acces the Zpryme report here: Mexico Smart Grid Outlook, 2012 – 2020