News
As an intense winter storm bears down on Texas and northern Mexico, Mexico’s state-owned utility CFE said Friday it has activated its emergency response group.
In 2021, winter storm Uri disrupted the supply of natural gas from Texas to Mexico, leading to a spike in prices and widespread power cuts.
In a press release on Friday, CFE said the current cold snap could cause disruptions in natural gas deliveries and volatile prices.
The company said it has more than 28,000MW of available generation capacity that does not rely on natural gas.
Since 2021, CFE has also expanded a financial hedging program designed to reduce the impact of high gas prices. According to its most recent investor presentation, the company’s hedges represent 37% of annual consumption.
CFE generates more than 60% of its electricity using natural gas, of which an estimated 70% is imported from the US, mainly from Texas.Â
(The original version of this content was written in English)
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