INSIGHT
TECHNOLOGY: THE BACKBONE OF MEXICO’S ENERGY TRANSITION ALEJANDRO PREINFALK Vice President of Energy Management for Siemens in Mexico
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When CFE decided to update and modernize the national
opportunities to develop the country’s generation,
electric grid, it turned to an old friend for help. Siemens has
transmission and distribution of electricity. Preinfalk
been in Mexico for 123 years and is an integral component
says that 23 percent of Mexico’s electricity generation is
of the country’s energy sector. A cooperation agreement
produced through Siemens' technology and 50 percent
signed with the Mexican state-owned electric company
of the equipment used to bring electricity to Mexican
further cements a foothold for the German multinational
households is provided by the company.
that already had a deep imprint. Despite its favorable position in the Mexican market, Alejandro Preinfalk, Vice President of Energy Management
Siemens continues to look for opportunities to further
for Siemens in Mexico, says the bilateral deal will bring
cement its foothold in the country, positioning itself as
reliability and efficiency to the grid. “We agreed with CFE
a reliable partner for authorities and regulators. “We are
on the assessment of new technologies to modernize and
backing PRODESEN’s process of developing the country’s
digitalize Mexico’s electric system. The purpose in using
electric network. There is a significant investment forecast
these technologies is to reduce costs by mitigating technical
in the expansion and digitalization of the network and
and nontechnical losses and to increase the reliability of the
we are pushing for an automated, smarter network with
network by conferring it modern and top-tier components.”
balanced power loads, as well as providing the equipment
The accord signed in June 2017 was the culmination of a
for a sturdier grid,” Preinfalk says.
memorandum of understanding signed in February 2017 between the German company and the Mexican state-owned
This new technology input comes with challenges. Mexico will
entity to select projects that would launch the national
need skilled professionals to manage, operate and provide
electric grid into a major modernization phase.
maintenance for these new developments and equipment. As Siemens is present in more than 190 countries, the company’s
Preinfalk emphasizes that Siemens’ priority lies in “working
human capital includes experienced personnel in developing
hand in hand with Mexican authorities and clients to
these new systems and technologies and applying them in
understand the system’s requirements, and to see how we
other countries’ electrical companies. Siemens is undertaking
can contribute to this development through the use of our
technology transfers to Mexico through training programs
technology and the robust base of plants and R&D centers
that will provide the human capital capable of using these
readily available in this new environment brought about
technologies efficiently.
by the reform.” The company also focuses on community relations and the The company is anticipating the challenges Mexico will face in
training of potential candidates. “Beyond satisfying our
the mid and long term by adapting its electric infrastructure
clients' needs, we want our technology to contribute to
and technology to the country’s growing electricity demand,
the growth of the local communities where we operate. We
as well as to the increased power-generation capacity that
have several social-development programs with the Ministry
renewable energy projects are adding to Mexico’s energy
of Education to reach both schools and universities through
mix. This endeavor is already bearing fruit: CFE has so far
the implementation of dual-education programs,” Preinfalk
installed 600,000 electricity smart meters nationwide.
says. By dividing their time between academic pursuits and
Technical energy losses have decreased from 16 percent in
practical work at Siemens, students participating in the
2012 to 12 percent by late 2017, according to CFE figures.
program will graduate with both theoretical and practical industry knowledge. This program has a lengthy track
With the unfolding of the previous and forthcoming
record of success in Germany, and Siemens is looking to
long-term electricity auctions, Siemens detected major
replicate that success in Mexico, Preinfalk says.