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ITALIAN GIANT WANTS MORE PAOLO ROMANACCI Director General of Enel Green Power Mexico
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Q: What role does Enel Green Power Mexico play in the
that we want to focus our business. Mexico, for instance, is
regional operations of Enel Group?
among the wealthiest countries in terms of resources for
A: In Latin America, Enel Green Power (EGP) manages
producing energy from the wind and sun. According to data
renewable energy plants in Mexico, Costa Rica, Guatemala,
from the Ministry of Energy, the country will build 40 solar
Panama, Chile, Brazil, Colombia, Uruguay, Peru and Argentina.
and 25 wind power plants in the next three years and, of
In Mexico, EGP is the largest renewable energy player in the
course, we will play an important role in this.
country in terms of managed capacity with 2,014MW, of which 873MW are derived from wind, around 1,089MW from solar
Q: What role does the company play in the hydro power
and approximately 53MW from hydro. Mexico represents one
generation segment?
of the fastest growing markets in the region and the world.
A: Enel Green Power manages hydro plants in Mexico,
Our projects here include Villanueva, the largest solar park
Costa Rica, Guatemala, Panama, Chile, Brazil, Colombia and
in the Americas, and Amistad, which will be the country’s
Argentina. Thanks to its hundred years of experience in the
biggest wind farm when construction is completed.
field of geothermal energy, Enel Green Power is exploring and developing new opportunities in this sector. In Mexico,
Q: What features of the Mexican market are attractive to
however, EGP is primarily focused on solar and wind power
EGP Mexico and what is behind the company’s results?
generation. We manage 52MW of hydro power in the
A: Mexico has become one of the most attractive countries
country, through three plants located in Jalisco, Michoacán
in the world to invest in renewable energy projects. One
and Guerrero.
feature that has marked the country is the operation of the Wholesale Electricity Market, which has allowed
Q: What is EGP doing differently to achieve successful
industrial players to choose the energy supplier that suits
financing for its projects in the country?
its energy consumption needs under a legal framework that
A: Enel employs the BSO model, which allows us to
enables regulators to develop this market in an efficient
capitalize the portfolio of renewable energy projects more
and competitive way. In terms of PPAs, Mexico and the
quickly, reducing overall risk and accelerating the creation
US are the worldwide pioneers, and EGP’s results in this
of value. In September 2018, we announced the sale of an
area are remarkable. Our client contracts are uniquely
80 percent share in eight wind and solar plants in Mexico
structured, offering a commercial sophistication and a level
with a total capacity of 1.8GW. This strategy allows us to
of personalization that is a great differentiator. We offer
sell participation in our projects, while continuing their
access to the best financial conditions and we have the
operation and management to generate cash and invest in
ability to manage complex contracts that involve servicing
PPAs, as well as to continue developing new projects with
hundreds of freight centers spread across the country.
the resources obtained from this operation.
Q: What is your strategy to diversify Enel's project portfolio
Q: How do Enel Energía and EGP Mexico work together to
into technologies like geothermal energy and biomass?
achieve common goals?
A: We believe that wind and solar energy will allow us to
A: Renewable power generation and the sale of energy
move toward a sustainable world and it is in these sources
coexist and nourish each other within our two business units. With our qualified supplier, Enel Energía, we are closing different agreements with different commercial
Enel Green Power is the renewable energy division of Enel Group,
and industrial users under the regulatory framework of
present in 30 countries. Enel Group is a global leader in the
the Wholesale Electricity Market. For example, our plant
green energy sector with a managed capacity of around 40GW,
Magdalena II, which we just started constructing, is the
including wind, solar, geothermal, biomass and hydropower
result of different contracts with these types of customers.
