CFE will develop a 60MW hybrid power project in Mulegé, Baja California Sur, combining solar generation, battery storage and green hydrogen to strengthen electricity supply in a region that operates on an isolated grid and faces challenges transporting conventional fuels.
Known as Project Oasis, the initiative will include 20MW of energy storage and will be the first project in Mexico to integrate solar power, batteries and green hydrogen within an isolated electricity system, according to CFE.
Mulegé’s electricity system is not connected to Mexico’s national interconnected grid, while the geography of the Baja California Peninsula complicates the transportation of natural gas and other fuels. CFE said these conditions create challenges for maintaining reliable electricity supplies in the region.
Project Oasis will seek to address this challenge by increasing local power generation. Solar electricity will be stored in batteries for use when needed, while green hydrogen will be incorporated progressively to reduce the use of diesel, fuel oil and other conventional fuels.
The project will also include treatment of the water used during the process, which CFE said will generate additional benefits for communities in the region.
CFE estimates that the project will provide electricity for 40,000 households and supply 120 m3 of water to the local population. It is also expected to avoid the annual consumption of 23,000 m3 of diesel and fuel oil and prevent the emission of more than 93,000 t of CO2. CFE estimates that the emissions reduction would be equivalent to taking 31,463 vehicles off the road.
The company said green hydrogen will complement rather than immediately replace the technologies currently operating in Mulegé. Existing turbines can operate with fuel blends containing up to 30% hydrogen and 70% natural gas, allowing hydrogen to be incorporated progressively into the power system.
By combining renewable generation, energy storage and green hydrogen, Project Oasis is intended to reduce Mulegé’s dependence on fuel transported into the region while strengthening local electricity generation. The initiative forms part of Mexico’s broader efforts to expand renewable energy and reduce fossil fuel consumption in isolated power systems.
