Mexico’s clean energy sector is back in motion after years of stalled progress, thanks to new reforms under President Claudia Sheinbaum that are reopening the space for private participation and attracting billions of dollars in global investment.

For years, Mexico’s renewable industry slowed under former president Andrés Manuel López Obrador, whose nationalisation drive prioritised state control and fossil fuel expansion. Private companies struggled to enter the market, and major solar and wind projects were left on hold.

That landscape has now changed. In 2025, the Sheinbaum administration introduced a sweeping energy reform that keeps the state as the majority player but allows joint ventures with private developers. The Federal Electricity Commission (CFE) and PEMEX can now partner on clean energy projects while retaining controlling interest, a move designed to balance sovereignty with investment.

As part of Plan México, the government aims to add nearly 23 gigawatts of new power capacity by 2030, backed by over $22 billion in public spending. It’s also seeking up to $9 billion from private companies to support new renewable installations.

Momentum is already building. In October, the Energy Ministry invited private firms to help construct 34 new power plants across 20 states—23 solar farms and 11 wind projects expected to deliver almost 6 gigawatts of clean capacity by 2030.

International investors are also returning. Spain’s Cox Group announced a massive $4.2 billion commitment for new renewable projects in Nuevo León, set to create thousands of jobs. German utility RWE, Canadian Solar, Iberdrola and other major companies are advancing plans for solar farms across regions like Veracruz, Jalisco and Zacatecas.

Energy analysts say the country’s potential is enormous. A recent report from Ember suggests Mexico could scale up to 36 gigawatts of solar capacity and significantly grow battery storage if private-sector involvement continues at this pace.