Mexico’s CFE Converts Tula Power Plant from Fuel Oil to Natural Gas
Mexico’s state power company CFE has announced plans to convert its plant in Tula, located in Hidalgo state, from using fuel oil to natural gas. This change is aimed at reducing air pollution in central Mexico, where Tula is known as one of the most polluted cities. President Claudia Sheinbaum shared this news during a visit to Hidalgo over the weekend, emphasizing the importance of this shift for the environment.
The Tula plant, a 1.5GW complex, will be transformed into a combined cycle power plant as part of this initiative. Currently, the plant is a major emitter of sulfur dioxide and particulate matter, leading to environmental concerns. In response to these issues, Mexico’s environment commission has repeatedly directed CFE to reduce power production due to high pollution levels at the site.
The plant’s fuel supply comes from a nearby refinery in Tula, operated by Pemex, Mexico’s federal oil company. Pemex is nearing completion of a coking unit that will decrease fuel oil output and increase gasoline and diesel production at the refinery.
When asked about the logistics of supplying natural gas to the plant, Sheinbaum did not provide specifics but acknowledged that Canadian pipeline company TC Energy has been in talks with CFE to construct a pipeline to Tula. This project, with an estimated cost of US$400 million, has faced delays in part due to opposition from indigenous communities in the region.
In recent years, CFE has made significant investments in natural gas-powered plants, highlighting a broader trend in Mexico where over 60% of electricity is produced by gas-fired power plants. This move towards cleaner energy sources aligns with national and global efforts to reduce carbon emissions and combat climate change.
