MEXICO

Mexico’s three large coal plants began operating between 1983 and 1993 and have a combined capacity of 5,378 megawatts (MW). Coal had supplied 10 to 15% of Mexico’s electricity over the past two decades, but coal's contribution has gradually diminished since 2020 as new renewable and gas-fired plants have come online. Coal provided less than a 4% share in 2024.

Since 2017, Mexico has been a member of the Powering Past Coal Alliance (PPCA), a coalition of governments and others committed to transitioning away from coal. However, Mexico has not adopted a clear domestic plan or timeline for retiring its existing coal-fired power plants.

In 2018, the election of then-President Andrés Manuel López Obrador provoked a decided shift in federal policy toward fossil fuels despite Mexico’s stated commitment to decarbonization. The following years saw Mexico ramp up its purchases of coal while imposing new rules discouraging solar and wind projects. State utility CFE has continued to procure coal in recent years to supply the Carbón II, José López Portillo, and Petacalco power stations.

Mexico's Paris climate pledge, laid out in its 2022 Nationally Determined Contribution (NDC) report, calls for a 43% reduction in greenhouse gas emissions and a 30% reduction in methane emissions by 2030. The NDC also calls for emissions to peak in 2025.

In 2023, Mexico's electricity development plan (2023-2037) alluded to the retirement or replacement of 4,317 MW of currently-installed power generating capacity by 2037, but it did not mention the retirement of any specific coal-fired power stations. Similarly, Mexico’s Electrical Sector Development Plan released in December 2025 refers only in general terms to minimizing the participation of thermoelectric plants, including coal, by 2039, with accelerated decarbonization beginning in 2030.

The 2024 election of climate scientist Claudia Sheinbaum as president has so far sent mixed signals regarding Mexico’s future energy and climate policies; while the new president has claimed to be committed to the country’s transition to renewable energy sources, the new government has yet to commit to any fossil fuel phaseout or phasedown policies. CFE’s Expansion Plan 2025–2030 indicates a photovoltaic expansion at the Carbón II plant but does not specify any timeline for the retirement of coal generation.

There are currently no active coal plant proposals in Mexico, with all 3,250 MW of the country's proposals presumed to be cancelled due to a lack of activity for years.