What should be verified before proposing a commercial battery-storage system at a Mexican business site?(Sep.2024)

Before proposing a commercial battery-storage system in Mexico, verify DACG’s effective status, identify the applicable storage modality, complete CENACE interconnection/connection studies and get study-driven infrastructure requirements — and obtain current legal, utility, market and engineering reviews. Note distributed-generation threshold cited below 0.5 MW and the importance of regulatory stability.

Question answered

What should be verified before proposing a commercial battery-storage system at a Mexican business site?

Market context: 2024-09

Guide

## The practical answer Short answer: Before proposing a commercial battery-storage system in Mexico, confirm the DACG legal status, identify which storage modality applies, complete any required interconnection/connection studies, have CENACE–driven infrastructure requirements determined, and obtain current legal, utility, market and engineering review before making proposals or commitments. CRE published a preliminary storage-integration agreement for consultation in May 2024. On September 30, 2024 CRE approved the General Administrative Provisions for integrating electric energy storage systems (DACG); according to the supplied legal analysis, that approval does not take effect until the provisions are published in Mexico’s Official Gazette. Verify the DACG’s published and effective status before relying on it for project decisions. The DACG describe four storage contexts: storage associated with intermittent generation, storage associated with a load center, isolated supply, and non-associated storage. The provisions lay out general requirements and interconnection/connection procedures that differ by modality. Do not assume a site’s category without case-specific analysis. Interconnection or connection studies are required before implementing storage modalities. CENACE determines the specific infrastructure characteristics based on the applicable studies; these studies therefore drive electrical point-of-connection, protection, control and equipment requirements. A load-center-associated system that does not inject energy may receive supply through a supplier or may participate in the wholesale market, but those options must be checked against current rules and are not guaranteed for any individual project. The IBA’s 2024 legal analysis notes that Mexico’s distributed-generation legal threshold is below 0.5 MW and emphasizes that long-term investment depends on a stable, predictable legal framework. Given the regulatory changes documented in 2024, incorporate regulatory stability risk into commercial and financial planning. ## Quick checklist - Confirm whether the DACG has been published in the Official Gazette and is legally effective. - Identify the applicable storage modality for the site (intermittent-associated, load-center-associated, isolated supply, non-associated). - Commission and complete required interconnection/connection studies with CENACE involvement. - Obtain CENACE-determined infrastructure requirements (connection point, equipment, protection/control specifications) based on the studies. - For load-center, non-injecting scenarios, verify whether supplier supply or wholesale-market participation is available under current market rules. - Review distributed-generation thresholds and compliance implications (note: legal threshold cited below 0.5 MW). - Obtain up-to-date legal, utility, market and engineering reviews before submitting any proposal or making commitments. ## When engineering review is essential - Before filing or initiating interconnection/connection studies: perform site survey and preliminary electrical assessment. - If the design may inject energy to the grid or affect protection coordination: require detailed grid studies and protection/coordination design. - For isolated or off-grid arrangements: perform system-level load, backup and resilience engineering. - When upgrades to distribution/transmission assets are likely: procure full engineering design, cost estimates and schedule impact analysis. Current legal, utility, market and engineering review is required before proposal or commitment.