As the Mexican government advances the implementation of its $8.2 billion national transmission network expansion plan, the electromechanical equipment system and installation general contracting power supply system project for new metro lines in key cities has recently announced the adoption of the new-generation gas-insulated switchgear (GIS) produced by our company. This cooperation not only provides reliable power equipment support for the project but also significantly improves the power supply reliability of urban rail transit, injecting key technological momentum into the country's clean energy transition.
According to Mexico's Electric Power Energy Tender Network, this metro power supply project, as a key project for the upgrading of the national power system, its power supply system construction is directly related to the safe operation of multiple newly built metro lines. The project director stated that after rigorous technical demonstration and multi-party comparison, our company's GIS equipment was finally selected as the core component of the substation, mainly based on the product's outstanding advantages such as compact design, high reliability and low maintenance cost. It is particularly suitable for installation needs in high-density urban environments in city centers and can effectively solve the problems of large floor space and high operation and maintenance costs of traditional equipment.
Mexican high-voltage switchgear market report shows that the demand for GIS equipment in the country is growing at an average annual rate of 12%, mainly driven by the accelerated urbanization process and renewable energy integration. The GIS equipment produced by our company adopts sulfur hexafluoride (SF6) gas insulation technology. Compared with traditional air-insulated switchgear (AIS), it occupies only 1/5 of the floor space, has more stable insulation performance, and can operate for a long time in harsh environments such as high temperature and high humidity. This feature is highly compatible with Mexico's hot and rainy climate in summer, ensuring the stable operation of the equipment in complex environments.
In the "2025-2030 National Power System Strengthening and Expansion Plan" recently released by the Mexican Ministry of Energy, it clearly proposes to build 524 new substations and upgrade existing facilities to support the grid connection demand of 13.02GW of newly added power generation capacity, including 4.67GW of photovoltaic and 2.47GW of wind power projects. Energy Minister Luz Elena González emphasized: "The transmission network is the highway of electricity, and advanced switchgear is the key node to ensure the smooth flow of this highway. The wide application of GIS technology will effectively improve the grid's ability to accommodate intermittent renewable energy."
It is worth noting that the GIS equipment customized by our company for this metro project also has intelligent monitoring functions. Through digital instruments and thermal imaging predictive maintenance systems, it can realize real-time monitoring of equipment status and fault early warning. Engineers responsible for project technical support introduced that this intelligent system independently developed by our company can reduce equipment failure rate by more than 30% and shorten the operation and maintenance response time to 1/3 of that of traditional equipment, significantly improving the safety redundancy of the metro power supply system and providing solid guarantee for the safe operation of the project.
Mexican gas-insulated switchgear market research report points out that with the advancement of large-scale tower-type solar thermal power stations and other renewable energy projects in the country, the market demand for GIS equipment will further expand. Such equipment has unique advantages in the construction of booster stations for new energy power stations. Its compact structure can adapt to the installation conditions in remote areas, and at the same time, its high insulation performance can ensure the efficient transmission of electric energy to the main power grid.
The metro power supply project is expected to complete the installation and commissioning of all GIS equipment by the end of 2026. By then, the new metro lines will have a daily transportation capacity of 1.2 million passengers and reduce carbon emissions by approximately 8,500 tons per year. The implementation of this project provides a reference model for infrastructure construction in other cities in Mexico, marking that the upgrading of the country's power equipment has entered a new stage of intelligence and efficiency.
Industry analysts believe that with the acceleration of Mexico's national grid modernization process, the market size of GIS equipment is expected to exceed $500 million by 2030, becoming one of the fastest-growing power equipment segments in Latin America. This time, our company successfully participated in Mexico's key metro power supply project with its technological advantages, and its technical selection will set a benchmark for the local market, promoting more public facilities and new energy projects to give priority to the adoption of advanced power equipment, laying a solid foundation for Mexico to achieve the goal of 35% renewable energy share by 2030.
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