Shipping’s energy transition: strategic opportunities in Mexico
As the world’s maritime fleet transitions towards more sustainable fuels, Mexico’s ability to capitalize on the opportunities associated with this transition in the coming years will become increasingly important. As countries around the world explore alternative forms of energy and develop new technologies to run off sustainably sourced fuels, Mexico is in a unique position to leverage its substantial renewable energy potential to benefit from shipping’s decarbonization. Acting now would strategically place Mexico at the forefront of this movement, allowing it to become a world leader and advance its emerging green fuel economy.
July 27 2022
With access to both the Pacific and Atlantic Oceans, well-established shipping routes and trade relations to multiple continents, Mexico can tap into new markets and establish itself as a global energy hub and provider of green fuels. Realizing this potential can accelerate the transition to cleaner forms of energy across the wider economy, creating several opportunities for the country.
In supporting national efforts towards the production and use of these new fuels, Mexico could at the same time address key development goals and achieve wider national ambitions relating to the reduction of air pollution, increased energy security and independence, growth in its green job market, diversifying its value-add export products, building national capacity and skills, and generating new forms of foreign direct investment.
To unlock these opportunities, Mexico could support industry initiatives and public-private collaborations that promote the deployment and scaling of new energy solutions and fuel technologies. Essential to this is a facilitative policy and financial framework capable of effectively motivating and convening key actors across sectors and value chains.
The P4G-Getting to Zero Coalition report “Shipping’s energy transition: strategic opportunities in Mexico” explores the potential for Mexico to accelerate and to benefit from international maritime decarbonization. The report finds that Mexico has the potential to establish itself as a global leader within maritime decarbonization by engaging in green fuel production and bunkering. However, doing so will require quick and strategic action.
The report “Shipping’s energy transition: strategic opportunities in Mexico” is from the P4G – Getting to Zero Coalition Partnership project, a project between the Global Maritime Forum, the Friends of Ocean Action, the World Economic Forum, University College of London, Environmental Defense Fund, and the International Association of Ports and Harbours. The views expressed are those of the authors alone and do not represent the opinions or views of the partners involved.