Renewable energy work began at Sandia National Laboratories in the mid-1970s and was focused on photovoltaic (PV) components and systems. This work was in support of the U.S. Department of Energy's (DOE) National Photovoltaics Program, which led to the creation of the PV Design Assistance Center (PV DAC) at Sandia in the mid-1980s. The first international activity occurred in Bolivia in 1984 with a cooperative project with the World Bank, where Sandia coordinated the installation of PV-powered water pumping systems.

Based on the success of these early activities, in 1987 Sandia was asked by the Committee on Renewable Energy Commerce and Trade (CORECT) to expand its design assistance activities to include all renewable energy (RE) technologies, thus the RE Design Assistance Center was formed. CORECT coordinated the main U.S. federal agencies for exportation and commerce related issues. The RE DAC was the technical assistance arm for CORECT. Working with industry and organizations such as Solar Energy Industry Association (SEIA), U.S. Export Council for Renewable Energy (US ECRE), U.S. Agency for International Development (USAID), and various other federal and international agencies, the RE DAC represented DOE's renewable energy technology development work in a growing number of countries.

By the early 1990s Sandia's RE DAC was already assisting numerous renewable energy projects around the globe. It was at this time when Sandia started discussions with various Mexican institutions to assist with Mexico 's efforts to initiate programs of social and economic development in which renewable energy would play a significant role. Partnerships were established between U.S. and Mexican organizations interested in sharing information and providing technical assistance concerning renewable energy technologies. These partnerships were formed under the Mexico-U.S. Renewable Energy Cooperation Program (PROCER - Programa Cooperativo de Energía Renovable) in 1992. The goal of this program was to promote the greater use and commercialization of proven renewable energy technologies in practical, cost-effective applications including rural electrification, water pumping and other productive uses, and grid-connected bulk power generation. Initial efforts were primarily for photovoltaics, but with some emphasis on small wind-energy and solar thermal systems. The program was designed to address potential markets and applications that were not already being addressed through other programs, such as those sponsored by the Mexican federal government. Various efforts were undertaken to develop specific renewable energy projects and to develop relationships with key organizations in Mexico .

The first organizations involved in PROCER were Sandia National Laboratories (involving CORECT), Instituto de Investigaciones Eléctricas (IIE) of Mexico, Asociación Nacional de Energía Solar (ANES) representing Mexican industry, and the U.S. Export Council on Renewable Energy. PROCER had facilitated extensive interactions with Mexican agencies, established key relationships, assisted in project development and helped the US industry to gain access to Mexican markets.

In late 1992, the Mexico office of the U.S. Agency for International Development joined the on-going program in support of its objectives to promote the productive uses of renewable energy technologies for economic and social development in Mexico .

During this time (1992-1994) there was no single Mexican agency charged with promoting renewable energy development, therefore collaborative relationships were built between Sandia National Laboratories and several key Mexican agencies and organizations, including ANES, Comisión Federal de Electricidad (CFE), Fideicomiso de Riesgo Compartido (FIRCO) under the Secretariat of Agriculture, and the State Government of Chihuahua.

The strength of these relationships and the recognition of new potential markets for renewable energy technologies led directly to the establishment of the Mexico Renewable Energy Program (MREP) co-funded by USAID and USDOE. The formal program was initiated in 1994, and focused on assisting in-country partner organizations to build the technical capacity to appropriately utilize renewable energy technologies, while increasing public awareness of the benefits that these technologies can offer. The development of a sustainable infrastructure was emphasized by working with funded Mexican organizations, and implementing pilot projects as part of their ongoing activities. Training and technical assistance were provided in regard to the technologies, applications, and the stages of project implementation.

Phase I of the Mexico Renewable Energy Program extended through 1997, and focused on the implementation of cost-shared pilot projects through partner organizations as the stimulus for further market conditioning and development. Key partner organizations during Phase I included government agencies with ongoing development programs, such as FIRCO and the Chihuahua Renewable Energy Working Group, a consortium of over a dozen private and public organizations in Chihuahua . The use of renewable energy systems in the management of protected areas was demonstrated through installations that were conducted in partnerships with the local offices of The Nature Conservancy (TNC), World Wildlife Fund (WWF), and Conservation International (CI).

Phase II of the MREP extended from 1997 to 2000, and was a continuation of the implementation of cost-shared pilot projects as what was outlined in Phase I, but added a second focus that was placed on the capacity building of program partners and businesses in Mexico . The goal was to develop a strong, multi-faceted in-country infrastructure to facilitate continued sustainable growth in the use of renewable energy technologies.

In 1998 the Mexico Renewable Energy Program became a major component of Annex 1, relating to renewable energy, of the US/Mexico Bilateral Agreement on Energy Cooperation, in which CONAE (Comisión Nacional para el Ahorro de Energía) and Sandia National Laboratories were designated as the Mexican and U.S. technical leads, respectively.

Over 400 renewable energy cost-shared systems have been installed related to the MREP, and in all cases, the partner agencies have demonstrated the technical capability and motivation to continue to utilize renewable energy technologies to meet their energy needs when appropriate.

Phase III (2000 to 2004) focused on two main themes: 1) large-scale replication by Mexican partner organizations and 2) capacity building (programmatically and technically) of Mexican program partners. Cost-shared pilot system installations by the MREP were minimal, however such installations are still being implemented by program partners. The Program concentrated its work in the following four main sectors: agriculture, distance education, protected areas, and rural off-grid electrification.

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