Question 1

I own a ranch in Mexico and have heard that the Mexico Renewable Energy Program (MREP) supports the use of photovoltaic (PV) water pumping systems on rural ranches. How can I receive financial support from this program for a PV water pumping system?

Answer
MREP does not currently provide financial support for purchases of PV systems, but FIRCO has programs such as the Alianza para el Campo that do provide such support for PV and/or wind technologies. Please contact your local FIRCO state office for more information. For a listing of FIRCO state offices, please go to: http://www.firco.gob.mx/

During the initial phase of its program, the MREP did contribute a portion of the cost of systems as part of implementing pilot and demonstration projects, but now its focus is on providing technical assistance to its Mexican partners, such as FIRCO, for the implementation of large-scale project replications and continues to promote the use of renewable energy systems for applications related to partner's needs.


Question 2 Back to top
I own a small company in Mexico and would like to learn more about photovoltaic (PV) systems. I am interested in selling and installing PV water pumping systems in Mexico.

1. Do you have any technical information that can be provided to me?
2. How can I make contact with American companies that distribute such technologies?
3. Can I participate in one of your training courses?

Answer
1. Regarding technical information, on this web-site under the TECHNICAL INFORMATION PAGE, you will find numerous technical documents, papers, and references related to PV water pumping applications. The Guidebook for Water Pumping and Stand-Alone Photovoltaic Systems: A Handbook of Recommended Design Practices (Sandia National Laboratories) are good technical documents that explain the basics of photovoltaics.

2. Regarding information about American companies, we suggest that you contact manufacturers and distributors of PV products in Mexico and the U.S. Most of the manufacturing of modules and pumps are in the U.S. or overseas. On this website under the RELATED LINKS PAGE you will find numerous links to major manufacturers and distributors of PV and other renewable energy technologies (e.g. wind), and of water pumping components (e.g. pumps). In addition, the Solar Energy Industry Association (SEIA) website has a good list of U.S. companies under the Members link (http://www.seia.org/about/members.asp). The Comisión Nacional para el Ahorro de Energía (http://www.conae.gob.mx) and the Asociación Nacional de Energía Solar (http://www.anes.org/) web-sites each have a directory of Mexican manufacturers, distributors, and vendors.

3. Regarding, training opportunities, the Asociación Nacional de Energía Solar (ANES) conducts training courses every year at their annual conference. These include workshops on PV, wind, and other renewable energy topics.


Question 3 Back to top
Photovoltaic systems are really expensive. Will they be getting any cheaper in the future?

Answer
Photovoltaic systems are comprised of a photovoltaic array (modules) and balance of systems (BOS). The cost of the photovoltaic array comprises roughly half (sometimes more) of the total system cost. Photovoltaic modules have been decreasing in price due to market competition, improved manufacturing processes, higher production levels, etc. Our guess is that they will continue to decrease in price, but we cannot predict the rate of decrease in the future.


Question 4 Back to top
As for water pumping applications, how do I know if PV is a good option for me?

Answer
1. The electrical grid is far from your water source. Grid extension costs as much as US$10,000 per kilometer in Mexico.

2. You have to transport your fuel supply. Fuel is expensive, especially if there is an added cost of transportation.

3. You need a moderate amount of water each day throughout the year. There are off-the-shelve solar pumps available for applications where the hydraulic duty (the product of the daily demand in cubic meters and the total dynamic head in meters) is less than 1500 m4. Because sunlight is free, it is more cost-effective to use the system capacity fully throughout the year.

4. You have access to capital or credit. The PV alternative has an initial cost several times higher than a gasoline/diesel generator, but it could save you money in the long run because there is no fuel cost and less maintenance is required. Please see the Tutorial Section of this website for cost comparisons between PV and gasoline/diesel generators.


Question 5 Back to top
What are the advantages of a PV system with respect to a gasoline/diesel generator as a power source to pump water?

Answer
With a PV system, there is no fuel to buy or transport. The risk of contamination is eliminated. The operation and maintenance of a PV system is easier and less costly compared to a gasoline/diesel generator. In addition, there are no noise or air pollutants. Although a PV system is more expensive to purchase initially, it is cheaper to operate and maintain, and it has a longer life expectancy. To view a paper with more information on cost comparisons click here .


Question 6 Back to top
Can I use a PV system for irrigation?

Answer
For small-scale applications, PV can sometimes be used cost-effectively, but if your application requires large volumes of water during a short period of time during the year, the gasoline/diesel generator is a better alternative. One of the most successful applications of PV water pumping is for cattle watering, because the need for water for cattle matches the availability of solar energy fairly well throughout the year. The excess water can be used to irrigate a small garden. FIRCO is promoting an integrated cattle watering and irrigation alternative for small ranches - Sustainable Ranching. The irrigation component consists of about 1/2 Ha for growing cattle feed. Please click here to go to a paper on Sustainable Ranching (in Spanish).


Question 7 Back to top
What type and size of PV water pumping system do I need?

Answer
Most water pumping systems are designed by the PV system vendor to match your specific needs. Based on the volume (water requirements per day) and dynamic head, a vendor should be able to size a system and quote you a price. A complete design requires information such as water quality, well production capacity, and well casing diameter. Please click here to link to the PV Water Pumping Guide and sizing sheets.


Question 8 Back to top
How much does a PV system cost?

Answer
The cost varies widely depending primarily on the size and the application. The size of a PV pumping system is a function of the volume and head requirements. In the MREP, system costs have ranged from US$15 to US$50 per m4 for hydraulic duties between 250 and 1500 m4 (hydraulic duty is the product of the daily demand in cubic meters and the total dynamic head in meters). The lower cost perm4 corresponds to larger systems. For smaller systems, the cost can be as high as US$250 per m4. The quality of the equipment and the vendor service agreement should also be taken into account. The only sure way to be sure of the cost is to obtain a quote from one or more vendors.


Question 9 Back to top
How do I find a qualified vendor of PV water pumping systems in Mexico?

Answer
Ask the local FIRCO office for references. Also, ask ranch owners in your region that have PV water pumping systems.


Question 10 Back to top
I am a supplier of PV equipment outside of Mexico. What is the best way to sell PV systems in Mexico?

Answer
Get one or more reputable in-country representatives. In most cases, turn-key systems are being procured. Some programs require a full warranty including on-site service for a year or so. A good supplier is key, because the PV water pumping market in Mexico has become very competitive as a result of programs like the MREP and FIRCO's Alianza para el Campo. The market size has expanded, but profit margins are lower than they used to be.


Question 11 Back to top
Can I sell amorphous modules?

Answer
Some agencies that procure PV systems in Mexico specifically discourage the use of amorphous modules on their systems. It is a good idea to make sure before proposing this technology for any system or program.


Question 12 Back to top
Does Sandia National Laboratories or any of the US-based MREP agencies play any role in procurement of PV systems in Mexico?

Answer
No, all procurement decisions are made by the government or non-government agencies or the private parties that are implementing renewable energy projects or programs in Mexico.


Question 13 Back to top
What market should a PV equipment supplier target?

Answer
Mexico offers a vast market of all kinds of PV systems including, backup home power, lighting, water pumping, remote power for telecommunications, maritime signaling, remote sensing, etc. Within MREP, the largest markets have been PV water pumping and lighting systems. Typical end-users for water pumping systems are small cattle ranchers.


Question 14 Back to top
Where and how many systems have been installed under the MREP?

Answer
MREP cost-shared demonstration systems have been installed in 14 states in Mexico for various applications. Please click here for more information on MREP installed demonstration systems.