Iberdrola kicks off 66 MW Mexican wind energy project

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Spanish group Iberdrola started construction of the 66 MW Pier II wind power project in southern Mexico's Puebla state on Tuesday, according to Business News Americas.

The $120 million wind farm will have 33 wind turbines of 2 MW each, and will supply renewable energy to 25,000 Mexican households, Iberdrola said in a release.

Construction begins a day after Mexico's President Enrique Peña Nieto signed the country's wide-ranging energy reform into law, trumpeting the arrival of a new era for state-owned oil firm Pemex and power utility CFE, as the sector's new framework allows for private investment for the first time.

The reorganization of the energy sector will both revert the drastic fall in oil output over the last decade and contribute to reducing the country's electricity prices, while allowing for a long overdue upgrade of the national grid.

Iberdrola's CEO Ignacio Galán said in an earnings results presentation in July that the group is confident about opportunities for growth as a result of Mexico's energy reform.

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