Mexico races to power AI boom with new gas plants and data centre surge
Mexico is expanding its energy infrastructure to meet the soaring power demands of data centres and artificial intelligence. The country’s reliance on these facilities has grown sharply, with Querétaro alone hosting 65% of its installed data centre capacity. To keep up, the federal government has unveiled new power plants and long-term investment plans.
The federal government recently opened the Josefa Ortiz Téllez Girón combined-cycle plant. This facility adds 269 megawatts to Mexico’s grid, helping to address rising energy needs. Natural gas powers the plant, chosen for its flexibility, storability, and lower emissions compared to other hydrocarbons.
Data centres require a constant, uninterrupted power supply, 24 hours a day, every day of the year. Their energy use is surging due to AI, which demands vast computing power. Training a single advanced language model can consume as much electricity as over a hundred households in a year. Even a single query to ChatGPT uses five times more power than a traditional web search.
The issue extends beyond AI training. Cooling systems for servers, exponential growth in computing capacity, and widespread adoption of AI tools are pushing demand higher. Projections suggest data centres could consume 16-23% of global electricity by 2033. Mexico’s own needs are expected to rise dramatically, requiring up to five times its current capacity by 2030—reaching 1.5 gigawatts.
To prepare, the Federal Electricity Commission (CFE) will invest in additional firm capacity, focusing on natural gas-powered plants. The government’s 2025–2030 National Electric System Strengthening and Expansion Plan aims to add 22,000 megawatts of generation capacity. Querétaro’s strategic location, near gas pipelines and major consumption hubs, makes it a key player in this expansion.
Mexico’s energy strategy now centres on natural gas to support its growing data centre industry. The new power plants and planned investments aim to secure a stable, large-scale electricity supply. Without these measures, the country’s ability to meet future AI and computing demands would be at risk.
