Nearshoring Pressure on Mexico¿s Electricity Distribution System: A Systematic Review of Demand Hotspots, Grid Constraints, and Hybrid Solutions Integrating Solar and Natural Gas Under Middle East Energy Tensions
Academic Article in Scopus
Nearshoring is accelerating industrial expansion across Mexico, reshaping electricity demand profiles and placing increasing stress on a power system already challenged by reliability, affordability, and decarbonization pressures. This paper analyzes the impact of nearshoring on Mexico¿s economy, with a particular focus on the electricity sector, examining challenges across generation, transmission, and distribution infrastructure. A critical dimension of this analysis is Mexico¿s structural dependence on natural gas for electricity generation, which introduces systemic vulnerability to global supply disruptions and price volatility, particularly under geopolitical tensions in the Middle East. Using a systematic literature review, this study synthesizes current evidence on how nearshoring-driven demand growth affects Mexico¿s electricity distribution system and evaluates solution pathways to meet rising energy needs while maintaining system reliability and equity. Special emphasis is placed on solar photovoltaic (PV) deployment as a grid-supporting resource rather than solely as generation capacity, highlighting its role in enhancing resilience against external fuel shocks. A PRISMA-based methodology was applied using Web of Science, complemented by official Mexican sources such as SENER, CENACE, CRE, and CFE to contextualize technical findings within national policy and operational frameworks. The paper concludes with a research agenda addressing key gaps, including corridor-level load evolution, empirical validation of PV-plus-flexibility solutions for distribution reliability, and strategies to incorporate energy justice into infrastructure planning. Its main contribution lies in Integrating previously separate evidence streams on nearshoring-driven industrial load growth, natural-gas dependence, and distribution-level constraints into a Mexico-specific synthesis of resilient industrial electrification pathways. Providing a distribution-centered perspective on nearshoring, integrating the role of natural gas dependency under global uncertainty, and proposing an actionable roadmap for resilient and sustainable industrial electrification in Mexico.
