TC Energy began collection of tolls from Mexico’s state-owned utility Comisión Federal de Electricidad (CFE) for the Southeast Gateway pipeline. (Source: Shutterstock)
TC Energy began its collection of tolls from Mexico’s state-owned utility Comisión Federal de Electricidad (CFE) for the Southeast Gateway pipeline, according to a June 27 press release.
Southeast Gateway, a 1.3 Bcf/d, 715-km natural gas pipeline, was the first energy infrastructure project constructed under TC’s public-private partnership with the CFE.
Calgary, Alberta-based TC said it has been paid by the CFE for the month of May, “on time in accordance with our contract.”
The pipeline was completed at a cost of US$3.9 billion, approximately 13% under the original cost estimate—US$4.5 billion—in less than three years from the project's final investment decision made in August 2022, TC said.
The Southeast Gateway pipeline, along with TC’s other assets in Mexico, is expected to support Mexico’s energy security and the transition to lower-emission, more reliable energy sources.
The Government of Mexico has announced plans to add approximately 8.5 gigawatts of newly installed capacity from natural gas power plants, the release stated.
"The successful completion of the Southeast Gateway pipeline reflects the unwavering commitment of our team, the CFE and the Ministry of Energy (SENER) to support Mexico's expanding energy demand and future economic development," said François Poirier, TC Energy's president and CEO.
TC Energy began construction on the pipeline in 2022. The Southeast Gateway consists of 444 miles of natural gas transport lines in different regions of Mexico. The new lines are built to support the operations of 10 new gas-fired power plants, which Mexico’s Ministry of Energy expects to build and have in service by 2030.
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