Mexico discovers the advantages of solar energy - Feature

Mexico City - Mexico has a lot more sunlight than most countries, but its resulting energy potential is hardly being exploited at all - until now, that is. The region fulfills at least one major condition to make the most of solar energy: the sun shines constantly on Mexico City.

However, heading north out of Mexico City, one of the world's largest metropolises, there are first industrial areas and grey housing estates, none of which uses the sun as a source of energy: everyone needs gas to heat up water.

But, after a one-hour drive, rows and rows of orange and yellow terrace houses come up. It is here, in the Heroes de Tecamac neighborhood in the state of Mexico, that 60,000 housing units have been built in the past 10 years.

And here, solar panels are starting to be installed on a large scale on the rooftops of 25,000 working-class homes, in a move sponsored by the German Environment Ministry.

The housing project is intended for workers who contribute a portion of their salaries, deducted as social charges, to the Infonavit, the national housing fund.

It only takes 20 minutes to get a loan for a home in Tecamac, with each unit going for barely 22,000 dollars.

For two years, workers have been able to choose a so-called green mortgage, which includes energy-saving light bulbs and a mechanism to regulate water consumption. And, if they wish, they can also have solar panels installed on their roofs to heat up water.

Such mechanisms make sense: even in winter, the sun shines on the area brightly enough to provide a large family with warm water if they use a two-square-meter solar panel.

German authorities are set to contribute 3.1 million euros (4.5 million dollars), which come from the sale of greenhouse gas emission quotas. Of these, 2.5 million euros are set to go directly to home buyers. A solar heating mechanism for a simple family home costs around 750 dollars.

"People get that back after three or four years, through gas savings," said Bernhard Boesl, of the German Society for Technical Cooperation (GTZ).

Germany pays for about a quarter of the cost of the mechanism for workers.

Given that the temperature in Mexico City never falls below 0 degrees Celsius, the devices are technologically much simpler than those used in colder climes, like Germany.

And yet, although conditions are ideal, there are only 15,000 houses with solar panels in the area around Mexico City so far. Boesl is confident that the number has grown a lot in 2009.

"Slowly, the boom is starting," he said.

Jorge Solano, head of the firm Sadasi - which built the Heroes de Tecamac neighborhood - stressed, however, that people's lack of knowledge and experience with solar panels is often a problem.

"We have to make them see that in the medium term they save money. The majority are annoyed when they find out that they will have to pay extra," he said.

Yvonne Pacheco, who has been living in the neighborhood with her family for three months, is happy with the results of her choice.

"We do not have to use the gas boiler that we have installed as a reserve at all. The water is always warm, and it is enough for us four," he said.

As things stand, the family saves money on gas.

The funds from the German Environment Ministry seek to increase awareness of solar heating mechanisms.

"We trust mouth-to-mouth propaganda, which works very well here," Boesl said.