Bioenergy is the largest renewable energy source in Mexico with an estimated 4–9% of total current energy demand. There are large uncertainties and contrasting estimates regarding its current extent and end-uses, particularly with traditional uses. However, a large potential exists to improve the efficiency of existing uses and, at the same time, to diversify the use of SBF in the industrial and power sectors. This paper aims at: providing the first updated and comprehensive estimate of current SBF demand in Mexico including traditional and modern uses; providing a consistent estimate of actual SBF supply potential; estimating the total potential substitution of fossil fuels that could be achieved by SBF considering an integrated “modernization scenario”; and finally describing the main barriers limiting SBF to fully triggering its potential. Results show that current SBF consumption reached 481 PJ/yr in 2015; SBF supply potential reaches 3622 PJ/yr, out of which 883 PJ/yr could be used to substitute up to 29% of current demand of FF, mitigating 66 MtCO2e/yr of greenhouse gas (GHG) emissions, or near 88 MtCO2e/yr if mitigation from traditional uses is added.
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