Tuxpan II and V Combined Cycle Power Stations

NAES-MEXICO operates and maintains the Tuxpan II and V combined cycle power plants, which generate 990 MW of electricity with CFE (Electricity Federal Commission) as a client; currently both plants have a comprehensive management system based on ISO 9001: 2015, 14001: 2015 and 45001: 2018 standards, the management system is audited every two years by the client (CFE LAPEM).

Both plants have successfully participated in the national environmental audit program and are certified by PROFEPA (Federal Attorney for Environmental Protection) by obtaining the Clean Industry certificate.

The Program consists of a series of required activities to encourage the performance of environmental audits. Admission to the program is voluntary and is intended not only to help ensure effective compliance with the legislation, but to improve the efficiency of production processes, environmental performance and competitiveness.
Tuxpan II power station has level 1 clean industry certificate (recertification 2019) while Tuxpan V power station currently has the certificate of clean industry level 1 and is in the process of obtaining the level 2 certificate (2020).

The Clean Industry Certification is a program that allows the integration of an environmental management system that enables regulatory compliance, which is evaluated in a comprehensive, systematic, objective and documented manner, regarding the way in which a company, its staff and its team operate with the objective of protecting the environment. The certifications have a validity period of 2 years from the date obtained.
In 2017, the Tuxpan II and V stations passed the verification of the inventory of compounds and greenhouse gas emissions, which is valid for 3 years (2020 validity) in compliance with the RENE (Emissions National Registry).

Each year, some members of the leadership team of the Tuxpan II and V power stations attend the NAES Corporation safety conferences where various awards are given based on the performance of the plants. Since 2016, the awards obtained are the following:

• NAES Safe performance award (2016)
• NAES Safe performance award (2017)
• NAES Safe Achievement award (2017)
• NAES Safe performance award (2018)
• NAES Safe performance award, Best in category (2018)

In 2018, Tuxpan II and V power stations participated in the “2018 CCJ Best
Practice Awards”, winning the “2018 BEST OF THE BEST PRACTICES: Tuxpan II
and V” award. The articles submitted were the

• Outage Safety Benefits from Community Outreach
• Backwash Plate-and-Frame Heat Exchanger to Boost Performance
• Rigorous Test Regime for Critical Valves Assures Reliable GT Starts

During 2017, there was a major outage that started on October 1 and
Tuxpan II 3 MELCO air-cooled generators required the extraction of the 3 generator rotors, change
of line and neutral in the two associated with the gas turbines as warranty work by the manufacturer
and replacement of retaining rings and end plates on a Steam Turbine generator as a
countermeasure to a fleet issue.

Additionally, Balance of Plant (BOP) work was carried out on smaller equipment and wave pressure
cleaning was performed by GE in one of the HRSG´S.
During the outage period, there were about 36 contracting companies, with a daily average of 400
people during the day shift and 150 for the night shift.

Having everyone’s safety as a priority, a safety and environmental plan was implemented, which
included specific strategies and procedures for workers to follow and for compliance. In advance
and to support this plan, 21 individuals from the communities near the power stations were trained
on safety matters to perform the role of observing, stopping and reporting unsafe tasks and

Daily, reports of safety (safety metrics), cost control (tracking cost) and progress of activities were

Teamwork, effective communication and the outstanding commitment of all NAES’ MEXICO
employees resulted in the successful completion of the
maintenance work ahead of schedule by 5 days.
During the dates on which this outage was carried out, 10 years
were completed without recordable safety accidents at Tuxpan
II and V plants. Today, it has been 12 years without recordable
safety incidents. The next major maintenance at Tuxpan V is
scheduled for November 15, 2019, with an estimated duration of
50 days. Currently, the work teams at the plants are fine-tuning the details to ensure a safe

Every year, Tuxpan II and V power stations with the 13 surrounding communities, organize a social
contribution program. During 2018, the following results were obtained:

Oh Mexico

• Annual support was provided to each community benefiting a total of 4,474 people, who
are the total inhabitants of the 13 communities.
• Delivery of school backpacks benefiting 1,400 children from community schools.
• Safety training that benefited 60 individuals.
• Safety watch program that benefited a total of 30 people.

Throughout 2019, resources were allocated to continue benefiting the surrounding communities
(US $ 140,000) and the support to be delivered to each community is as follows:

• Monthly support to each community (non-monetary)
• Training program for 52 people on safety matters
• Delivery of school backpacks and supplies
• Safety watch program (training and hiring of safety assistants during outage)
• Delivery of lunch boxes, balls and sweets on the national holiday “Children’s Day”
• Delivery of furniture for the schools in the community
• Christmas celebration event

During 2019, two safety events were held, the first one involved the employees’ families, hence
their relatives were invited to visit Tuxpan II and V facilities. The objective was to familiarize the
workers with NAES’ philosophy: “NAES 4 the right reasons”. During the event there were brief talks
on safety at home, a tour of the facilities and family activities.

In July, a second safety event was held and guests from all over Mexico were invited, as well as from
NAES’ Headquarters in the United States. The event “2nd industrial safety conference, occupational
health and environment”, lasted 3 days, 2 of which took place at a local hotel in Tuxpan and where
several speakers presented and the 3rd day the event transferred to Tuxpan II and V facilities.
The upcoming challenge that the power stations face, is the excess energy sale at Tuxpan V.
Currently, the NAES Mexico team is working on the requirements to comply with CENACE and the
Energy Regulatory Commission. Currently the project has a deadline of January 10, 2020.