Mirasol · Los Cabos
Residential CFE rates in Mexico carry generous government subsidies up to the DAC threshold. The commercial PDBT tariff for small businesses has none — you pay actual market price from the first kWh. In Los Cabos, where A/C is non-negotiable and summer commercial bills can reach $1,500–$4,000 USD per month, solar has a strong economic case even without net metering.
Quick view
Commercial electricity in Los Cabos has no government subsidy. That makes solar for restaurants, hotels, and retail businesses one of the strongest ROI cases in Mexico — even without net metering.
CFE's residential subsidy is designed for low-consumption households. Businesses, regardless of size, pay the unsubsidized commercial rate from day one. There is no consumption threshold that moves a business to a higher tier — PDBT customers simply pay market-based pricing at all times.
A home on the 1C residential tariff in BCS pays 1–3 MXN/kWh in the subsidized bands before crossing the DAC threshold. The same consumption on a PDBT commercial account costs 3–5 MXN/kWh with no subsidy. For a business consuming 5,000–15,000 kWh per month, that gap adds up significantly.
Restaurants, cafes, bars, spas, retail stores, offices, gyms, and similar businesses with contracted demand under 25 kW. If your business exceeds that demand level, the GDMTH tariff applies — a different structure with peak-demand charges that make the solar ROI calculation more complex.
Peak solar production runs from roughly 9am to 3pm. A restaurant that opens for lunch service at 11am with the dining room, kitchen, and A/C at full load is actively consuming during those hours. The overlap between production and consumption is far higher than in a typical residence.
PDBT tariff
PDBT (Pequeña Demanda Baja Tensión) applies to businesses with contracted demand under 25 kW — restaurants, boutiques, gyms, spas, small hotels, and offices. Unlike the residential tariff, there is no subsidized consumption band — the actual cost per kWh is 3–5 MXN (roughly $0.17–$0.28 USD) before VAT from the first unit billed. A mid-size restaurant running kitchen and A/C intensively can pay $1,500–$3,500 USD per month in summer.
CFE's residential subsidy is designed for low-consumption households. Businesses, regardless of size, pay the unsubsidized commercial rate from day one. There is no consumption threshold that moves a business to a higher tier — PDBT customers simply pay market-based pricing at all times.
A home on the 1C residential tariff in BCS pays 1–3 MXN/kWh in the subsidized bands before crossing the DAC threshold. The same consumption on a PDBT commercial account costs 3–5 MXN/kWh with no subsidy. For a business consuming 5,000–15,000 kWh per month, that gap adds up significantly.
Restaurants, cafes, bars, spas, retail stores, offices, gyms, and similar businesses with contracted demand under 25 kW. If your business exceeds that demand level, the GDMTH tariff applies — a different structure with peak-demand charges that make the solar ROI calculation more complex.
Why self-consumption works better for businesses
A business open from 10am to 10pm with kitchen, A/C, refrigeration, and lighting is drawing power exactly when solar is producing. Unlike a home that sits empty during the day, a business can consume 60–80% of what it generates directly, without a battery and without earning PML export credits. That direct self-consumption ratio is what makes commercial solar the strongest-ROI case in Mexico right now.
Peak solar production runs from roughly 9am to 3pm. A restaurant that opens for lunch service at 11am with the dining room, kitchen, and A/C at full load is actively consuming during those hours. The overlap between production and consumption is far higher than in a typical residence.
A Los Cabos restaurant with an 11am–11pm schedule, without battery storage, can self-consume 60–75% of its solar production. With load coordination — running refrigeration compressors and climate systems during daytime hours — that figure can increase further.
A boutique hotel or spa with continuous daytime operations has an even stronger self-consumption profile. Laundry, pool heating, room climate control, and common area systems generate consistent load during solar production hours. For this type of business, ROI typically falls between 3 and 5 years. For expat-owned businesses: the 100% SAT deduction also applies to businesses where you are registered as a physical person with business activity (persona física con actividad empresarial), making the after-tax cost of the system significantly lower.
Mexican tax deduction
Solar generation equipment in Mexico qualifies for a 100% first-year deduction under Article 34-A of the Income Tax Law (Ley del ISR), for businesses registered as corporations (personas morales) or as physical persons with business activity (personas físicas con actividad empresarial) under the general ISR regime. This significantly reduces the effective after-tax cost of the system. The exact benefit depends on your marginal ISR rate and business structure — confirm with your accountant before signing.
Unlike straight-line depreciation spread over years, Article 34-A allows the full equipment cost to be deducted in the year of acquisition. For a business with taxable income subject to ISR, this can translate to recovering 25–30% of the system cost as a tax saving in year one.
Corporations and physical persons with business activity under the general ISR regime. Businesses operating under the simplified trust regime (RESICO) should verify applicability with their accountant, as the deduction structure differs. Foreign-owned businesses registered in Mexico and paying ISR are generally eligible.
A 300,000 MXN system with a 30% effective ISR rate reduces the net cost to 210,000 MXN in year one. That shortens the payback period by 1–2 years depending on monthly savings. The benefit is real, but it requires properly issued installation invoices and accounting coordination — plan for this before the project closes.
Battery for businesses
The BCS grid is isolated — it is not interconnected with the rest of Mexico's national grid. That makes it more vulnerable to outages during summer storms or local faults. For a restaurant or hotel, a two-hour outage during dinner service can mean lost revenue, spoiled food inventory, and reputation damage. A battery paired with solar covers critical loads during an outage and reduces the CFE bill during normal operations.
A restaurant billing 15,000 MXN per night loses that revenue in a service-hour outage. Add spoiled refrigerated inventory and the cost of a single event can exceed the cost of a backup battery. In Los Cabos, where hurricane season runs from June through November, this is not a theoretical risk — grid interruptions during storms are common.
A backup battery does not need to power the entire business — only critical loads: refrigeration and freezers, point-of-sale system, essential lighting, and internet connectivity. Sizing the battery for critical loads reduces the battery cost substantially and keeps core operations running through a multi-hour outage.
A small restaurant covering refrigeration, POS, and basic lighting can run critical loads on 10–20 kWh of storage for 2–4 hours. The exact sizing depends on your critical load inventory — ask your installer for a load analysis before specifying the battery.
FAQ
PDBT (Pequeña Demanda Baja Tensión) is the CFE tariff for small businesses with contracted demand under 25 kW. Restaurants, retail stores, offices, spas, gyms, and similar businesses fall under it. There is no government subsidy — cost per kWh is the actual market price, roughly 3–5 MXN ($0.17–$0.28 USD) before VAT.
Yes. Businesses in Los Cabos consume directly most of what they produce during operating hours. A restaurant open from noon to midnight can self-consume 60–75% of solar production without a battery. That percentage, multiplied by the unsubsidized PDBT rate, generates real and measurable monthly savings.
Yes. Solar generation equipment qualifies for a 100% first-year deduction under Article 34-A of the Mexican Income Tax Law (ISR), for corporations and physical persons with business activity under the general ISR regime. This can reduce the effective after-tax cost of the system by 25–30% in year one. Confirm the specifics with your accountant before signing a contract.
A mid-size restaurant paying $40,000 MXN/month in electricity with a well-sized solar system can reduce that cost by 50–70% during daytime operating hours, equivalent to roughly $20,000–$28,000 MXN/month in savings. Typical ROI is 3–5 years depending on system size, operating hours, and whether battery storage is included.
Each CFE meter is an independent supply point with its own contract and bill. A solar system can only offset consumption from the meter it is connected to. If your property has two meters, the analysis should evaluate whether to connect solar to one or distribute generation across both supply points — the right answer depends on which meter carries the higher load during daytime hours.
For most Los Cabos businesses, battery storage is recommended but not required for solar to be profitable. The business case works through direct self-consumption during operating hours. Battery adds two benefits: extending solar use into evening hours and providing backup during outages. If your business operates primarily at night or is in an area with frequent grid interruptions, the analysis shifts meaningfully.
Yes. The Article 34-A deduction applies to any business registered in Mexico and paying ISR under the general regime — including businesses owned or co-owned by foreign nationals, whether structured as a corporation (persona moral) or a physical person with business activity (persona física con actividad empresarial). Foreign ownership does not disqualify the deduction. Consult your Mexican accountant or tax attorney to confirm your specific situation.
Sources
These sources help explain regional solar and CFE context. A final property quote still depends on the bill, roof, and technical visit.
Next step
With a recent CFE bill we can separate usage, tariff, charges, and solar potential before deciding whether to move forward.