General Electric Co is partnering with Mexican national power company CFE to help improve the efficiency of its electrical system, the leader of GE's power business said on Monday. Under a two-year agreement, GE will provide software and data analysis to CFE, Steve Bolze, chief executive officer of GE Power, said in an interview.
GE is making a broad push to use digital technology to reduce running costs of large industrial equipment, from generators and power grids to jet engines and medical devices.
Through software and analytics, "we're getting better performance out the assets for customers than the day they shipped" from factories, Bolze said.
"By working very closely with (CFE) over the next two years, we can help them do that," he said.
CFE General Director Jaime Hernandez said in a statement that the partnership would help CFE reduce the cost and increase the reliability of power throughout Mexico.
Bolze and Hernandez did not provide specific projections for CFE savings or terms of the agreement. GE estimates there is potential for $1.3 trillion in savings to the power industry over the next decade. Mexico's 2013 energy reform ended decades-long oil and electricity monopolies enjoyed by the country's two state-owned energy companies Pemex and CFE.