In order to guarantee electricity supply from 2007 onwards, the Mexican government plans to invest $3 billion this year on projects that will be auctioned off by the Comisión Federal de Electricidad (CFE). The largest single investment is the extension of the Lázaro Cárdenas power plant on the Pacific coast, which is expected to cost some $980 million but a 1 GW extension of the Tamazunchale plant, which is to be offered for tender in September, will cost some $600 million.