The financial situation of domestic gas distributors in Mexico has worsened since October 2024, due to the 50% reduction in the distribution tariff calculated by the Energy Regulatory Commission (CRE). The Mexican Association of Liquefied Gas Distributors and Related Companies (Amexgas) has warned that this reduction has left gas suppliers with insufficient resources to cover all their costs and operational expenses.
Amexgas accuses the CRE of not adequately reflecting international price variations in public prices, thereby creating significant economic pressure on LP gas distributors. This situation has led to significant financial difficulties for gas suppliers, as the current tariff does not allow them to cover costs such as payroll, fuel, and equipment maintenance, which have increased due to regulatory changes and rising wages, supplies, and services.
"This situation seriously jeopardizes both service coverage and the security of domestic gas supply in the country," warned Amexgas. According to the association, a commercial margin of 6.50 pesos per kilogram is necessary to ensure operational continuity, which is why they have requested authorities to adjust the methodology to cover costs, expenses, and investments.
The National Gas Guild has also expressed its discontent, as they lack the sufficient commercial margin to distribute gas in metropolitan areas. They have been forced to operate for several months without the necessary economic margin to cover the minimum expenses generated daily by the tank trucks.
In the coming weeks, there are fears that gas distribution plants could be suspended, which is not a strike or protest, but a state of insolvency that prevents them from being operational and competitive. The guild has reported the closure of more than 10 distribution plants and the loss of over 500 jobs due to the lack of a commercial margin.
