Budget Proposal for CFE in 2025

The 2025 Economic Package proposed by Mexico's Ministry of Finance allocates over 545 billion pesos to the Federal Electricity Commission (CFE), enhancing electricity generation and transmission systems.


Budget Proposal for CFE in 2025

The Ministry of Finance and Public Credit (SHCP) published the 2025 Economic Package, which includes a budget of 545 billion 471 million pesos allocated to the Federal Electricity Commission (CFE) for the next year, indicating an annual increase of 6 percent in real terms.

According to the National Energy Plan of Mexico's president, Claudia Sheinbaum, the CFE must be responsible for 54 percent of the country's electricity generation. Therefore, the budget allocated for 2025 aims to strengthen this sector, proposing to allocate 236 billion 616 million pesos to electricity generation projects, representing an annual increase of 7.8 percent in real terms.

If approved, this budget will make the generation sector absorb 43.4 percent of the total budget of the CFE for the next year. The main objective of these investments is to consolidate and maintain the CFE's leadership in electricity generation in Mexico, prioritizing the construction of new generating plants.

In addition to electricity generation, the Economic Package includes investments to expand and modernize the National Transmission Network and the General Distribution Networks. It is proposed to allocate 28 billion pesos for electricity transmission and 64 billion pesos for distribution, with annual increases of 32.5 percent and 18.1 percent in real terms, respectively.

It is expected that these investments will address the increase in demand, reduce technical and non-technical losses, improve operational efficiency, and promote the development of smart electricity networks.

Regarding CFE Telecommunications and Internet for Everyone, a budget of 12 billion 839 million pesos has been proposed for 2025, which represents a 9.2 percent decrease compared to 2024. The goal is to continue entering the telecommunications sector with a view to strengthening it.

For next year, the Government of Mexico plans to transfer 85 billion pesos to the CFE to subsidize electricity rates, maintaining this amount constant in real terms compared to the previous year.